SUMMARY
Flipkart-owned 2Gud to sell fresh products at lower prices to attract customers
Products will be priced 50% - 80% lower than the original price
The platform will be launching with close to 100 sellers
Flipkart-owned 2GUD, an ecommerce website that sells refurbished products, will now also host fresh products across various segments like home and electronics to attract ‘’value-conscious’ customers from smaller cities. The products will be more affordable in pricing compared to those available on Flipkart.
Flipkart launched the platform in August 2018 after parting ways with eBay and joining the global retailing giant Walmart. Flipkart acquired the eBay’s India unit in March 2017 after raising a funding of $1.4 Bn from Microsoft and Tencent.
The step has been taken to capture both urban and smalltown customers. The company plans on targeting the “a notch lower” than the top half of the demographic. It also plans on launching the business with more than 100 sellers by the end of this month. Price of the products now ranges from 50%- 80% of the original price depending on the certification of the product.
“We are changing our positioning from refurbished-only platform to a completely value-conscious platform… We realised that there is a large gap in the fashion and home products market and it is a fragmented market,” says 2GUD Head Chanakya Gupta.
By the end of August, the platform will start catering to affordable fashion, accessories, beauty products, toys, stationery, home and electronics, including feature phones. 2GUD serves close to a Mn customers from over 3K towns. The customers mostly come from tier 2 and tier 3 cities.
“The new business will also drive more customers, many of whom are coming online for the first time. Flipkart is committed to bringing the next 200 million customers online and we see this development plays an important role in that,” Gupta adds.
The brand’s competitors include e-retailers like Paytm Mall and Snapdeal, and Chinese online apparel brands like Shein, Club Factory, Romwe and Ali Express.
