Consumers moved thousands of crores worth of electronics shopping online this year, including for large appliances, a trend strengthened by the entry of quick commerce into the segment.Online channels accounted for 34% of the consumer electronics sales in the country this year, up from 32% in 2023, shows data from market researcher NielsenIQ. This 2 percentage point increase means sales of around ₹11,000 crore have shifted to ecommerce from offline retail, the researcher said.Online sales of all electronic products including smartphones, laptops, TVs, air-conditioners and refrigerators are estimated to be Rs 2 lakh crore in calendar 2024, it said.Indian consumers are increasingly buying large appliances such as washing machines and ACs online as they are now comfortable to forsake touch and feel, NielsenIQ said. Quick commerce players such as Zomato's Blinkit, Zepto, Swiggy Instamart and BigBasket are fast expanding into electronics and durables, adding one category after another. They have also begun servicing orders for kitchen appliances and other small domestic appliances beyond smartphones. This has started to reflect in the shift towards online sales, said Sharang Pant, commercial leader, tech and durables, NielsenIQ India."Consumers have evolved in their purchase journey and are ready to buy without touch and feel since, as in many cases, they know which brand and variant they want to buy or have researched offline," Pant said."Our data shows that of all consumers who research offline for options, one in five end up buying the final product online," he added.For IT products including laptops and tablets, the contribution of online sales is up from 40% in 2023 to 43% this year till October, NielsenIQ data showed. For washing machines, the share of online to total sales has increased from 22% to 24% during the same period. It rose to 12% from 10% for ACs and to 18% from 17% for refrigerators.The data covers the month-long festive period which ended in October this year with Diwali.Haier India president Satish NS said online channels are covering newer geographies where the reach of store distribution has been weak, such as the Northeast. "Quick commerce can potentially become a big channel for small-ticket products since it fulfils the impulse need," he said. "But for premium products, most still prefer in-store purchases."NielsenIQ confirmed this, saying unit sales salience of online is higher than value salience, indicating consumers are still buying more of entry and mass products online while preferring offline purchase for high value categories and premium models.116575911As long as ecommerce platforms are able to provide the right amount of product information supported by promotional offers such as EMIs and cash back, consumers are willing to transact online, said Lenovo India director, ecommerce, Amit Chatrath. The company is reporting 50% growth in online sales year-on-year, he said.NielsenIQ's consumer survey shows that 33% of shoppers are buying new electronic products online compared to 26% in 2021.Pant said while smartphone online sales volume continues to grow at a healthy pace, its value share within total ecommerce has come down as consumers are now purchasing more of other large appliances online. The share of smartphones to overall online sales fell by three percentage points year on year to 36.7% during the 2024 festive season.Swiggy Instamart CEO Amitesh Jha told analysts earlier this month that it will expand into more non-grocery categories such as small home appliances and electronics to improve average bill value and higher gross margin.
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