According to the report, the future of e-commerce in India is expected to be m-commerce. The 6th edition of Deloitte India’s predictions for the Technology, Media & Telecommunications (TMT) sector in India. The report highlights that boom in m-commerce will be powered by social media, and is likely to become the need of every business.
The report further expects the mobile ad spends to grow from current 2-4 per cent to 15-20 per cent of the overall media expenditure by 2020. Mobile advertising in India is fastest growing among all segments in the digital advertising space, and is gaining momentum through various apps and mobile sites.
Commenting on the report, PN Sudarshan, Senior Director, Deloitte India “With telecom operators launching4G and hi-speed Wi-Fi services, mobile-based internet connections are set tosurge which will also fuel growth in social media users.
“At the same time, more and more consumers in India are accepting the idea of buying products online through social media. Accordingly, e-marketers will have to devise their strategies factoring in the digital surge.”
The report adds that there will be a significant adoption of e-commerce in the retail medicine sales market. Medicine e-commerce players would look to take advantage of the inefficient distribution system leading to non-availability of medicines and the issue of counterfeit drugs which currently plague the existing physical pharmacy business. The market for pharma e-commerce will grow 10 times to $400 million in 2017.
Giving a significant boost to the e-commerce boom will be the rollout of 4G in India. According to Deloitte India, 2016 is set to be the year that would herald the 4G revolution in India. While 4G services have been present in the country since April 2012, the push for mass rollouts across major markets gained momentum from 2015. Aggressive 4G rollout plans from major operators and the growing demand for and availability of affordable 4G-enabled handsets point towards 2016 being a breakthrough year to kick-start the 4G revolution in India.
Additional findings from Deloitte 2016 TMT India predictions include:
Below are the trends expected in the media sector:
International television content on an upswing: International TV content popularity is likely to increase significantly. As digitization in tier 2 and tier 3 cities picks up, TV viewers will be able to access niche channels resulting in increase in viewership of English entertainment and movie channels. Channels will differentiate themselves by broadcasting content along with the US and Western Europe, attracting customers to pay premium subscription charges for these channels.
Cinema content: Reality into reel: Deloitte predicts that content will be king and theme experimentations such asbiopics and reality will be the way forward in 2016 for Indian Cinema particularly Bollywood. Filmmakers will look at platforms like Digital EST, i.e., Electronic Sell-through of a movie directly to consumers to counter the threat posed by piracy.
Broadcast reach vs Online:Transformation of media trends:In the coming years, digital platform, like digital audio and video on demand service, will see increased activity, and hence getting the right business model will be very crucial for success. Instead of sitting at home and watching the broadcast on TV, the consumers prefer to go online which allow them to connect anywhere, anytime with any device.
