The Indian e-commerce market is expected to grow to $150 billion by the year 2022. Being fuelled by increasing internet penetration and shift to smartphones, this sector is already witnessing cut-throat competition.
As per a report by Economic Times, the search engine giant Google is working with country’s leading e-commerce players to launch a shopping tab for the Indian users. The company is in talks with Flipkart, Paytm, and Snapdeal and participate in this initiative.
The sources familiar with the matter have claimed that Google is also expected to reach out to the large and existing network of small and medium-sized enterprises — these merchants often don’t list their products on Flipkart or Amazon. The company will initially provide the service free of cost to the retailers.
It’s worth noting that Amazon launched a similar price comparison initiative in the form of Junglee.com before starting a full-fledged online e-commerce business. So, it could also be seen as Google’s initial attempt to test the waters.
Another important factor that could be seen as an inspiration to Google is its declining product search market share to Amazon. In the US, more than 50% product search begins at Amazon — it takes away a good chunk of advertising revenue from Google. Just recently, we also came across reports of Amazon pushing more advertising and homegrown brands inside its website and app.
There’s no denying the fact that Indian e-commerce market is going to become a fiercer playground in the upcoming months. Do share your views in the comments section regarding these developments and keep reading Fossbytes for more updates.