In a groundbreaking revelation, a recent report by the Pahle India Foundation sheds light on the transformative role of e-commerce in India’s jobs sphere.
The study, titled “Assessing the Net Impact of e-Commerce on Employment and Consumer Welfare in India,” underscores the significant job creation spurred by online vendors.
With 15.8 million jobs generated, including 3.5 million for women, e-commerce has emerged as a powerful engine of economic growth. Let’s delve into the details.
The Magnitude of E-Commerce Jobs
Online vendors—ranging from small entrepreneurs to large e-commerce platforms—have collectively contributed to a staggering 15.8 million jobs across India.
This digital revolution has transcended geographical boundaries, reaching both urban centers and tier 3 cities. The employment surge is not only quantitative but also qualitative, with e-commerce offering diverse roles across skill levels.
One of the most heartening aspects of this report is the inclusion of women in the e-commerce workforce. Approximately 3.5 million women have found employment through online platforms.
These opportunities extend beyond traditional roles, encompassing areas such as management, marketing, customer service, operations, warehousing, logistics, and delivery.
E-commerce has effectively bridged the gender gap, providing women with meaningful work and financial independence.
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E-Commerce Industry: Comparing Online and Offline Vendors
The report highlights a compelling disparity: online vendors employ 54% more people than their offline counterparts. On average, each e-commerce vendor hires about 9 individuals, with 2 of them being female.
In contrast, offline vendors employ approximately 6 people, with only 1 female employee. This stark difference underscores the efficiency and scalability of e-commerce businesses.
The digital realm allows for rapid expansion, leading to job creation at an unprecedented pace.
E-commerce’s impact extends beyond employment—it significantly enhances consumer welfare. Consumers from tier 3 cities exhibit robust spending habits, with a higher percentage spending over ₹5,000 per month on online shopping.
This trend underscores the coexistence of physical and digital retail. As e-commerce penetrates deeper into India’s heartland, it not only empowers vendors but also enriches the lives of consumers.
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