Amazon is giving nearly a lot of items similar to Flipkart. In spite of this, the largest online retailer of India outraces the foreign American firm on the entire cost of goods traded in a market where Paytm Mall and Shop-Clues, companies which are backed by Alibaba, are jostling for third place. Supported by Japan’s SoftBank and the former third-largest online retailer of the country, Snapdeal has glided to fifth place when it comes to volumes. This signals the turbulent change undergoing among the fastest-growing markets of the world for digital commerce.
In March, market leader Flipkart, which is also the owner of fashion portals Jabong and Myntra, made a record of 5 Lakh shipments on an average every day while Amazon shut downed at almost 4.5 Lakh shipments on a daily basis. In March 2016, Snapdeal witnessed its volumes rose drastically to 30,000 a day giving a high of 1.5 Lakh daily shipments.
Shipments indicate the sum of orders dispatched and processed including returns by online retailers. “Flipkart carries on being one step ahead of Amazon India when it comes to gross sales,” said the officials, as per the sources. While analysts and investors anticipates that Flipkart’s annualized gross goods value or GMV, which is an evaluation of the entire products value traded on the platform, is tad bit more than $4 Billion, sources close to the firm said that the firm recorded total sales of $6 Billion by the end of March this year.
As per the sources annualized GMV of Amazon is projected to be more than $3.2 Billion, which is familiar with the development of the firm. Online marketplaces normally make 5-15% of commission on every item traded based on the type. “We carry on seeing marvelous energy regardless of our size, budding at almost 85% in quarter one of this year. We cannot provide remark on any other details related financially,” claimed a spokesperson in an emailed response for Amazon India.
Nitin Seth, COO of Flipkart, said the GMV of the company grew up by almost 45% in March 2017. He refused to distribute exact numbers. Paytm and Snapdeal also declined to comment.