E-commerce in India has seen an unprecedented growth in the last 5 years. The industry is growing manifolds and the sales volume speaks for itself. Keeping in sync with the changing times, a study looked into the salaries offered in an e-commerce setup and to have a fair understanding of perspective, compared it to the people in IT companies.
According to this study reported in TOI, the mid-level executives at popular e-commerce companies like Flipkart and SnapDeal are earning nearly as much as the senior employees at technology companies Infosys and TCS. The disparity in salary has led to a scramble among the IT employees to take their skills to the next level by adding the sought after skills required by e-commerce companies.
Though, this doesn't mean a drainage of manpower and resources will be seen from technology to e-commerce as told by industry expert. However, the fast pace of growth and advanced skill-sets demanded by the e commerce firms is one of the main reasons for the salary offers to be that high.
Alka Dhingra, the regional manager at hiring firm TeamLease Services which conducted the study, elaborated on the salary disparity. She said, "The kind of people e-commerce (firms) are looking for are not easily available in the service-based IT sector. They are looking for people mostly from product-based companies, and are willing to pay more for people working on new technology and tools because these people are scarce resources."
According to the data by TeamLease, The senior level executives in IT companies such as the Vice President and Chief Marketing Officers with an experience of 18-20 years' experience are paid in the range of Rs.70 lakh to Rs.1.5 crore annually. The mid-level executives at the same companies such as Project Managers get paid about Rs.15-25 annually.
At e-commerce companies such as Snapdeal and ShopClues, the annual compensation for senior executives goes up to Rs.1.5-3 crore whereas the midlevel employees with about 14 years of experience earn around Rs.50 lakh to Rs.1.5 crore annually.
The pay scales disparity wasn't there much in 2013, in fact it was the opposite at that time. The senior executives at IT companies earned Rs.55-75 lakh a year and middle-level employees at e-commerce companies got Rs 35 lakh to Rs.50 lakh.
"Right now the IT companies are not very stressed on this trend because they have optimized their models," a spokesperson from Nasscom said.
Skill sets like analytics, big data, data structuring, Python programming language, DevOps, Hadoop, user interface and mobility are in high demand at the e-commerce companies. The IT sectors is also calling up on this skillset as the industry is growing.
According to industry body Internet & Mobile Association of India, the commerce market is expected to grow by a rate of 33% this year to about Rs.1 lakh crore. The IT sector has now matured over the years and will be growing at 12-14 per cent rate for 2015, according to Nasscom.