Shown Above: Kumar Mangalam Birla
After Ratan Tata’s recent ventures in e-commerce, Kumar Mangalam Birla, chairman of the USD 40 billion Aditya Birla group, is looking to enter in to Indian e-commerce market with plans to either acquire e-retailers or to launch a new stand alone e-commerce project.
As Bloomberg reported, He declined to reveal more details about his e-commerce plans but, the group is looking at many business verticals instead of focuses on a specific one.
“There’s a lot of ground for new ventures in e-commerce,” he said. “I am not saying that we can take an Amazon head-on. But there are a lot of green spaces.” Birla joins the league of offline business tycoons like Ratan Tata and Mukesh Ambani, who are finding the online pastures green.
Birla is also looking for investors in his existing bricks-and-mortar retail businesses, which include the “More” chain of supermarkets and Pantaloons apparel stores, which was earlier under Future Group. He said, “E-tailing is the way forward, It reflects the new India. It’s about new lifestyles, new spending patterns, it’s about new family structures. And we want to be in that space.”
Snapdeal recently raised USD 1 billion this year from eBay, Ratan Tata and Azim Premji; Japanese corporation Soft Bank had also invested USD 627 million in the company.
Amazon plans to spend USD 2 billion for extending its Indian operations. Flipkart, a rival of both Snapdeal and Amazon, closed USD 1 billion led by Tiger Global, DST and Accel Partners.
Another offline retailer, Kishore Biyani, also has been in news lately around speaking openly the shortcomings of existing online retailers.And his company, Future Group, recently announced a partnership with Amazon India, through which it will exclusively sell its apparel online.
Image Source: IBTimes