Paytm : Rs 20,000 crore lined up, Paytm swears by India digital play

November 29, 2017 News

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NEW DELHI: Paytm, with high-profile investors like SoftBank and Alibaba, has strained up a huge investment plan of Rs 20,000 crore. As the group enlarges its play into the digital payments, monetary services and e- commerce space in the country.

“In the last 2 years and the next three years, we would have invested Rs 18,000-20,000 crore. I don’t want to talk about profitability right now because we are still in an investment phase,” reporters were informed by the Vijay Shekhar Sharma who is Paytm founder and CEO

He was talking on the sidelines of the official launch of Paytm Payments Bank operations.

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which offers a mobile wallet, recharge, bill payment services, e-commerce (Paytm Mall) and ticketing services. Saw a enormous growth in its business after the government’s demonetisation drive in November last year. Paytm has 28 crore registered users, of which 18 million use Paytm wallet service.
Sharma said its platform processes about 250 crore transactions yearly value of Rs 80,000 crore.

“We expect this to grow to Rs 1 lakh crore by the end of the fiscal. The number of merchants on our platform will also touch 60 lakh in a few months,” he further informed.

Sharma also said  The company, will spend Rs 5,000 crore over the next 2 years in its financial and payments services.  Rs 1,700 crore have already been pumped in this year.

“Paytm is a contribution positive business. We are not profitable yet because we are investing in marketing, cloud and customer acquisition,” he added.

He further added that for the Payments Bank operations, the aim is to break even in the next 2  years.

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Flipkart Grocery : Flipkart does a soft launch of its grocery category under Supermart in Bengaluru

November 6, 2017 News

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Flipkart Grocery : Flipkart does a soft launch of its grocery category under Supermart in Bengaluru

BENGALURU: Online retailer Flipkart has re-entered the basic need class, propelling it under Supermart on its portable application to an underlying arrangement of clients in Bengaluru ­­ venturing up rivalry against US-based opponent Amazon.

Flipkart, which has been looking at foraying into the FMCG fragment for some time now, had propelled flipkart basic supply classification and began conveyances in Bengaluru a couple of months back, just for its workers.

Flipkart basic need commercial center requires a base request estimation of Rs 500 and gives free conveyance to orders over Rs 1,000, as indicated by data accessible on the versatile application.

“We have done a soft launch for grocery categories at Flipkart. Currently, it is available to select customers in Bengaluru. In line with our aim of transforming e-commerce in the country through technology, we want to make shopping for everyday essentials convenient for our customers, we intend to scale it up to all customers in Bengaluru and take it to other cities in future,” a Flipkart representative said.

This isn’t Flipkart’s first raid into the basic need fragment. The organization had entered the basic need conveyance benefit through its application Nearby in 2015, which used to convey from neighborhood kirana stores. In any case, the activity was closed during a few time later.

Basic supply has been a noteworthy purpose of center for Amazon India since a year ago because of its rehash buys prompting higher client securing. Paytm Mall, alongside its principle financial specialist Alibaba, is likewise growing in this space and is in converses with purchase a noteworthy stake in the biggest staple retailer BigBasket.

Amazon India offers sustenance items through Amazon Pantry in a few urban areas and same-day basic supply conveyance on Amazon Now application through a tie-up with retailers, for example, Big Bazaar and Hypercity in a few urban areas.

Flipkart

is building a committed inventory network for its basic supply benefit and is giving choices, for example, open-box conveyance to confirm items before acknowledgment and doorstep returns if the client faces any issue with the item.

Source: IndiaTimes

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E-wallet : Tata CLiQ to launch e-wallet in 4-5 months

October 26, 2017 News

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MUMBAI: Tata Group owned e-commerce marketplace Tata CliQ will launch an e-wallet exclusively for use in the marketplace in the next 4-5 months and eventually foray into selling services such as financial services.

It also plans to double the present 60 brands who have set up their omni-channel presence on the platform in one year. These are part of the plans to become the country’s largest omni-channel platform for which it will continue the investment mode while targeting to break even in 3-4 years, said Ashutosh Pandey, CEO at Tata UniStore, which owns and operates the website.

