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D2C E-commerce Sector Witnesses Increase In New Sellers From Tier-III Cities Amidst The Pandemic: Report

The tech-powered platform has noted a 5X increase in first time shippers after the onset of the pandemic and has released a detailed report on various categories that show the state of the fast-growing D2C sector in India

New Delhi, November 11th, 2020: Just ahead of India’s grand festive season, Shiprocket, India’s leading tech-enabled D2C aggregator, has released a report on the state of the D2C e-commerce segment that details various aspects including new sellers, most popular online channel, top product categories, etc. Since the onset of the pandemic, Shiprocket has added several new sellers with 69% new sellers who joined after the global pandemic, availing the brand’s service in September.

The report is an analysis of shipment trends just ahead of the grand festive season in the D2C sector for a period between 1st September and 30th September, with a sample size of over 40, 816 sellers across the country.

The up-and-coming company also observed that the most popular sales channel for new sellers (17.92%) were social media platforms while for existing sellers, it was the online websites (35.19%). The second most popular channel for new sellers was offline channels (12.04%) and for existing sellers, it was noticed that social media (32.75%) was the next most popular sales channel. Shiprocket also noted that the top product categories during the festive season were personal care (18.45%), food and groceries (16.51%), apparel (15.09%), electronics (11.37%), healthcare (7.60%), household and cleaning supplies (4.59%), and jewelry (3.83%).

Speaking on the festive season report,Mr. Akshay Ghulati, CBO, and Co-Founder of Shiprocket said, “It is interesting that we are seeing an increased adoption of social media channels for online selling amongst new sellers during the pandemic. We expect that many of these sellers will now also set up their own website to help build their brands and increase online sales. This has been especially true in the personal care segment where we have seen a host of new brands emerge during the pandemic with unique product propositions. Shiprocket is an essential service to provide a superior customer experience and we expect to see strong growth even post the festive season as many of our sellers will continue to build their brands further.”

With a strong presence in tier-I and tier-II cities, sellers from tier-I cities accounted for 44.20% and sellers from tier-II cities accounted for 32.19% of the sellers on the Shiprocket platform. Sellers from tier-III cities constituted 23.16% of the seller base. Shiprocket also took into account the top cities for pick-up and delivery. The report found that cities such as New Delhi, Mumbai, Bangalore, Surat, and Gurgaon were the top cities for pick-up of goods. New Delhi, Mumbai, and Bangalore topped the charts again for the most delivery of shipments with Hyderabad and Kolkata securing the 4th and 5th positions.

Shiprocket’s detailed festive season report also determined that the transactions, which involved cash on delivery had significantly declined in the post-COVID era as compared to the pre-pandemic times. The e-commerce aggregator witnessed 63.64% of male sellers on its platform and 36.36% of female sellers. When determining the most popular products, Shiprocket found that N95 facemasks, health and sexual wellness supplements, personal care products were some of the in-demand products.

Speaking on the festive season report,Mr. Saahil Goel, CEO, and Co-Founder of Shiprocket said, “This is a time when the e-commerce segment is growing at a breakneck pace with the demand for home delivery skyrocketing. Our festive season report is aimed at analyzing the current position of the D2C sector and forecast its progress. We have noticed that as compared to September 2019, there has been a 160% increase in the order volume. We are also expecting that the festive season will bring in added value in terms of revenue, sales, and the number of sellers using Shiprocket. Our team of experts has predicted over 100% of growth in the volume of sales by 2021 and we will continue to expand our services to cater to small and medium sellers across the country.”

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D2C e-commerce sector growth COVID-19

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