Online retailer Flipkart, after raising whooping $1 Bn funding round, and investing in ngpay, is now all set to buy a stake in yet another company. Now, Flipkart is looking to buy a large stake in Jeeves Consumer Services Pvt. Ltd, a company which provides after-sales services on home appliances and electronics items including DVD player, TV, washing machine, food processor or laptop in a hassle free manner.
Founded in 2007, Jeeves offers services like maintenance, repairs, and product guarantees among others.
The company currently has presence in 225 cities and it holds long-term partnerships with India’s biggest retail chains and corporate like the Tata group, Future Group, Aditya Birla Group and a bevy of leading consumer durables brands. It has also signed up with a network of brands including Samsung, Toshiba, Dell and others to provide after-sales services.
In 2012, Jeeves had raised undisclosed amount in funding from Seedfund, an early-stage venture capital fund.
This can be a perfect buy for Flipkart because firstly, it is looking to launch its private label for home appliances thus Jeeves will act as a support to Flipkart. The online retailer has already launch three pivate labels including Digiflip in consumer electronics, Flippd in apparels and recently it launched Citron which offer products under home appliances and personal healthcare category.
Secondly, it will help Flipkart in case the offline retailers and the brands stops offering guarantees on their products that are sold online, as recently after the BigBillionDay mess up number of offline players felt offended and said that level of discounts being offered online hurts their brand image.