Emerging Markets: Online Shopping’s Next Frontier

There is a burgeoning trend of online shopping amongst mobile users in emerging markets, including India, Kenya, the Philippines and Nigeria, according to a March 2013 market research study conducted by Jana.

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    Online shopping is seeing a universal progression, with a notable growth in emerging markets. In order to better understand the eCommerce market in these growing sectors, Jana generated research that surveyed 3,000 mobile users in India, Kenya, Nigeria, South Africa and the Philippines. We bring you the numbers from an eMarketer breakdown in this PYMNTS Data Point.

    Frequency Of Online Shopping

    According to the Jana research, South Africa, with 67 percent, reigned as the surveyed country with the highest percentage of mobile users who said they purchase merchandise online “sometimes.” Kenya came in last, with 56 percent of consumers shopping online.

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    The Jana survey reminded readers that the number of mobile phone consumers in these countries represents a comparably small proportion of the population. These users are likely to be people with access to the Internet.

    Top Sites For Online Purchases

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    The study cited that eBay had the strongest eCommerce presence within these emerging markets. EBay appeared in each country’s top five sites; these sites being the most popular for online shopping. The online classified site, OLX, also had a strong presence in India, Kenya and South Africa. Amazon and Google ranked in the top five for Kenya and Nigeria.

    Incentives and Obstacles In Online Shopping

    Mobile user participants listed convenience and price as the leading reasons for shopping online. Jana reported that using eCommerce sites and the overall online experience was an easy process. When asked if there were any obstacles causing hesitation amongst consumers in the emerging markets, delivery time was reported as the biggest problem in all studied countries. South Africa, Nigeria and the Philippines reported trouble with Internet connection to also be a challenge. Kenya and India expressed security concerns.

    To read the full report at Jana click here, and to read The eMarketer article click here.