Many companies have incorporated Internet into their business practices. The
comparative advantages of using the Internet appear compelling in providing cost, time,
reach and interactivity benefits to consumers as well as for businesses. Internet shopping
is also showing a steady rise in the marketplace. A recent report on online shopping
released by Indian industry chamber Assocham (2013) showed that India’s e-commerce
market rose from about $2.5 bn in 2009 to $6.3 bn in 2011, $8.5 bn in 2012 and further
to $16 bn in 2013. The survey shows that small companies have also facilitated group
buying through online stores, which means that customer can avail discounted goods
when specified people make online purchase. Most of these purchases include gift articles
(58%), railway tickets (39%), electronic gadgets (41%), and apparel (36%). Internet is also
becoming a compelling channel for fashion goods. Even though this Internet sales account
for a small percentage in total retail sales, it is the fastest growing sector of retailing.
Retailing fashion online was seen as unlikely to be successful in the early days of
e-commerce, because of people’s need to touch and try on clothes and the social
experience associated with clothes shopping (Goswami and Mathur, 2011). The volumes
and revenue from clothes and footwear sales online have grown progressively between
25-30% each year since 2000 (IMRG, 2006).
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