The Ecommerce space has been abuzz with news of Snapdeal and Tradus launching same day delivery, Flipkart making its comeback into private labels and entering the furniture business. Meanwhile Amazon India is all set to enter the apparel retail market as early as next week.
Snapdeal, Tradus Launch Same Day Delivery
Now get products delivered on Snapdeal and Tradus on the same day as when the order is placed. The online marketplaces launched the same-day delivery services on Monday, and claim to deliver products to customers who place the orders before 1 pm India time.
Kicking off the delivery option in Delhi and NCR, the companies will not charge any extra fee for the same day service. While only certain tagged products on Snapdeal are entitled to be delivered in this fashion, Tradus has made the facility available for all mobiles and tablets. Tradus plans to extend the services to other cities like Mumbai and Bangalore shortly.
Other Ecommerce companies that launched similar services are online retailers Flipkart and Amazon India. Both the companies had launched ‘guaranteed one day delivery’ and ‘in a day guarantee’ to customers at rates of Rs 90 and Rs 99 respectively. Snapdeal and Tradus’ move has definitely upped the ante when it comes to quick deliveries, more so because the service is free of charge.
Flipkart Makes a Comeback into Private Labels; Enters Furniture Market
Flipkart maybe on the prowl to acquire private online apparel retailers soon, says reports. The company that had recently launched its own fashion brand, Flippd for men, may soon acquire online retailers Zovi and YepMe (source) [Read : Why Flipkart and Myntra Should Explore Synergies]
The company whose loss in 2013 more than doubled to Rs 281.7 crore in the year ended March, is looking at the acquisition to power sales of high margin products on its portal.
Flipkart CEO, Sachin Bansal, declined to comment to ET, and only said, “2014 will be an important year for us. This will mean looking at private labels and also opening up our marketplace to more and more sellers.” The e-commerce company has set a target of reaching $1 bn in gross merchandise sales by 2015.
After Amazon had entered the Indian market in June, the company had doubled down on its fashion business. Another online retailer who had acquired companies that dealt with retail for men and women was Myntra and its acquisition of SherSingh and Exclusively in 2012.
Flipkart also took on rival Amazon by looking to enter the ‘white goods and furniture’ categories (source).
Amazon India Set To Enter Apparel Retail Market
Even as peers refocus on the apparel retail category to boost sales, Amazon India is rumoured to enter the section soon. The launch of the company’s marketplace for apparel retailers maybe as early as mid-end January. The company that launched in June 2013 is eyeing the $400 billion retail market in the country.
In a report, Amazon has identified online apparel as an ‘online growth hotspot’ with it being calculated as one of the fastest growing categories in the US for Amazon between 2011 and 2016. Amazon may want to imitate the model in India. Amazon’s entry into the sector will definitely heat up competition for Flipkart who is investing aggressively into the high returns category.