Omnichannel E-commerce in India: Strategies for Retail Success

Omnichannel e-commerce connects several channels, websites, mobile apps, physical stores, social media, and marketplaces to create a unified shopping experience.

In India's new-age retail landscape, omnichannel helps address modern consumer expectations by enabling.

• Easy transitions between online and offline shopping
• Consistent brand experiences across all touchpoints
• Personalised recommendations based on previous order history
• Convenience throughout the entire shopping journey

As today's consumers increasingly adopt non-linear shopping journeys, brands like yours must embrace strategies discussed in this guide to build an omnichannel presence at all possible touchpoints.

The Evolution of Retail in India

The Indian retail sector has changed through the years in distinct phases, each shaped by evolving consumer preferences and technology.

Traditional Retail Era (Pre-2000s)

Local Kirana stores and weekly markets ruled the landscape, offering personalised experiences through relationships built over the years. Shopping was primarily a localised experience with a limited product range.

Organised Retail Emergence (2000-2010)

This phase saw the rise of large-format stores and shopping malls. Brands like Big Bazaar, Shoppers Stop, and Pantaloons expanded across India, offering standardised shopping experiences.

Digital Commerce Revolution (2010-2018)

Smartphones and affordable internet access fueled the e-commerce boom. Marketplaces like Flipkart, Amazon India, and Myntra became common, yet online retail grew by 25% during this period. However, online and offline channels typically operate in isolation.

Omnichannel Transition (2018- Present)

An integration of physical and digital channels characterises the present stage.

• Omnichannel retail experiences 50% higher growth compared to single-channel approaches
• 73% of customers use multiple channels before making purchase decisions
• Despite this growth, e-commerce still accounts for only 7-8% of total retail sales

What is Omnichannel E-commerce?

Unlike earlier retail models that treated channels as individual units, omnichannel acknowledges that today’s customers move fluidly between mediums and expect the same experiences regardless of how they engage with your brand.

This multi-channel integration enables real-time synchronisation of inventory, customer information, pricing, and promotions across all channels. 

The result is a frictionless experience that gives the control to customers to begin their journey in one channel and continue in another without disruption or inconsistency.

The core elements of omnichannel e-commerce include:

• Centralised product information management systems to ensure consistency across channels
• Unified customer data platforms that consolidate interactions from all touchpoints
• Order management systems capable of orchestrating fulfilment from any inventory location
• Enterprise inventory visibility to provide real-time stock information on all platforms

What truly separates omnichannel from other approaches is its customer-centric rather than channel-centric orientation. 

How to Adopt Omnichannel E-commerce

Start by Understanding the Transition from Multi-Channel to Omnichannel

Multichannel operates various sales channels independently, while omnichannel provides "customers with an integrated and seamless experience regardless of the stage of the buying process they are in or the channel they select"

Assessing Your Current Retail Infrastructure

Start by mapping your current customer journey across all touchpoints. 

In the case of companies like Trent Ltd, obsolete systems needed updating to create a digital core supporting omnichannel efforts, while Lenovo India faced initial challenges integrating franchisee stores with their online platform (Indiaretailing).

Key infrastructure elements you must asses.

• Technology stack: Evaluate your e-commerce platform, POS systems, and inventory management software for integration capabilities.
• Data management: Assess how customer data is collected and shared across channels.
• Inventory visibility: Determine whether you have real-time visibility across all inventory locations.

Implementing Integrated Technology Solutions

From a consumer perspective, everything available on your website or store should be available in all shapes, sizes, etc. Whenever they go right.

Hence, the technological aspect of successful omnichannel retail requires proper integration across multiple tools such as

• Unified inventory management: Implement systems providing real-time visibility across all inventory locations.
• Customer data platform: Deploy centralised systems that collect and unify information from all touchpoints.
• Order management system: Implement an OMS that orchestrates orders across channels, allowing for flexible fulfillment options.
• Integrated analytics: Deploy tools tracking customer behavior across channels.

