Opportunities in apparel e-tailing

Ecommerce is a buzz these days & a lot has been happening across its various domains. From large firms, corporations to small-mid cap businesses, many have cropped up to take the advantage of this thriving industry which is concurrent to the latest trends.

Nowadays, people often watch over latest styles & fashion online rather than going to a store first. The aspect of convenience; sitting back at home and catching up on everything new, is driving greater interest and participation among consumers besides providing businesses an opportunity to grow and connect.

The apparel industry is one of the most profit-making sectors in terms of generating revenue, investment and trade. Due to its product variance & short life-cycle, it makes it to the top of ideal business models, where expected profit margins are very high. According to a Mckinsey report, Apparel is the most profitable segment of the Indian retail market (a calculated 35%-40%) followed by food. Similar dominance has also been observed online.

Currently, apparel is the largest segment of Indian online service marketplace retail and has earned investment over $ 70 Million within the last two years. With growing consumer base year on year, apparel e-tailing is surely poised for a boom.

If you’re a business involved or interested in this segment, then perhaps, you have an opportunity to create your own niche in the market and claim a very satisfying share of the online retail pie.

Online retail is a boon to retailers who wish to expand their business without much of investment as a viable sales channel. Clientele is limited for those operating physical stores but can be expanded with adoption of an online business model which increases reach and exposure in addition to sales and brand awareness.

According to a report by Technopak, “The Internet’s ubiquity gives online brands the capability to reach all Indians, even those with no access to an online payment facility, as most brands offer Cash-on-Delivery (COD) options, offering them the luxury of seeing the product before making payment for it.”

The way it has shaped the Indian online Market


Competition in the look good- feel good market has intensified over the last 2-3 years resulting in an exhibition of monstrous collections of apparels and accessories. Likewise, consumers have also thronged the marketplace to seek new variety & discounts. Discounts and offers have remained the most influencing factors of all of them.


Internet and Mobile Association of India says that “Indian ecommerce is growing at an average rate of 70% annually and has grown over 500% in the last 3 years..”

Indian Online Apparel Industry is expected to grow tremendously from a current $15 Million market to $200 Million by 2015, a staggering 13 fold growth within a year.

In India, 26% of all searches over online media (Google, Yahoo, Ask, Bing & others) are in relation to Apparel products which equals the demand in USA, Japan and Germany.

India is one of the fastest growing tech savvy nations with over 80 Million Internet users & 10 Million shoppers. Internet users are expected to reach 240 Million by 2015.

India stands at No. 2 in Social Networking. Apparel Industry to be affected tremendously by peer recommendation and fan following on Social networking sites.

Over $70 Million dollar investment within the last two years in the Apparel e-tailing space.

According to PriceGrabber.com, more than 65% of online users feel comfortable purchasing Apparel products.

Gifting has become easy through online medium where Clothes and Fashion accessories make up a substantial portion of all gifts which are sent and received worldwide.

Investment in terms of business expansion is considerably less compared to an exclusive store. It saves you on physical infrastructure and headcounts.

This costs can be further diverted to obtain larger volumes with variety. Larger volumes will in return obtain larger market share. Larger market share means larger profit.

These days, it is very necessary that you have an ecommerce website development from dedicated ecommerce developers because having an online business is very much important. Also, operating an online store is like operating your business 24X7. It saves you time, on the other hand, consumers get a lot of time to go through each and every unique offerings of yours at his CONVENIENCE.

Online feedback system adopted by consumers across the world improves chances of being noted and appreciated.

Ecommerce is the future! And E-tailing will soon occupy a market share that is greater , far more diverse with no signs of bottle neck. It offers convenience and is liked by more than a billion people across the world. Apparel e-tailing has revolutionized the shopping model in India and will prove as a game changer in the world of apparel retail businesses. Currently, huge opportunities lie ahead for apparel e-tailing and if businesses make sure that their consumers are happy they are sure to succeed.