“We are currently in a growth phase and focus is on building brand, omni-channel relationships and traffic. A total of 800 plus brands across electronics, fashion, shoes, watches, kids and luxury sell through the marketplace. E-wallets too will be launched since they account for almost 20% of online payments. Our wallet will, however, be used only to enable customers to pay on our site and get refunds, though we could look at extending it to our omnichannel partners in future,” said Pandey. Tata CliQ will soon launch newer categories like jewellery, home furnishing and furniture. However, FMCG is not in the pipeline as yet, said Pandey. Tata CliQ went live in late May 2016.

Pandey said the just-completed festive season was significantly above expectations, with overall sales and traffic during the period growing by 25 times and 15 times respectively than the usual sales, which will also reflect in the financial performance for the current fiscal.

“Our focus isn’t on just selling low-value products like unbranded pen drives and power banks to increase volumes. Instead, our focus was on experience-led large ticket items like 50-inch plus televisions, AC, luxury products. It will remain so in future as well so that customers have a differentiated experience while buying on our site,” he said.
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BookMyShow : Flipkart in talks for a possible partnership with online ticketing platform BookMyShow

October 16, 2017 News

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BookMyShow : Flipkart in talks for a possible partnership with online ticketing platform

E-commerce firm Flipkart is in talks for a partnership with online ticketing platform BookMyShow in a bid to build out its services and transaction offering, the Economic Timesnewspaper reported.

The talks are at a preliminary stage and may see Flipkart picking up a significant minority stake in BookMyShow, two people familiar with the discussions told the paper.

Flipkart, which secured nearly $2.5 billion in funding from Japan’s SoftBank Group in August, did not respond to a request for comment.

BookMyShow, owned by Mumbai-based Bigtree Entertainment Pvt Ltd, was not immediately available for comment.

Source : FirstPost

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Ecommerce : India may face pressure to open up ecommerce

October 9, 2017 News

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Ecommerce : India may face pressure to open up ecommerce

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NEW DELHI: India is expected to face pressure to begin talks to open up cross-border digital trade and also ease investment norms in a crucial two-day meeting of trade ministers of key countries in Marrakech beginning Monday. Trade ministers of many developed and developing countries, including India, are meeting on October 9-10 for a mini-ministerial of the World Trade Organisation (WTO) ahead of the ministerial conference in Argentina later in the year.

Commerce and industry minister Suresh Prabhu will represent India at the meet whose outcome would define the broad contours for the December meet. India is likely to reiterate its demand for a permanent solution for public stockholding (PSH) of food grains and the continued relevance of the Doha Development Agenda. The previous ministerial conference in Nairobi in 2015 had culminated in a divided opinion on the issue.

“Our concern is if Doha will be mentioned at all in Argentina. Reiteration of Doha is important for us,” said an official aware of Delhi’s position.

The Doha round seeks to put in place a global pact to reduce trade barriers. As part of the G-33, India floated a revised paper on PSH proposing the inclusion of procurement of foodstuff at minimum support price and their distribution at subsidised rates in the global rules for agriculture in order to safeguard the interests of low-income resource-poor farmers and ensure food security to the poor.

Delhi’s concerns are not unfounded as developed countries like the US, the EU and Japan and a few developing ones like Singapore are not only opposed to these but also want new subjects like e-commerce, investment facilitation, fisheries and MSMEs (micro, small and medium enterprises) to brought in the ambit of WTO’s multilateral discourse. While India is already discussing fisheries subsidies and an outcome is likely on the issue, the official said a lot is being pushed on investment facilitation, fisheries and MSMEs (micro, small and medium enterprises) to brought in the ambit of WTO’s multilateral discourse. While India is already discussing fisheries subsidies and an outcome is likely on the issue, the official said a lot is being pushed on investment facilitation and e-commerce in the garb of these benefiting MSMEs.

Online sales Festival season: Firms claim big numbers but questions over discount model continue to haunt

October 2, 2017 News

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Festival season online sales

Festival season online sales: Firms claim big numbers but questions over discount model continue to haunt

Ashish Gupta, a 35-year-old from Delhi, is an avid online shopper. He does not recall when he last went to a physical store to shop. When the pre-festival sales on all e-commerce platforms were advertised, Gupta and his wife Arti Singh, were scouring them for a ‘good discount’ for a laptop. They found an Apple MacBook Air at a ‘real deal’ price of Rs 40,000 but Singh decided to wait thinking that the next sale online between Dussehra and Diwali might offer an even deeper discount. However, he found the price was Rs 59,000 once the sale was over. “I wished I had bought it earlier,” Singh says.