Creating a Unified Customer Experience

Rajesh Jain, Managing Director of Lacoste India, emphasises three fundamental elements that constitute an omnichannel experience.

• Collection: Offer diverse, regularly updated merchandise maintaining brand identity.
• Convenience: Transform shopping into a no-brainer activity where customers explore products offline and purchase online at their convenience.
• Care: Show your environmental responsibility, which also influences purchasing decisions.

To deliver this experience, many brands are implementing an omnichannel inbox system that centralises communications across all customer touchpoints.

Build Your Omnichannel Supply Chain

Unlike traditional supply chains, omnichannel supply chains must be agile and capable of fulfilling orders from any channel through any fulfillment point.

As the Economic Times stated, the key to omnichannel success in India is "leveraging the retail network for buy online, pick up in-store, and ship-from-store orders," providing online convenience with in-store pickup benefits.

To achieve this use

• Inventory management: To provide real-time visibility across all locations.
• Distributed fulfillment network: To convert stores into mini-fulfillment centers capable of shipping online orders.
• Integrated order management: To determine optimal fulfillment location based on inventory, proximity, and cost.

Establish Omnichannel Data Strategy

Data is what defines a successful omnichannel retail ecosystem because it enables personalised experiences and intelligent inventory management.

For proper data analysis, focus on

• Customer data unification: To aggregate information from all touchpoints. As Vinod Kapote from Trent Ltd explains, "Looking at your customer as a single, unified view is the simplest definition of omnichannel.”
• Real-time analytics: To process data immediately for instant personalisation.
• Cross-channel attribution models: To track each channel's influence on purchases..

Training Teams for Omnichannel Success

Vaskar Bhattacharya from Ginesys points out that "store managers and online commerce teams often operate with different priorities, leading to a lack of coherence in operations" (Indiaretailing).

This means that even with the best CRM tools and technology, omnichannel ultimately depends on people who understand and execute the strategy.

Key Omnichannel Strategies for Retail Success

1. Unified Customer Recognition

The main pillar of an effective omnichannel gameplan is recognising customers across all touchpoints. 

Leading Indian brands like Nykaa have implemented universal login credentials and loyalty programmes that function friction-free on all digital and physical channels.

We do that with 1Checkout, and it applies for any brand that uses 1Checkout, on any device, at any time - meaning, regardless of brand, if the user is registered with Pragma’s 1Checkout, they can log in instantly.

2. Inventory Visibility and Optimisation

Real-time inventory visibility is the first step for delivering on omnichannel promises. 

Decathlon India does this by showing customers the exact store-level inventory on their website and app, allowing informed decisions about where to shop.

3. Flexible Fulfilment Options

About 44% of companies in India have reinforced their online sales platforms with flexible fulfilment options, recognising that customers value choice in how they receive products.

To meet this customer expectations, provide them multiple fulfilment options for both physical and digital shopping.

• Click and collect (in-store pickup)
• Ship from store to customer
• Return to store for online purchases
• Reserve online, and try and buy in-store

4. Data-Driven Personalisation

Use consolidated customer data to deliver personalised experiences that increase engagement. 

Myntra, for example, has pioneered personalisation with their "Myntra-Mall" concept, which provides personalised brand store experiences based on customers' shopping history.

5. Store Digitisation

Physical stores with digital capabilities bridge the gap between online convenience and touch-focused experiences. 

Lenskart does this with its in-store 3D try-on technology that complements its online virtual try-on feature.

Omnichannel Data for D2C E-commerce Growth

By collecting and unifying data from various touchpoints, you gain in-depth insights into your customers' preferences and behaviours.

Data-Driven Strategies for D2C Growth

Detailed Customer Segmentation

Omnichannel data helps you create segmentation beyond demographics, allowing for hyper-targeted strategies for different customer groups based on their cross-channel shopping patterns.

Journey Optimisation

By analysing paths to purchase across channels, you can identify

• Critical touchpoints influencing conversion
• Common friction points causing abandonment
• Preferred channel sequences for different customer segments

Inventory and Assortment Planning

Pepperfry also experienced a 45% improvement in conversion rates by using omnichannel data to optimise their franchise locations and online platforms.

