Ease of doing business for MSMEs: E-commerce sellers in marketplaces such as Amazon, Flipkart and others sold merchandise worth Rs 32,000 crore during festive sales this year, up 23 per cent over the previous year’s sales. However, the growth rate was the second slowest since a 20 percent year-over-year growth from 2016 to 2017. The growth rate for the gross sales value of holiday sales (GMV) for the following years was 150 percent (2017-18), 27 percent ( 2018-19), and 37 percent (2019-20), data from management consulting firm RedSeer’s most recent report on festive e-commerce sales showed. Over 8.5 lakh Amazon sellers and 3.75 lakh Flipkart sellers participated in sales this year.
Data was compiled based on sales from October 2 to October 10. The report, citing expert discussions and RedSeer analysis, said that Flipkart Group emerged as the ‘leader’ during festive sales with a 64 percent share of GMV followed by Amazon with 28 percent and 8 percent by other platforms. The 23 percent growth in GMV this year has led to key themes including the return of fashion sales, while the mobile phone category commanded 46 percent of GMV’s share. Purchases from second tier cities dominated sale by about 61 percent of shoppers, followed by about 22 percent from metro and about 17 percent from first tier cities.
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“This year’s holiday season has been driven by the larger theme of affordability. The construction has been carefully built through the platforms through BNPL (Buy Now, Pay Later) schemes and Bank Connection as well as seller-paid discounts to offer the most competitive rates to the top leading brands and service Aspiring clients,” Ujwal Chaudhry, Associate Partner at RedSeer Consulting, said in a statement.
Overall, there was a 1.2-fold increase in total shoppers this year to 62 million from 52 million during last year’s sales. With the festive season dragging into the new year, sellers on e-commerce and social commerce platforms are offering additional discounts, to boost sales, and additional discounts of up to 40 percent or more on the back of a “favorable perspective on expected sales volume,” RedSeer said in a recent report this month.