Indian e-tail growth led by Fashion, grocery categories
With many leading players in India business sector acquiring and investing in the online Fashion and grocery categories, the India e-commerce space is rapidly growing, reports Warc News.
As reported earlier, Amazon is in talks about buying online fashion store Jabong, which according to a report in the Financial Express has announced a trebling of revenue in the first six months of the year. And rival Flipkart, which acquired rival online fashion portal Myntra earlier this year, has joined up with publisher Condé Nast to target fashion conscious shoppers with unique content.
The homegrown e-commerce company has also recently launched 'Flipkart Fashion Files', which will feature a range of exclusive fashion diva/celebrity interviews, trend boards, brand and product stories along with lifestyle articles. Mukesh Bansal, Head of Fashion at Flipkart, described the Files as "a true combination of high quality commerce and content which will add a new dimension to our fashion category".
And while the fashion e-tailers have yet to record any profits, the opposite is now true for the country's online grocers. Ganesh Krishnam, Director at Bigbasket.com, was reported in a Economic Times report as saying that the business would be profitable this year, just three years after it was set up. According to Krishnan, the Indian consumers are increasingly adopting to the online grocery service, as the convenience aspect is particularly useful to them.
In addition to their lower overheads, online grocers have the capacity to grow more quickly, not being held back by the need to find prime sites and then build stores. Bigbasket.com, for example, currently operates in Mumbai, Bangalore and Hyderabad, but plans to launch in Pune, Delhi and Chennai in the next three months.