India’s e-commerce industry would become m-commerce industry soon, driven by social media, Deloitte said in its 6th edition of Deloitte India’s predictions for the technology, media and telecommunications sector.
According to the Deloitte TMT India Predictions 2016 report, mobile ad spends are expected to grow from current 2-4 percent to 15-20 percent of the overall media expenditure by 2020. It also predicted that m-commerce is likely to become the need of every business.
The professional services company said 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.
“With telecom operators launching 4G and hi-speed Wi-Fi services, mobile-based internet connections are set tosurge which will also fuel growth in social media users,” said PN Sudarshan, Senior Director, Deloitte India.
“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.”
In the coming years, Deloitte India expects digital-first brands – brands that can only be purchased online – to see strong growth across categories such as budget fashion, furniture, jewellery and groceries.
Further, the report added that there will be significant adoption of e-commerce in the retail medicine sales market. 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 would see the 4G revolution in India.
Deloitte estimates that $150 billion needs to be invested in the development of smart cities in India over the next few years. It expects that service providers will increase investments in the development of smart city solutions.
Other finding of the report showed that the global sales of wearable devices are expected to be approximately 250 million units by 2018.
The major portion of the sales will be driven by North America and Europe, India is expected to have some participation in this segment.
According to Deloitte, fitness trackers and smartwatches will see mass adoption in the coming years and expect safety devices geared towards location tracking and emergency assist to also see significant adoption.