Feasibility study of adoption of methods and technologies used by international online apparel players by Indian online players to reduce discounts

Abstract

In the recent time Apparel industry is growing at tremendous pace and many new sites like Amazon, Snapdeal, Myntra, Jabong, Abof, Limeroad etc. forayed into the retail industry. The competition so fierce that every player is trying to differentiate itself with the offline stores on the basis of service and gain maximum share of pie. Services like one-time delivery, oneday delivery and 2-day delivery have become USPs of the companies selling apparel online Changing lifestyle and lack of time with increased convenience compelled Indian consumer to shop online. On the path of acquiring customers, e-commerce players have indulged in heavy marketing through discounting over last few years. They try to provide best service like free delivery, free returns, customer support and that too at a very competitive and affordable price. Apart from the few established players in the online space there are few niche players as well. Sites like Limeroad.com has made online shopping a social experience. They get most of the traffic through Facebook, where they promote their styles available on their site. Sites like Mr. Button are into the traditional service to the niche audience. The customer sends the measures and the they send the tailored clothes. They also let the customer choose the style and design for the clothing. Although the online companies have drastically changed the behavior of the customers of buying clothes online but this industry is not less challenges. Heavy discounting allowed to acquire new customers but could build loyalty. Other problems like delivery blunders, inefficient supply chain and logistics need to be addressed at the earliest with the use of proper technology in order to make this business more sustainable. Let’s discuss about few established players, about their revenues, problems faced by them and what they are doing to come to a path of profitability.