Ecommerce Regional Contribution Analysis

Ecommerce Regional Contribution Analysis

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Orchestrating ecommerce growth is very complex for ecommerce companies, with many different strategies on the table for increasing marketshare and penetration. For example, Amazon has added Prime video and other ancillary features to improve new user acquisition and retention. Flipkart has begun a foray onto niche categories like Grocery / Quick Commerce to improve product offerings. Meesho focuses on women entrepreneurs from lower tier markets to help them build successful businesses.

Which regions account for which % of orders for each platform, and how does this impact strategy? Let's take a look at the Vumonic data. According to the Government of India, the rate of urbanisation in South and West India is nearly 50% and in North and East states it is about 25%. Along with higher literacy rate, internet penetration and ability to do online payments - South & West zones have been front runners in ecommerce adoptions.

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We analysed more than 1 million items solds on these platforms from the period of April to Sept 2021 and it is clear that higher scale of order volume is achieved by maximizing contribution from South Zone specifically. Interestingly, the North zone is also a significant contributor to platforms that tap the Fashion and Lifestyle buyers.

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In our next piece we will explore volume contributions across Tiers for key Platforms.

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Vumonic Datalabs is a global consumer intelligence platform. We provide high quality, deterministically linked, large structured data that can be used to derive deep consumer,  business and market insights. Our proprietary data pipelines deliver unbiased actual transaction data collected in a privacy secure manner via large global panels.

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