Has repeated online sales led to jaded buyers like Gupta and Singh who are regular online shoppers? Even casual observers of online commerce platforms are aware that discounts will be available on some product category or the other. It is never a ‘no-discount’ day on e-commerce platforms. Yet.

Festival sale discounts have garnered in consumers though, according to a report from RedSeer Consulting. E-commerce companies generated sales of an estimated Rs 9,000 crore (US $1.5 billion) in the festival sale offered last week on most platforms. “E-tailers generated their highest ever sale performance over the five festive days from September 20-24, 2017…For these festive sale days, RedSeer analysis shows that the e-tailing industry managed to generate Rs 9,000 crore/ US $1.5 billion of sales,” the report said.

Remember, no e-commerce platform is listed and hence their financials are not known. Retailers offer huge discounts on some product category online and e-commerce platform advertising and promotion spends are huge, but are there any margins from the products sold, asks Arvind Singhal, chairman and managing director of Technopak Advisors, a retail industry consulting firm. “My belief is that the amount of money spent on mega advertisements and the decibels they create will only show diminishing of returns even during the sale period. There are no authentic figures being put out by company,” he says explaining his stand.

Even though there are deep discounts that are advertised by e-commerce platforms, the fact is shoppers are not inclined to shop or splurge unless they want a product. How many times does one scour a e-commerce platform just for the sake of surfing and end up buying a product every time? Rarely. With demonetisation and goods and services tax (GST) having impacted spending patterns, say analysts, shoppers are cautious about splurging.

“When e-commerce platforms talk of huge sales during the festival period, I don’t doubt the sales figures,” says Paula Mariwala, partner, Seedfund, and Co-Founder, Stanford Angels. She believes that a buzz is created by e-commerce platforms and it might lead to an increasing number of shoppers buying products. But are the margins profitable or are the e-commerce companies bleeding to lure in shoppers, she asks, adding that online sales and discounts have become an ‘overkill’.

Online retail in India is only a small slice of retail in general and is expected to be at par with physical stores only in the next five years. The e-commerce market in India is expected to reach $220 billion in terms of gross merchandise value (GMV) and 530 million shoppers by 2025, led by faster speeds on reliable telecom networks, faster adoption of online services and better variety as well as convenience, according to an Indian Brand Equity Foundation survey.

Though e-commerce claims to attract customers, the bald fact is it does so only after luring them with discounts. There is no customer loyalty as such. If there was, where is the need to offer discounts every time, ask analysts.

Shoppers are inclined to shop during the festival time and tend to indulge themselves. It is this ‘weakness’ that e-commerce are playing upon, says Satish Meena, senior forecast analyst, Forrester Research. He says it is not only online platforms that announce and offer discounts but offline retail too give deep discounts because festive season accounts for 40 percent of their total sales. But, he too is skeptical about the figures put out by e-commerce companies that talk about their sales as he says even with the figures they tout they don’t reach their targets or are even on the path to profitability.

Customers are not looking for discounts every time they shop, say analysts. It is a strategy that retailers selling on e-commerce platforms adopt to create a market for themselves online. That, says Meena, is one of the reasons many e-commerce companies have had to merge or shut down. “Discounts cannot be the name of the game,” he said.

Source : FirstPost

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Great Indian Festival : Amazon sale starts today 40% off on mobiles, 60% off on electronics, 70% off on fashion

September 21, 2017 News

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Great Indian Festival : Amazon sale starts today 40% off on mobiles, 60% off on electronics, 70% off on fashion

