Price Point trumps Platform Loyalty for E-commerce in India: IAMAI

The Internet and Mobile Association of India [IAMAI] has launched a report that finds users across age groups are keen on price-points and variety while shopping on e-commerce platforms.

The report titled “Online Stickiness of e-Commerce Customers in India” provides interesting insights about differing behaviours across age groups for the three most popular e-commerce service categories in India: Online Retail, On Demand Transport Services and Online Travel booking.

The report finds that at an overall level, the age group between 18-24 years is “accommodating’ in their approach towards e-commerce with their focus being more on brands of the products and less concerned about price comparison, delay in refunds etc.

The report finds that the age group between 25-34 years is the least demanding category of all and is most comfortable with e-commerce services simply because of the convenience it offers. In comparison, the age group between 35-44 years are the most demanding age group; and consider give factors like refunds, response to queries, customization of services more importance.

The age group 45 and above are keen about the convenience and guarantees of online services, and are more interested in factors like promptness of customer service than cash-backs offered. This category needs the most convincing to purchase online and clearly look at e-commerce as a tool of convenience than bargain.

However, irrespective of age group, every category is keenly aware of the price advantage the platforms offer and take discounts for granted, vis-à-vis offline channels.

For online retail, Price point, Variety and Timely Delivery are the top factors for customers in terms of determining repeat purchase from any platform, finds the report.