The growth of E-commerce and small businesses in India

E-Commerce, as mentioned in our previous blogs, has gained massive acceptance in the Air Cargo Industry. During the pandemic, e-Commerce made the transportation of essential goods convenient. With the growth of e-Commerce in the aviation industry, small and medium enterprises started gaining interest. E-commerce has increased the flexibility of schedules and allowed passengers to select the best possible offer. 

Now, speaking of the airlines, with the growing E-commerce sector, there was a noticeable shift toward a digital approach. The paper-focused industry started adopting new technologically advanced methods. With the increase in demand, the competition among the airlines also increased. Airlines began highlighting their distinctive features to generate and retain a pool of genuine customers. This also led to increasing the market base. The electronic methods also reduced the time consumption and the unnecessary cost incurred. 

Moreover, one of the first airlines to bring the e-Commerce approach was American Airlines. They developed the Sabre computer reservation system to track available seats. This step created a revolution in the Air Cargo Industry. Also, a survey conducted by Barclaycard highlighted that people prefer using online check-in systems. 

Well, with the ease of access, the internet has also provided a sea of options for consumers.  

With the growing e-Commerce sector, customers can make a conscious choice to suit their needs. According to the reports by Yang, published in 2001, the revenue management system should determine the flights and prices and put the number of seats on the internet. Cargoflash’s nGen RMS maximises the airlines’ profits by providing real-time budgets and forecasts. There has been a significant transformation in the e-Commerce sector over time. People initially had security issues, but with the enhanced privacy policy and technological growth, traditional methods have diminished.

Ever since the world has moved noticeably forward. For now, SMEs are growing with the assistance of airlines. With the growing demand and competition, it becomes easier for airlines to tap into small enterprises. Several airlines announced small to medium-sized enterprise programs; Indigo being one of them. Small businesses could enrol in these schemes and avail of benefits like changing their bookings, free snacks and much more. 

Talking of programs, Jet Airways launched a digital platform named GlobalLinker, in 2014,  to fly, connect and network with each other. There were around 50,000 SME members reported by 2017-end. Not just in India but globally too, various airlines announced such SME schemes. Even Lufthansa, in collaboration with ET Now and TiE Global, launched a mentorship program with the winner getting a chance to get a business programme at Cambridge University. SMEs are an attractive target and tend to be lucrative airline partners. American Airlines has a dedicated corporate business share that SMEs can acquire. The airlines are constantly launching and rewiring their programs to suit the industry trends and challenges. 

So, with all the acquired data, it can be stated that with the growth of the e-Commerce segment, there has been a positive growth of SMEs, as well, in the aviation sector.

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