The Indian Shopping Festival: Internet Exchange operator DE-CIX sees low latency critical to customer activity and conversion rates

The Indian Shopping Festival: Internet Exchange operator DE-CIX sees low latency critical to customer activity and conversion rates

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The shopping festival in India scheduled around the festive time is said to be the most anticipated time of the year. The surge in Internet usage coupled with contactless payment options has caused a major shift in consumer behaviour, leading to a growth wave in online shopping. The convenience and safety considerations that drove trends during the early months of the pandemic are now bolstered by deals, offers and discounts. Making the most of it, e-commerce giants are hosting sales for months – in contrast to the five - six-day sales that were the previous norm.  

These staggering changes in consumer behaviour and the massive amounts of data they generate have revealed that latency and bandwidth are critical to conversion rates. According to a study by Akamai, Amazon mentioned that every 100 milliseconds of latency costs them 1% in sales. Additionally, with real-time analytics for personalised recommendations and dynamic pricing services, speed has become imperative and latency is now the key factor driving a company’s competitiveness.

The need for speed and scalability to drive meaningful sales requires building highly available, low-latency systems as the most critical form of interconnection strategies. It is in DE-CIX’s DNA – as the operator of the largest neutral interconnection ecosystem on the planet – to bring traffic as close to the user as possible to guarantee low latencies and high bandwidths for a better Internet experience.  

“The rate of digital transformation is accelerating across industry verticals, from classic web applications to gaming to virtual reality and IoT. Latency is the new currency. It is clearly the biggest factor in network constraints of page loading on the Web for all the e-commerce companies, and being on our platform helps you achieve low latency seamlessly. The more that latency can be reduced, the better a group of connected devices can communicate.

The promise of ultra-low latency is more instantaneous communications and data exchange, enabling millions of connected devices to communicate 400 times faster than the blink of an eye. Simply put, low latency means responsiveness. From a user-experience perspective, latency plays a decisive role.

DE-CIX’s role in this endeavour is to process data as close to the customer as possible along with being securely hosted in the cloud. DE-CIX’s role in this endeavour is to process data as close to the customer as possible along with being securely hosted in the cloud, “says Sudhir Kunder, Senior Vice President and National Head, DE-CIX Interwire, India. 

The leading carrier and datacenter-neutral Internet exchange operator on the Indian sub-continent, DE-CIX India, noted a strong rise in data traffic from Internet usage – up to 192% since before COVID-19 spread around the globe, and particularly since the pandemic hit India. The demand is enormous, and DE-CIX has further increased its geographical presence lately in order to offer new connectivity options as well as to double its backbone capacity for seamless and secure interconnection.

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