The impact on the Indian industry
E-commerce has become a first-class distribution channel worldwide: home reclusion and the stop of activities for retail stores during the COVID19 pandemic have accelerated transformation in distribution channels. Such a revolution is more visible in developing countries, such as India.
Even before the pandemic, the country was a super-power among international markets, thanks to its demographic growth and improved living conditions. During the pandemic, the digitalization in the country and the increasing internet and smartphone penetration changed people’s habits. Due to distancing restrictions, e-commerce and online platforms have become the first choice for purchase.
E-commerce is leading to positive effects on society: the growing purchase percentages by all generations, as well as in rural areas, are pushing companies to invest in digitalization, quality standards, and logistics. The direct consequence is a boost in employment and new professional profiles and an increase in export and branding for the Indian beauty industry. The local government is actively promoting digitalization and e-commerce services, delivering specific regulations to protect online consumers and grant loyal concurrency. Besides big multinational companies, new local platforms and start-ups are being launched on the market, providing multiple choices for consumers and brands.
Launched in January this year, the Italian Mall currently hosts around 50 brands and 800 products to the Indian consumer, with beauty generating more than 50% of its value. The marketplace is meant to be a stage for products representing the excellence, high quality, and creativity of Italian brands, nourishing the Indian consumers’ taste for Made in Italy products and providing them with an immediate digital interface.