Use unified data for inventory decisions such as 

• Channel-specific demand patterns
• Regional preferences affecting store assortment
• Product affinity trends across online and offline purchases

How Omnichannel E-commerce Works in India

The adoption of omnichannel in India reflects the country's unique retail landscape and consumer preferences.

Integration Models

Indian brands typically adopt one of several models

Centralised Platform Approach: A single unified commerce platform manages all channels with a common database for products, customers, and orders.

Middleware Integration Approach: Existing channel-specific systems are connected via an integration layer with centralised order management.

Cloud-Based Microservices Approach: Modular services handle specific functions across channels with flexible scaling to accommodate demand.

Customer Journey Mechanics

Patterns that characterise the omnichannel customer journey in India include

Research Online, Purchase Offline (ROPO): In this model, customers research products online before visiting physical stores. 

Buy Online, Pick-up In-Store (BOPIS): This model has gained traction in urban areas, supported through dedicated counter spaces for collection and express checkout processes.

Ship-from-Store: This fulfilment model treats retail stores as mini-distribution centres for faster delivery to nearby customers and optimised inventory utilisation.

Fulfilment Network Operation

The physical distribution network typically consists of

• Central Distribution Centres for bulk inventory management
• Regional Fulfilment Centres for processing online orders
• Dark Stores optimised for efficient picking and packing
• Retail Stores serving dual purpose as sales floors and fulfilment centres
• Partner Networks, including third-party pickup points

Challenges in Implementing Omnichannel in India

1. Infrastructure and Logistics Challenges

Last-Mile Delivery Complexities: Incomplete or wrong addresses, traffic congestion in urban centres, and limited accessibility to rural areas.

Supply Chain Fragmentation: Multiple intermediaries in traditional supply chains complicate inventory visibility, with varied warehousing standards across locations making integration difficult.

2. Organisational Barriers

Traditional department divisions often create resistance to cross-channel cooperation, with separate P&L responsibilities leading to channel conflict. 

3. Technology Integration Challenges

Many retailers struggle with legacy systems lacking integration capabilities and fragmented customer data across multiple platforms. The upfront investment required for proper system integration is financially heavy.

How Pragma Supports Omnichannel Retailers

Pragma offers a suite of solutions specifically designed to help brands make their move to omnichannel e-commerce in India.

WhatsApp Business Suite: Reach over 400 million users through conversational commerce capabilities.

Customers can browse, place, pay for, and track orders directly within WhatsApp, creating a seamless shopping journey on India's most popular messaging platform.

RTO Suite: Identify and prevent return-to-origin losses before they occur. 

Pragma's AI algorithm scans over 300 parameters within 200ms of order placement to flag risky orders in real-time, reducing RTO rates by 45-60%.

Omnichannel CRM: Manage customer interactions across all channels (WhatsApp, email, Instagram, Facebook) from a single unified dashboard. 

This helps reduce manual support resources by up to 80% by providing consistent customer experiences.

1Checkout: Complete checkout in seconds with auto-populated addresses and payment details. 

Features include

• Real-time address validation and correction
• Multiple payment options, including UPI, BNPL, cards, and net banking
• Smart fraud prevention that dynamically disables COD for high-risk orders

Return Management System: Fully automate the exchange and refund process with branded customer-facing interfaces. 

It integrates directly with your courier partners for reverse logistics and automatically generates AWB for return shipments.

Case Study: Omnichannel Success in India

The following are some successful implementations that showcase omnichannel e-commerce in the Indian context.

Nykaa: From Digital-First to Omnichannel Leader

Nykaa began as a pure e-commerce marketplace but has since evolved into a successful omnichannel beauty brand with over 100 physical stores across India.

Their omnichannel strategy consists of

• Distinctive formats tailored to location demographics (Nykaa Luxe, Nykaa On Trend)
• Unified customer profiles across online and offline touchpoints
• Beauty advisor consultations are bookable online for in-store visits
• Cross-channel loyalty programme with consistent benefits

Impact: Nykaa's approach has resulted in higher customer lifetime value for omnichannel shoppers, who spend 1.5-1.7 times more than single-channel customers. 

