Having raised over $4 Bn in funding, 2017 was undoubtedly a revival and a reckoning year for the Indian ecommerce behemoth Flipkart. “The focus will now be on increasing the monthly active consumers from the existing 10 Mn to take to 80 Mn in the coming years,” said Flipkart CEO Kalyan Krishnamurthy while speaking to financial newspaper ET.
In the last year, despite an uncertainty over the team-lead, Flipkart successfully cracked a number of deals such as $4 Bn fundraise from Microsoft, Tencent, eBay and SoftBank. Flipkart also sold its 5.4% stake to eBay in order to acquire their India operations, eBay India.
Calling 2017, “a revival year of confidence in the Indian consumer internet industry” Kalyan averred, “We have seen a very big confidence boost. The ecosystem in India is now very clear that there is a market leader in India in ecommerce with a huge margin…..They have (Tencent, SoftBank, eBay, Microsoft) synonymised growth in the Indian internet market with Flipkart.”
“In categories like fashion, both branded and unbranded, home, mobiles and appliances, which account for over 80% of ecommerce in India, Flipkart has a 75-80% of the share (along with Myntra),” claimed Kalyan Krishnamurthy.
With a huge fundraising, Flipkart has been in discussion with other players like food marketplaces Zomato and Swiggy, event platforms like BookMyShow, to expand the horizon of its ecosystem to counter Amazon’s Prime offerings. The services will supposedly be offered as part of Flipkart First offerings, however, the company has not been able to pull any significant deals in this regard and deals are still in the stage of speculations. One of the reasons behind the delay is understood to be the dilution of stakes. Flipkart, as part of the collaboration, wants to attain a significant stake in the other platform to influence their decision making in sync with the Flipkart ecosystem. While independent platforms like Deepinder Goyal-led Zomato are open to collaborating, aren’t apparently interested in the diluting their stakes.
On, what’s in the cart of Flipkart this year, Krishnamurthy stated that the prime focus will now be on how to increase the number of monthly active customers who are actually transacting on the platform. Flipkart is currently eyeing to the have its own bigbasket and food marketplace to multiply the monthly active users significantly.