Great Indian Festival

Amazon India’s “Great Indian Festival” offers is back to add more colour to the upcoming festival season in the country. The festival will start from September 21 and will go on until September 24.
For Amazon Prime users, the sale will start early at 12PM on September 20. During the Great Indian Festival sale, you can get amazing discounts and cash back offers on mobiles, laptops, fashion, shoes, TVs, washing machines, home and kitchen products and much more.
Get Up to 40% off on Mobiles
The Amazon id offering up to 40 per cent discounts on various mobile phone brands such as Xiaomi Redmi, Lenovo, OnePlus, Apple, Samsung, Motorola, Honor, LG, Coolpad, Micromax, Nokia etc. Apart from mobile phone, there is offers available on gadgets like laptops, cameras, speakers, headphones, smart watches, activity trackers, Amazon Fire TV Stick, power banks etc. There is up to 50 per cent off on speakers, headphones, Amazon Kindle, grooming appliances, activity trackers and much more.
Get up to 60% off on Electronics and Appliances
Electronic appliances such as washing machines, televisions, air conditioners, refrigerators etc. are available on up to 60 per cent discount on Amazon. You will avail up to Rs 15,000 discount on laptops, 40 per cent on television, minimum 20 per cent on refrigerators, up to Rs 10,000 off on ACs, minimum 25 per cent discount on washing machines, up to 60 per cent discount on networking devices and much more.
Get up to 70% off on Fashion
You can revamp your entire wardrobe during Amazon Great Indian Festival with up to 70 per cent discount on popular brands such as Fab India, Adidas, Puma, Titan, United Colors of Benetton, Lavie, American Tourister and many more at Amazon.in. There will be discounts on clothing, shoes, watches, handbags, kid’s fashion, jewellery etc.

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Flipkart Big Billion Day Sale 2017: Here are the top deals and discounts on day 1

September 20, 2017 News

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Big Billion Day

India’s largest e-commerce marketplace is back with its mega festive season sale, The Big Billion Days / Big Billion Day. The sale that started today will go on till September 24th, offering you some unbelievable discounts on fashion, home furnishing and large appliances.

India’s largest e-commerce marketplace is back with its mega festive season sale, The Big Billion Days. The sale that started today will go on till September 24th, offering you some unbelievable discounts on fashion, home furnishing and large appliances. Flipkart claims to have a registered customer base of over 100 million. In the 10 years since it started, Flipkart has come to offer over 80 million products across 80+ categories including Smartphones, Books, Media, Consumer Electronics, Furniture, Fashion and Lifestyle. This means that there is something for everyone in the Big Billion Day Sale 2017.
On day 1 of the Big Billion Sale, TV and Appliances, fashion, lifestyle and home appliances are up for the grabs. The online store is offering up to 90% off on some items. To make your job easy, we have found out the best deals on the website. Here are the top deals and discounts of Flipkart Big Billion Day Sale 2017 day 1:
1. Panasonic EH-ND11-P62B Hair Dryer – Rs.399
2. For the gadget lovers, the Fossil Smartwatches are available at flat 40% off.
3. In case you are planning to buy a new bed, the range starts at Rs 7999 on Flipkart.
4. 4-Seater Dining set made of solid wood is available at Rs 7,999.
SEE PICS | Buy these smartphones for less than Rs 7000
5. Braun trimmer available at 55% discount.
6. Samsung 123 cm (49 inch) Ultra HD (4K) LED Smart TV – Flat Rs 60,000 Off
7. You can buy the Armani Exchange watches under Rs 4,299.
8. Ferrari Watches are up for sale at flat 65% off.
9. If you are a frequent traveller, the Safari suitcases are available at Rs 1,999.
Apart from this, mobile phones, tablets, and other electronic items will be on sale from September 21. As per the details available on the website, Samsung S7 will be available for just Rs 29,990 which is Rs 16,000 less than its actual price.

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Zomato acquires logistics company Runnr for an undisclosed sum to boost food delivery business

September 18, 2017 News

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Zomato acquires logistics company Runnr for an undisclosed sum to boost food delivery business

Online restaurant guide and food ordering startup Zomato has acquired last-mile logistics company Runnr for an undisclosed sum to boost its food delivery business. Runnr will continue to function as an independent company offering logistical services to players other than Zomato in verticals such as pharma, grocery and e-commerce, Zomato said today.

“We just signed our long-rumoured acquisition of Runnr. Emotionally, the deal has been in place for a couple of months now, and both the teams have been working closely with each other quite some time now,” Zomato Founder and CEO Deepinder Goyal said in a blog post. With the combination of Zomato and Runnr, “we have everything in the stack of building a delightful food delivery service in India and UAE – end to end – listings, discovery, reviews, ordering, and now, logistics,” he added.

