MAM
Online sales touch Rs 1.15 billion in festive season: IAMAI
MUMBAI: Festivals are almost synonymous with shopping and in the e-Age, more and more shoppers are doing that online.
According to a research undertaken by the The Internet & Mobile Association of India (IAMAI), the festival sales online jumped a whopping 117 per cent to Rs 1.15 billion this year from Rs 530 million in 2004-05.
Also, online sales clocked across 8,10,000+ transactions in three weeks delivered a 135 per cent increase in transactions as opposed to 3,45,000 transactions in 2004-05 during festival season.
The figures show that online shopping has truly come of age and consumers are keen to shop on the net. Festival Shopping is the prime time for multi-channel retailers to attract new shoppers.
What has also helped online marketers to seize a slice of the Rs 1.15 billion sales pie is effective customer communication on products coupled with reduced shipping costs and timely delivery.
According to IAMAI, these purchases accounted for 10+ per cent of total Indian online sales estimated at Rs 11.80 billion for this year sans travel categories over a three week festive period.
IAMAI president Preeti Desai said, “With e-commerce revenues to cross the Rs 11.80 billion for 2005-06 (IAMAI estimate) and a growing internet user base currently at 32+ million its been a sparkling Diwali and Eid in 2005-06 as e-commerce sales crossed to a whopping Rs 1.15 billion in three weeks period. Online retailers have consistently seen growing consumer interest in buying Diwali and Eid gifts online. Each festival season Indians seem to be leaving their shopping for the last minute and this year was no exception – as we sold 61 per cent of gifts in the two weeks prior to Diwali day, compared to 54 per cent last year.”
“The key reasons we have been able to deliver strong growth in the last two years is because of a broad product selection and the ever-expanding range of unique and unusual gift ideas offered as well as increased consumer confidence in shopping on the Internet. We are fairly confident about the next wave of Ecommerce where the “Younger Super Internet Consumers” who use the Internet in almost every facet of their life will push Internet Sales to levels most people are not likely to believe,” she further added.
Diwali and Eid 2005: Statistics on online sales
Revenues have risen by 117 per cent as sales increased from Rs 530 million in 2004-05 to Rs 1.15 billion in 2005-06 as consumers have become accustomed to purchasing online and look to the Internet to find comprehensive product information, competitive prices and easy gift delivery across geographies within India and outside India.
Approximately 4,15,000+ lakh Indians made purchases online this Diwali across more than 8,10,000 transactions. Average transaction value: Rs. 1420.
Shoppers were price and value conscious – Their Diwali shopping ranged from as little at Re 1 to as high as Rs 1,40,000. Consumers could choose from an online catalogue of more than 3,60,000 products. [Re 1 products refer to auctions]
In terms of products, different categories faced mixed fortunes. As last years, consumer electronics, such as digital cameras, mobile phones and accessories, DVD players and microwaves topped Diwali shopping list of consumers in most major cities. Followed by gifts (mithai, chocolates, dry fruit and flower hampers), apparel, jewellery and accessories (mainly watches). Crackers and educational toys also did well this Diwali.
Spurred by improved site usability, wider product assortment, better services and competitive prices consumers spent on multiple transactions online consumers had an appetite for higher-end products boosting numbers of products above Rs 7000. Gift certificates are still popular as sent instantly via email.
Across various member sites the most active online shopping days were typically five days before Diwali and Eid – 28 October – 3 November 2005 saw a dramatic surge in transactions. Dhanteras and Bhau Beej on 30 October and 3 November respectively saw a lift in silver and gold coins as well as jewellery.
Almost all websites offered 24 hour Express Delivery for ‘last minute shoppers’ on specific categories.
Shoppers spent more time in searching and comparing products with maximum shopping orders being placed between 6 – 10 pm. Interestingly consumers transacted from office, home and cybercafés.
When you plan to buy medical insurance for your family, the first question is often about savings. You may assume that buying online automatically means paying less, but that is only part of the picture. The real issue is not just whether the premium looks lower, but whether the policy gives you suitable family health insurance without adding avoidable costs later.
Buying online can sometimes appear more budget-friendly because you can compare plans, review features, and complete the process without depending entirely on offline assistance.
Still, a lower visible price does not always mean better value. To understand whether you can truly save more, you need to look at the full buying experience and the policy terms together.
Why Online Purchase Can Look More Economical
When you explore family health insurance online, you usually get access to plan details in a more direct and organised way. This can make the buying journey feel simpler and more transparent.
A few reasons online purchases may seem cost-effective include:
● Easier comparison of policy features
● Direct access to premium details
● The ability to review inclusions and exclusions at your own pace
● Fewer chances of making a rushed decision
● More control over the plan selection process
This does not mean every online option is automatically cheaper. It simply means the online route may help you assess choices more carefully, and that itself can influence how much value you get from the policy you choose.
Saving Money is Not Only About a Lower Premium
A lower premium often catches your attention first, but that should not be the only measure of savings. If you buy medical insurance based only on what looks affordable at the start, you may overlook conditions that matter later.
A family health insurance policy should be judged on overall value, including:
● The scope of cover
● Waiting period terms
● Exclusions
● Room eligibility conditions
● Sub-limits, if any
● Claim-related terms
● Renewal conditions
If the premium is lower but the policy has stricter internal conditions, the apparent saving may not feel meaningful when you actually need hospitalisation support.
So, the better question is not only whether online purchase costs less, but whether it helps you select a plan that remains financially sensible over time.
Comparing Plans Online Can Prevent Overspending
One clear advantage of the online route is that it allows you to compare different options without pressure. This can help you avoid paying for features you may not need or missing features that matter for your family.
Before you buy medical insurance online, look closely at:
● Who can be covered under the plan
● How the sum insured works for the family
● Whether day care procedures are included
● How pre-existing illness rules are explained
● Whether add-ons are optional or built in
● How clearly the policy wording is presented
This level of comparison can support better decision-making. In many cases, savings come not only from the premium itself but from choosing a policy with fewer surprises.
Online Discounts Should be Viewed Carefully
Online discounts can make a plan look attractive, but they should always be read alongside the policy details. A discount may reduce the upfront cost, yet the true worth of the policy depends on what it covers and how it responds during a claim.
When reviewing discounted online plans, check whether the policy has:
● Treatment-specific limits
● Room rent restrictions
● Co-payment clauses
● Disease-wise waiting periods
● Claim deductions linked to the hospital category
● Limited cover for selected benefits
These points are important because a policy that looks cheaper at purchase may involve more out-of-pocket spending later. That is why discount-led buying should be replaced with detail-led buying.
Final Thoughts
Yes, buying online can sometimes help you save more when choosing family health insurance, but only if you look beyond the headline price. The online route may give you better visibility, easier comparison, and more time to review the policy terms.
That can support smarter choices and may reduce the chances of paying for a plan that does not suit your family well.
If you want to buy medical insurance online, treat savings as more than a discount. The real advantage lies in choosing family health insurance that balances affordability, clarity, and meaningful coverage for your household.