Their integration of content, community, and commerce across channels has created a distinctive beauty ecosystem that competitors struggle to replicate.

Lenskart: Technology-Driven Omnichannel

Lenskart has differentiated itself through technology innovation that creates continuity between online and offline experiences.

Key features used are

• 3D try-on available both online and in-store
• Home eye test service booked through digital channels
• Frame selection online with prescription measurement in-store
• Same digital prescription records accessible across all channels

Business Impact: Lenskart's technology-first approach to omnichannel has fueled rapid expansion to over 1,000 stores and consistent digital growth. 

Their success shows how consistently customer experience technologies can be deployed across channels to create strong competitive advantages.

Future Trends in Omnichannel E-Commerce in India

The omnichannel landscape in India is witnessing several worthy technology advancements.

AI and Machine Learning Integration

As noted in the Economic Times, "Advanced analytics and AI are leveraged to drive hyper-personalisation across channels."

This means AI is set to revolutionise personalised shopping experiences, predictive analytics will help you anticipate customer needs based on prior data, and machine learning will optimise your inventory allocation by predicting regional demand patterns.

Augmented Reality and Virtual Reality

Following Lenskart's success with virtual try-on tools, more brands are adopting AR solutions for product visualisation. 

AR helps you guide in-store navigation based on online browsing history, while VR will create immersive shopping environments for categories like home décor and fashion.

Voice Commerce

Voice shopping will become integral to omnichannel strategies, with journeys starting on smart speakers like Alexa and continuing across devices. 

Support for multiple Indian languages will expand reach beyond English speakers.

Hyperlocal Fulfillment

Retailers will expand networks of small fulfillment centers for ultrafast delivery in urban areas. 

The Times of India report highlights that the "Quick Commerce sector is projected to be a mammoth $5.5 billion industry by 2025."

ONDC and Open Retail Ecosystems

The Open Network for Digital Commerce (ONDC) initiative is set to democratise access to digital channels for smaller retailers. 

As discussed in the Times of India, ONDC "breaks down language and cultural barriers while providing equal opportunities for small enterprises," which is particularly transformative for merchants in tier-2 and tier-3 cities.

Immersive Physical Experiences

Physical stores will evolve into experiential destinations complementing digital channels. 

The IndiaRetailing report notes that "malls in India have evolved from simple shopping hubs to centres of community life," reflecting the trend toward experiential retail where brand immersion is prioritised over transactions.

Social Commerce Convergence

Social media platforms will also integrate with omnichannel retail systems, creating new pathways between discovery and purchase. 

Direct purchasing from social platforms with integration to in-store returns will help address current friction points in cross-channel service.

Brand communities spanning online and offline experiences will also gain influence over purchase decisions across channels.

The integration of user-generated content from social platforms into in-store displays will help create continuity between online communities and physical spaces. 

To Wrap It Up

As physical and digital shopping experiences continue to merge, brands that deliver integrated experiences will be best positioned for growth.

For Indian retailers, the omnichannel imperative is clear. Despite implementation challenges, the potential rewards, increased customer loyalty, higher conversion rates, and improved inventory efficiency, make omnichannel move an essential priority.

FAQs (Frequently Asked Questions On Omnichannel E-commerce)

What is Omni Channel UX?

Omnichannel UX provides the same shopping experiences across physical stores, websites, mobile apps, and social platforms through consistent branding and personalisation throughout the customer journey.

What are the features of Omnichannel?

Key omnichannel features include

• Unified inventory management
• Cross-channel customer recognition
• Consistent pricing and promotions
• Flexible fulfillment options
• Integrated customer data
• Seamless transition between channels

What are the 4 pillars of Omni Channel?

The four pillars of omnichannel retail are

• Unified data and customer profiles
• Integrated inventory visibility
• Consistent brand experience
• Connected operations and fulfillment