Indian ecommerce is picking up slowly and steadily. According to McKinsey and company, yearly online sales are expected to reach$2 billion by the year 2015.
According to Forrester, the Indian ecommerce market is expected to grow at a CAGR of over 57% by the year 2016. An interesting fact about online buyers in India is that rural consumers constitute a major portion of total online buyers.
Online payment methods and transaction security concerns are the main hurdles to be crossed to trigger the growth of Indian ecommerce. According to McKinsey, less than 1% of Indian population holds credit cards and around 200 million people use debit cards. In spite of it, Indian ecommerce is increased by 34% a year since the year 2005.
Most of the reputed ecommerce websites Accept Credit Card Payments. However, Indian consumers have multiple payment options while buying online. They can use credit card, debit card, net banking or cash on delivery. Just like any other emerging markets, in India also cash on delivery is a preferred mode of payment with alarmingly high return rates.
By the year 2015, Internet penetration is expected to cross the target of 350 million households. Now is the right time for Indian e-retailers to establish their online presence by setting up state-of-the-art online stores with trustworthy online payment options.
There are a number of instant merchant account providers who offer fast and secure payment options. By setting up such account, an e-retailer can offer a number of payment options to the customers. Customers can make payments using credit cards, debit cards, gift cards, Electronic Benefits Transfer etc. All the transactions are performed through the highly secure payment gateways.
However, the consumers need to be cautious of fraudulent ecommerce websites dealing with high risk businesses. Such high risk businesses are refused ecommerce licenses. They set up their high risk merchant account through offshore or international agents. Make sure that you make your online shopping through reliable and authentic e-retailers.