India is a growing digital market – over 200 million people are connected to the internet, and contributing to an exponentially growing economy. The young and dynamic user population is driving the growth of online consumption in sophisticated ways that are in line with developed countries in the current scenario.
India’s Internet revolution has been largely shaped by telecom players’ strategies to reduce cost of access. The cost of acquiring a smartphone is falling rapidly as players achieve scale in economies, whilst the proliferation of 3G/4G services in India is likely to reduce connectivity costs further and overcome the challenge of accessing internet anytime anywhere.
Not only does India have the world’s second largest population, but it is also emerging as one of the fastest growing digital economies. This transformation has been possible due to rise in purchasing power of consumers, constantly declining cost of smart devices, growing facility of internet and availability of customised subscription packets for all types of customers.
Almost ~30 per cent of Indian population access internet only via mobile and this upsurge in internet consumption is ushering new opportunities for the Indian service providers in various areas:
- Spearheading the growth of ecommerce in India: The Indian e-commerce market currently stands at USD 13 billion in revenues and has grown at a CAGR of ~36 per cent in last 4 years. With approx. 25 million online buyers, Internet is enabling faster adoption of e-commerce market in India. Consumers are leveraging social media to influence purchase decisions across the entire purchase lifecycle and the ease of web as well as mobile payments is further smoothening the online purchase activity.
- Creating a mobile driven economy in India: Banking, retail and travel industry have switched to mobile in a big way. Tablets and mobile technology are changing how education is delivered in schools and universities. Indian technology industry has witnessed notable achievements in mBanking, mHealth, mRetail and mobile advertising etc
- Improving E-governance in the country: The government has also emerged as a major user of the digital platform, leveraging mobile and internet to reach citizens, and ensure transparency in functioning through automation. Automatic meter reading, e-Aadhaar initiatives, smart grid etc. are some of the projects Indian technology industry has experience so far. Approx. 600 million enrolments are completed under Aadhaar by 2014 along with >1 billion eGov transactions, envisioning growing prospects for the Industry going forward.
- Driving opportunities in futuristic technologies such as IOT and connected world: Automation, IOT as well as SMAC are emerging as focal areas for the new age technology. Connected vehicles, smart buildings, location tracking services, driving automation, NFC enabled cards etc. are the new prerogatives for the Indian technology industry.
The Internet of Things (IoT) has the potential to transform industries while connecting millions of new devices, locations as well as people and allow them to deliver and share information, enhancing business value and unfolding new business opportunities. Consumers are already embraced to multiple connecting devices including smartphones, iPads and tablets – and hence, businesses need to offer integrated solutions considering this phenomena if they desire a unified view of their customer needs.