In order to scale up its current model of wholesale business, Walmart is continuously expanding its B2B e-commerce presence in India. It has opened two Best Price Modern Wholesale stores in Guntur and Vijayawada in Andhra Prades to add e-commerce service support. The stores is expected to begin supporting eCommerce sales on Oct. 1 with 24-hour delivery access.
In July this year, the company had launched its business operations in Hyderabad and Lucknow and appointed Krish Iyer as the President and CEO for its India operations. As per Pymts report, the company estimates India’s wholesale market to grow to USD 700 billion by 2020 from USD 300 billion currently. According to Walmart India’s President and CEO Krish Iyer, his company can address a USD 50 billion market out of the total USD 300 billion worth Indian wholesale market.
The Best Price Wholesale stores will provide thousands of items to its members with a similar assortment of products including recent introduced select variety of fresh fruits and vegetables. Currently, the firm operates 20 Best Price Modern Wholesale stores in nine states across India.
The other players in this space includes Amazon, which is set to launch a wholesale portal for merchants in India to establish a payment relationship with a seller. It is also working on a secret project for the past few months that is expected to launch early next year. Amazon also announced that it will invest USD 2 billion to support its growth in India. It had opened its Indian website in June, last year, launching same day delivery and adding new product categories.
Reliance Industries Limited is also planning to launch multi channel shopping in the coming year and the Future Group had launched its e-commerce business with Big Bazaar.
China’s online marketplace Aliababa conducted an IPO in US and raised USD 25 billion. The Chinese company which calls itself the “largest online and mobile commerce company in the world,” and generated USD 248 billion of gross merchandise volume in 2013. It is in talks with online retailer Snapdeal, to make entry in Indian market.
Snapdeal also continues with its strategy to bring major brands on its platform. It had tied up with Mahindra & Mahindra and celebrity chef Sanjeev Kapoor to announce their foray into an all-new “Gourmet Category”. The other e-commerce retailer Flipkart raised USD 1 billion for its Indian market and crossed USD 1 billion in sales in March.