Today, in this article, we have to throw some light on digital marketing in India. How can we expand such ideas?
Current Situation In Digital Market
Under the new e-commerce policy, the government will have to set up a regulator to address complaints about consumer interests and product quality in the digital market. Only then will the general public be connected to the digital market.
The digital market is expanding in India as well as in other countries, but the average person in the country is still far from the digital market. According to a report by management consultancy Redseer, the number of online shoppers in India last year was just 18.5 crore. The situation is that many people who use the internet are still far from the digital market.
In this report 'India's Digital Economy in a Post-Quid 19 World', Morgan Stalney states that only about 30 per cent of Internet users in India use the digital market. In China, the figure is 78 percent. Most of the small entrepreneurs and professionals who cater to the needs of ordinary citizens in India are also away from the digital market. According to the Federation of Indian Small, Medium Enterprises, there are more than six crore micro, small and medium enterprises in the country, of which only 1.5 million are connected to consumers through the digital market.
Law Is Necessary For Digital Marketing
The biggest threat to digital market exchanges is information theft. Due to the increasing incidence of online fraud, a large number of people do not have enough faith in the online system. The big reason for this is that we still don't have any strict laws to prevent online fraud. Of course, even though the common man in the country is far from the online market, the use of this market among the middle and upper class people is steadily increasing. There are a number of reasons why the digital market is expanding rapidly and attracting foreign investment.
The biggest gift of the digital marketplace is the ability to deliver products online at home, along with the convenience of returning products online. It is also true that the ambition to live a quality life has increased even among consumers in small towns. There is also a growing number of forums with many different options in the digital marketplace for the availability of essentials for such life.
Some e-commerce companies have even made shopping available in various regional languages, including Hindi, Tamil, Telugu and Kannada.
Foreign Investment Boost The Digital Market
Foreign investment in the sector is also on the rise. At the same time, the digital tax levied on the digital business of foreign Indian companies, i.e. Google tax, has become an important part of the country's revenue. Foreign digital companies with an annual turnover of more than Rs.2 crore in India are subject to a two per cent Google tax on income earned in India.
The tax bracket covers companies operating in India on e-commerce systems in various countries around the world, including the United States and China. According to the Finance Ministry, Google's tax collection in 2020-21 was Rs.2,057 crore. In 2019-20, the collection was only Rs.1136 crore. This means that in just one year (2020-21) Google tax collection has doubled.
The city of Bangalore, known as Silicon Valley in the country, has a share of Rs.1,020 crore in Google tax collection. Arrangements should be made to make computers and internet easily accessible to the general public to increase their access to the digital market.
To Increase Interest In Consumer
In order to expand the digital market, small entrepreneurs and professionals need to be given special incentives. Under the new e-commerce policy, the government will have to set up a regulator to address complaints about consumer interests and product quality in the digital market. In addition, a useful regulatory mechanism will have to be developed to create a mechanism for tax collection from foreign e-commerce companies.
Furthermore, in order to protect India's interests in the digital marketplace, Google needs to make its case to the US Trade Representative and various global organizations, including the World Trade Organization, in a concrete and equitable manner. There is no doubt about the bright future of the digital market in India. If we want to seize this opportunity, we need to strengthen this market by providing the necessary resources. Only then can the general public be connected to the digital market and that is what will boost the economy.
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