The ancient rise of barter system prevailed, mainly from the lack of a common unit of currency. The exchange system worked on the mutual need of trading parties for their goods and services. While it may not have lasted through the centuries, the modern world has seen the reincarnation of the system, with its best features leading the campaign. India is seeing a rapid emergence of an updated and improved barter system in its corporate industry. The barter system allows the corporate traders to exchange goods and services for other goods, services, advertising, media, and more.
Numerous corporate giants are utilizing this system to increase their sales, preserve cash, and to move their inventory. The Indian market has seen a precipitous acceptance, with hotel giants, newspapers, advertising agencies, and different sectors of the corporate industry accepting and adapting to this system for their mutual benefit. A plethora of hotel chains in Delhi, Mumbai, and other metropolitan cities use this barter system with companies providing toiletries, furniture, sheets, and more for mutual gain. Advertising agencies avail goods and services in exchange for ads and other media needs. They will buy products in exchange for their services or even trade currency/credits that can be used later when the need arises.
In this world of demonetization and emerging digital currencies, barter trade is playing a crucial role in corporate agencies. With the help of trade currency or credit, companies can exchange and trade with any obligation of buying or selling the product or service instantly. This cashless exchange is leading the Indian market towards increased profit, improved purchasing power, better inventory management, incremental revenue, and better productivity. Gurgaon, Noida, Delhi, and other economically advanced cities are availing barter trade for the betterment of their corporate presence.
With the rising popularity of the barter system, commercial, as well as corporate barter companies are emerging at a rapid rate. Thousands of companies are getting involved with these smart barter solutions, with a high rate of almost 40%. While India is steadily paving its way towards a barter-oriented corporate world, the percentage is still quite low. With only 15% to 20% businesses’ availing the benefits of barter trade, India still has a long way to go.