The 55,000-square-foot center based on the outskirts of Pune, will see the e-commerce giant’s total capacity in India reach over five million cubic feet. GMV is the value of goods sold on an online platform without factoring in discounts and returns, which e-commerce firms do not disclose publicly. However, Flipkart cackle its way to the bank with Rs 600 crore worth of sales, despite customer ire compelling the company to issue an apology email.
Advertisement
The Indian e-commerce market is growing at an enormous pace and all the three top companies in the market – Flipkart, Snapdeal and Amazon are trying hard to capture larger market share and to be at the pole position.
Excited about the Great Indian Festive Sale, Samir Kumar, Vice President Category Management, Amazon India said, “We are very certain that the Great Indian Festive Season will be the biggest sale ever for India’s online shoppers”.
Having racked up $3 billion in funds from several investors, Flipkart is now valued at $15 billion. It also plans to invest $200 million that translates to Rs 1,300 crores in the next 12 months.
“Flipkart has been moving away from its inventory-led model to a pure marketplace over the past year, which is one reason for its sluggish growth as it lost a lot of sales due to this big change”. Granted Flipkart has been actively promoting its app-only strategy from the beginning of the year, but discounting the strength of its online audience and forcing them to adapt to the smaller screen is bound to leave many unhappy.
The icing on the cake is that other e-retailers are to follow suit.
Advertisement
While Flipkart and Amazon festive sales start on October 13, rival Snapdeal has announced a special Monday Electronics Bonanza on October 12. This year’s sale from October 13-17 will be app-only and will see Myntra’s participation as well. Already, a few 75 percent of Fllipkart’s traffic comes through mobile.
