Paytm Will Begin Listing Products From One Lakh AliExpress Sellers This August
Paytm is all set to induct 1 lakh Chinese sellers from Alibaba’s retail website AliExpress, letting them list their products on its own platform starting this August.
The company which crossed $1.5bn in GMV in the previous fiscal hopes the move will allow it to double its GMV by a further $1.5bn in a matter of just 6 months.
For Alibaba, which invested $650 million for 25% stake in Paytm this February, the move is part of its plan to take its online selling platform to regions outside China.
Paytm notes that the integration with AliExpress isn’t simple. The company has to look at various aspects such as legal and taxation issues, international logistics, customs, the process for issuing payouts to merchants and for refunds.
However, despite the complexities, Paytm says for customers there won’t be any difference between buying from Indian and Chinese retailers as it’ll handle logistics and customer care.
A major part of the $650 million raised by Paytm will go towards ramping up its infrastructure in order to accommodate 1 lakh new sellers. Currently the company has 40,000 sellers in India, out of which only 10,000 transact on a monthly basis.