7 Reasons Why Travel & Accommodation is a Major eCommerce Category in India

India is a land of diversity and every state has something new to offer. From the Himalayas in North India to coastal areas like Goa, Kerala or Lakshwadeep; from deserts like Rajasthan to lush forests like in Madhya Pradesh; from mighty forts like Ranthambore Fort to city life at Delhi; India offers travellers a wide range of experiences and stories worth sharing.

Let’s go over some reasons why Indians love travelling and why Travel Mobility & Accommodation is an eCommerce segment worth exploring if you're planning to jump into India's eCommerce market as an online business in this segment.

1) India is HUGE

India is the seventh-largest country by area, spanning out in a massive 3.287 million km² area. With a versatile terrain, India has it all - from beaches to mountains, historic monuments to great wildlife sanctuaries, your options can’t run out. This provides a great opportunity for the travel mobility and accommodation industry to flourish.

2) The option to book tickets online

Back in the day when eCommerce wasn’t a thing in India, people relied on travel agencies for their travelling and accommodation. Gone are the days now, India has the option of booking tickets and accommodation online and the young generation has embraced this option as it's hassle-free and quick.

3) Indians seek experience

Indians like trying new things and this habit keep them going. India offers a wide range of experiences and its people welcome those experiences with open arms. From the hills of Darjeeling to the beaches of Goa; from skiing in Manali to surfing lessons in Chennai; from trekking in Wagah Border to witnessing the colourful city of Jaisalmer – it’s all worth experiencing! And that's not all - India also hosts various International Festivals and events which is also why the country is flocked by travellers all over the year.

4) India is a traveller’s paradise

India is a land of diversity and every state has something new to offer the world. From the Himalayas in North India to coastal areas like Goa, Kerala or Lakshwadeep; from deserts like Rajasthan to lush forests like in Madhya Pradesh; from mighty forts like Ranthambore Fort to city life at Delhi; India offers travellers a wide range of experiences and stories worth sharing.

5) India is the top eCommerce market

India tops the list when it comes to eCommerce market size (reaching $40 billion by 2030). This means that India loves online shopping. India is one of the top countries in terms of active mobile phone users and this keeps India glued to online shopping websites all day long (definitely no time for boredom here).

6) India has the highest number of smartphone users

India has a whopping number of active mobile phone users and India tops the list in terms of active mobile phone users. And we Indians love our smartphones! Yes, we obsess over them and scrolling through our phones before bedtime is not uncommon at all. That’s why we keep browsing through travel sites and eCommerce apps to book flights, hotels, order food or find cool deals on various activities that interest us. India loves booking stuff online because it’s easy and saves time!

7) Travelling during the pandemic within India

Despite spending most of 2020 looming under the shadows of COVID-19 that stalled the growth of hotel chains and the travel industry across India by -54.4%, people spent a whopping $35.18 billion on travel and accommodation. That shows how strong this segment is and how much it contributes to the eCommerce market in India. The travel mobility and accommodation sector, with all its ups and downs, came out stronger with the easing of restrictions. In no time, travel lovers were seen packing their rucksacks again, making travelling webshops like MakeMyTrip, Cleartrip and Expedia busier than ever. This has increased the outturn for the travel mobility and accommodation industry manyfold in 2021.

Here is a look at the search trends from 2020:

Conclusion

There’s never been a better time to get into the travel mobility and accommodation industry. People are travelling around the country with a need to find quality getaways. Thanks to the versatile terrain of India, the demand for travel and accommodation is all year long. If travel mobility and accommodation is your niche, India is the place for you to set up your webshop and start meeting the high demand in the country, you’ll get busy real quick!

After intensive research, the AdHelp.io team has put together a case study on India’s eCommerce scene. If you’re trying to understand the Indian market or even looking for inspiration, this could be a great study for you.

Grab the case study for free - Indian eCommerce: A Goldmine for Your Webshop

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