To join the country’s booming online retailing space, Reliance Industries has announced its plans to enter into eCommerce bandwagon by the end of this fiscal year. It will enroll over 150,000 small and medium sized vendors for its eCommerce marketplace to take over on existing players such as Amazon, Flipkart and Snapdeal which are pumping in billions of dollars in investments.
Amazon has 50,000 sellers after 2 years in operation, while Snapdeal is said to have 200,000 sellers after 3 years of operation as a marketplace.
As per an ET report, initially the platform will be geared towards electronics products which is ready for deployment with 30,000 vendors who are expected to come on board by the end of this month. After than, the company also plans to roll out online grocery marketplace in the fourth quarter of the fiscal for which it has put in place infrastructure, including fulfilment centres. It is also bringing international brands from countries such as Singapore, Australia, Russia, Switzerland, China and Turkey by signed an exclusive partnerships with a host of fashion brands.
With firms like Flipkart, Snapdeal, Amazon and Paytm among others, Indian eCommerce market (including travel and other services) is really growing at very fast pace and expected to reach up to to $60-70 billion by 2019 from about $17 billion in 2014. Tata Group, is too preparing to launch an eCommerce marketplace and is putting in investment. But entering in to this space doesn’t mean all retailers have been successful, like Future Group changed the model of its flagship eCommerce venture Futurebazaar.com which is currently reduced to a gift voucher site and other operator Shoppers Stop too has struggled with its own version of online retailing.
Reliance has a variety of stores offline under names like Reliance Trends, Mart, Digital and many more. With its entry into the space, it would surely increase the competition against the existing incumbents.