The Millennial or rather we say youth these days every time wait for the online Amazon, Flipkart sale to buy almost everything. And why not?? Of course, it gives the best deal. But, unfortunately, there lies a section who do not appreciates the sale much and i.e. offline market retailers and shopkeepers.
Undoubtedly, the e-commerce industries are growing day by day. Amazon and Flipkart are the leader ones, trending at the high demand for online shopping offering the highest discount to their customer at a competitive level, gives facility like delivery at doorstep anywhere, GST invoice for the input tax credit, business pricing and bulk discount, easy replacement policy, fast reliable shipping, business analytics and whatnot.
Looking at the present scenario in India, the shopkeeper community is against the global e-commerce business and alleging that they are engaged in predatory pricing in violation of new rules meant to protect local businesses. This is why the e-commerce and Indian shopkeeper has debate gained steam in the last few years.
The e-commerce players like Flipkart, Amazon seem confident of winning the customer in the online vs. offline shopping battle. Here are the few new and old adaptations of the retailers, being their ‘survival instinct’:
- Local Customers
All shopkeepers established in particular locality enjoy a personal touch with their customers. Loyal customers can go with their local shopkeeper and also get the benefits of home delivery for supplies. Small shopkeeper feels this is helpful and tremendous advantages for customer when and affects their decision when they choose online and offline shopping.
- Extra Services
Shopkeepers are offering some extra service instead of competing directly with price. Many bookstores have opened café inside so that a customer can enjoy the shopping experience. Cloth shops have in-house tailors who can alter the outfit which suits the need of the customer. Some innovative grocers have started branding their products in attractive packing to compete on the quality.
- Customer Support
Most of the customers are concerned about support after purchasing, particularly if they purchase expensive products. Generally, the shops delaying in electronic product offer after-sales support and build loyalty with customers.
The shopkeeper community are alleging that Amazon and Flipkart and other online shopping giants avoid the rules with predatory pricing and provide deep discounts during every festive season when the sales records are in high. As per this, the offline shopkeepers are demanding to the government to shut these companies’ online market place until they are in compliance.
All the above parameters may not affect e-commerce and offline shopkeeper, as it may not necessarily result in the absolute dominance of one form over another. However, we are expecting the government to come up with a new idea to manage the business for both. After all, the one who will be successful in the online and offline shopping competition, are the ones who will embrace technology and innovate.
Amazon’s Say
According to Amazon, its seller has the complete discretion on what price they offer to sell their products to the customers without any loss.
Flipkart’s Say
On the other hand, Flipkart provides sellers with data to help determine what product offering will sell best at what price, but the business decision is ultimately the sellers’ to make. Amazon, Flipkart has found success in rural India during the sale season.
