While the industry saw sales of $1.4 billion last year, during this festive sale, e-commerce giants clocked $2.3 billion and Flipkart had a share of 70 percent in it.
Diwali and Dussehra are the most looked up to festivals in India and ecommerce giants made sure to profit from it. All of us look for offers to grab during the festive seasons and ecommerce companies showed up with just that! Amazon’s The Great Indian Festival and Flipkart’s Big Billion Days have managed to attract majority of online shoppers since a couple of years and this year they have managed to go even bigger!
According to reports, ecommerce companies clocked $1.4 billion in sales during the same festive period last year. This year, these companies were even more fortunate and recorded a growth of 43 percent in sales, which makes its sales to reach $2.3 billion in 5 days!
It is believed that the key drivers for the increased sales are higher awareness among people, people living in tier II and tier III cities starting to shop online, increased offers by banks and e-wallets and, loyalty and subscription schemes.
“The industry witnessed a higher growth this time compared to last year. This was driven by multiple drivers, key being a larger shopper base from Tier-2+ cities. Affordability and loyalty schemes introduced by e-tailing players also played a huge role in converting the visitors into shoppers”, said Ujjwal Chaudhry, RedSeer's Engagement Manager.
Paytm Mall, Snapdeal and other companies participated in the sale. Predictably, competition was between Amazon and Flipkart to record the biggest sale. Flipkart claims to have broken all the records in the industry and have clocked over 70% share in the total e-commerce market in the 5 days of festive sale. Together, Amazon and Flipkart account for 90% of online sales during these 5 days. Amazon shares that three out of four customers who opted for EMIs also availed the benefit of No-cost EMIs. Flipkart also claims to have 50% growth in new customer addition and 80% growth in gross sales compared to the last year.
“We have received an overwhelming response to the 5th Great Indian Festival, with sales in the first 36 hours nearly surpassing entire first wave last year and the event exceeding our most aggressive plans across all categories. With 3x times surge in Prime member sign ups across the country, more than 80% of new customers coming from small towns, and orders from 99% of serviceable pin-codes in just 4 days, we are humbled that Amazon.in is trusted by India to find, discover, and buy anything online.” said Amit Agarwal, Senior Vice President and Country Head, Amazon India.
By Bhavishya Pahwa