How Video Commerce is Revolutionizing the Retail Industry

Video Commerce

The technology leveraged by hyperlocal video selling apps will enable the Indian retailers market to seamlessly transition from e-commerce to v-commerce, solving many challenges faced by sellers.

Santhosh Palavesh
Founder and CEO, BigBox

In 2020, more than 60 percent of the e-commerce market share was captured by two major players in India. Where does that leave everyone else? Retailers in India have struggled to find space in the e-commerce market because of the high rates and brutal competition. 

 

It’s challenging times for players of all sizes in the retail industry. With these ever-going pandemic lockdowns, higher real estate prices, low to none customer walk-ins, and the highly competitive e-commerce market, the retail industry is going through one of the most challenging times in almost a century.

 

Even though online shopping is gaining popularity, a majority of shoppers miss shopping in person. With live video calling, customers can visit their favorite stores from the comfort of their homes. The technology leveraged by hyperlocal video selling apps will enable the Indian retailers market to seamlessly transition from e-commerce to v-commerce, solving many challenges faced by sellers. 

E-commerce Challenges for the Indian Retailer 

 

●    Low Conversion Rates – The average conversion rate for e-commerce sites is less than 3 percent which means you have to make sure your website attracts massive traffic. 


●    Website Costs – Building and maintaining a website can be, and even if you were to do it yourself, it would require many skills and technical know-how.

 
●    The Learning Curve – Cracking the online game requires time, skills, and technical knowledge. The present digital solutions are complex, which has been a significant setback for Indian retailers. 


●    Tough Competition – The amount of content that is available online has made it difficult to capture the attention of consumers. Website development is expensive and consumers do not return to low-quality sites. 


●    Cash on Delivery – While most shoppers love the COD option available on most sites today, the number of cancellations, refunds, and shipping charges burns a hole in the retailer’s pocket. Most Indian shoppers feel guilty after an impulse buy and will cancel their order the next day or worse on the day of delivery. 
 
V-commerce is the future of online retail, and today it can help the average Indian retailer join the online market seamlessly. Apps with integrated video technology have come up with unique solutions that address the failing retail industry. Easy to use interface means no learning curve and reduced expenses. 
 
With integrated video technology, v-commerce platforms can create a new seller’s market that will empower the retailer to have complete control over their online business. The few platforms that have launched in the market are showing great promise for the retail industry. 

Some of the features that sellers can look forward to on a v-commerce platform are:
 
● Quick sales through video calls.
● Hyperlocal video shopping marketplace
● No complex digital algorithms 
● Simple and easy Instagram style catalog features 
● No hardware required 
● Mobile-first approach 
● Delivery and payment are taken care of by the platform
● The seller can set up a video store in minutes
● Expand through virtual branches to multiple locations
● Personalized shopping experience


 
The e-commerce market has become crowded, with two giants competing for more than 80 percent, leaving the rest struggling to survive. Only 1 percent of Indian online retailers could turn a profit in the last two years of the pandemic. V-commerce can help revolutionize the Indian retail industry by enabling sellers to grow their business virtually. 


India is a potentially massive market for v-commerce platforms. 50 percent of all Indian shoppers will prefer to shop online by 2026. V-commerce is an excellent solution for retailers who need to make the shift to an online marketplace. 


High conversion rates (almost 40 percent), easy-to-use technology, in-store experience, and a hyperlocal market are what retailers have to look forward to with v-commerce. The pandemic has forever changed the rules of the retail industry. 


Many shoppers miss the in-store experience. V-commerce allows the retailer to cater to all kinds of shoppers and will be bigger than e-commerce within a few years.  


Live-streaming e-commerce gained huge popularity in China, paving the way for video shopping or v-commerce. Think Instagram reels, TikTok videos, YouTube channels if you are not sure about the popularity of video content. A few tech companies are already leveraging the attraction of video to set up platforms that allow shoppers to visit stores in real-time. V-commerce is revolutionizing the Indian retail industry, and it will be bigger and better than traditional e-commerce marketplaces. 



Published by – indianretailer.com

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