By Published: 09th July 2016 | The New Indian Express
KOCHI: Kochi native Roopa George, who has been purchasing things online for years, bought jewellery online last month for the first time. She bought Jadav jewellery from one of the online jewellery stores upon the persuasion of one of her friends.
Roopa represents a consumer segment who were once skeptical about the e-commerce space while buying jewellery. With the larger penetration of gifting segment and with competitive pricing, the online jewellery market in India is expected to cross Rs 24,000 crore in size in the next three years. It is roughly 20 per cent of the estimated global market size of Rs 1.22 lakh crore.
“Online platforms in the jewellery industry are beneficial for not only the customers but the manufacturers as well. Customers can enjoy hassle-free shopping while it makes business easier for those large unorganised sectors who are highly fragmented. Going forward this business segment will only grow,” said Puja Bansal, Myheera.com, a virtual jewellery store.
According to an ASSOCHAM-Forrester study, India’s e-commerce revenue is expected to jump from $30 billion in 2016 to $120 billion in 2020, growing by 51 per cent, the highest in the world.
Confirming the trend, Bhima Jewellery Managing Director B Girirajan said that the company, which has 30 stores in South India, will soon venture out into the online space.
“The biggest benefit of online jewellery, especially in metro cities, is that it offers convenience. The consumers will be benefited as there will be comparison of price by customers hence companies will have to offer competitive pricing,” he said.
Industry experts point out that all kinds of jewellery find takers on the online space, especially for the purpose of gifting.
When more jewellery groups like Kalyan, Bhima and Malabar Gold enter into the e-commerce segment there will also be competition on making and other charges, ultimately benefiting buyers.
Joy Alukkas Group Chairman Joy Alukkas foresees pick up in online jewellery segment. “With the backing of youth, sales of jewellery via online channels will only grow in the country,” he said.
“More offline players will enter into the marketplace sooner or later,” Alukkas added.
According to D Dhanuraj, Chairman, Centre for Public Policy Research, “There will be no reversal of the trend rather more customers from the traditional stores will migrate to the virtual space. The trust factor in the online space has increased in the recent years.”
This news was published in The New Indian Express Online space glitters, lures youth with jewellery gifts at competitive rates