Runnr is already efficiently fulfilling 300 thousand orders a month, which is just a tad less than 10 per cent of it’s food ordering volumes, Goyal said. “Mohit (Kumar) will remain the Founder and CEO of Runnr and will continue developing his vision along with the rest of the founding team – Arpit, Mukunda, Gnanesh, Vatsal, and Aravind,” he added. At Zomato and Runnr, the delivery boy is going to get the status of most important employee and is going to be treated like one, Goyal added.

Source : FirstPost

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Amazon opens its largest fulfilment centre in Hyderabad with an aim to increase delivery speed

September 11, 2017 News

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E-commerce giant Amazon on 7 September announced the opening its largest fulfilment centre in the country in Hyderabad.

Located at the Rajiv Gandhi International Airport, the centre covers over 400,000 sq ft with close to 2.10 million cubic ft. It is the fifth fulfilment center in Telangana and the largest in the country.

With this, Amazon has a storage capacity up to 3.3 million cubic feet in Telangana, vice president, India Customer Fulfilment, Amazon India, Akhil Saxena said, without revealing the investment figure into the centre.

“We have been consistently investing in our infrastructure and delivery network, so we can increase our speed of delivery and provide a superior experience to both, customers and sellers,” Saxena told a press conference.

“With the launch of our largest fulfilment centre in Hyderabad in Telangana, we strongly believe that we will be able to better serve our customers with one-day and two-day delivery.

The FC (fulfilment centre) will enable sellers to use local infrastructure, save capital and help them grow their businesses,” Saxena said.

With more than 10,000 sellers in Telangana, the selection offered by sellers in the state for immediate delivery has grown more than 120 percent this year as against last year, he said.

To a query, he said Amazon Pantry bulk packs of monthly and weekly grocery and household essentials is being currently test piloted in Hyderabad.

Amazon currently has 41 fulfilment centres in 13 states with a storage capacity of 13 million sq ft, he said.

Source : FirstPost

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Paytm Mall to splurge Rs 1,000 cr, mostly to offer discounts this festival season, say reports

September 4, 2017 News

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Paytm Mall

Paytm Mall : The competition in the online shopping space in India is likely to heat up this festival season with one more player planning to splurge in order to woo customers.

According to media reports, Alibaba-backed Paytm Mall is planning to spend about Rs 1,000 crore this festive season, giving a tight competition to domestic e-commerce stalwarts Amazon and Flipkart.

According to a report in The Times of India, the amount earmarked will be utilised for marketing, cashbacks and promotions. It says, however, most of it will be spent on discounts.

Another report in The Economic Times notes that the amount to be spent is three-fold over last year’s expense of about Rs 300 crore by Amazon India, Flipkart and Snapdeal . This year, although New Delhi-based troubled etailer Snapdeal is not in the fray, Paytm Mall will more than compensate for it. It is to be remembered that this will be the first festival season of Paytm Mall, which was spun off into a separate app in April this year.

According to the report, the company is planning to add about 5,000 branded stores to its platform ahead of festival season sales.

“This festive season, while online retailers will focus on spending money and taking away business from shops in the neighborhood, we will work with them and bring special offers for consumers to shop from their nearby markets by enabling these shopkeepers with mobile technology,” Amit Sinha, COO, Paytm Mall, has been quoted as saying in the report.

The company owned by Paytm Ecommerce recently refreshed its app featuring 1,000 brand stores and 15,000 brand- authorised retailers selling over 65 million products.

Its aim is to clock a gross merchandise value (GMV) run rate of $4 billion by the end of March next year on the back of strong growth in transactions on its platform.

The e-commerce firm expects strong demand in categories like electronics, appliances, FMCG and fashion to drive its growth.

The brands the company is looking at include Apple, Samsung, HP, Lenovo, JBL, Philips, Puma, Allen Solly, Lee, Pepe, Levi’s, Fossil and Vero Moda, among others, to drive growth.

However, analysts quoted in the ET report feel Paytm Mall may find it difficult to make a mark in fashion and retail even as consumer electronics and appliances may not be a major issue.

With all the players drawing up strategies to attract consumers, buyers can definitely expect a great festival season ahead with mouth-watering discounts.

Source : FirstPost

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