SUMMARY
The Mukesh Ambani-led company has already started onboarding independent sellers on its ecommerce arm, JioMart
While the proposed platform for third party sellers will have a Jio branding, JioMart will continue to be the platform for all in-house Reliance brands
Currently, independent sellers on JioMart are offering products in the categories where Reliance does not have its presence
In its major ecommerce push, Reliance Industries is developing a new platform to host third party sellers. Besides, the Mukesh Ambani-led company has already started onboarding independent sellers on its ecommerce arm, JioMart.
Reliance Industries is taking this measure to keep its ecommerce venture in line with upcoming ecommerce policy, according to an ET report. As per the proposed ecommerce rules, such platforms need to ensure that none of their related parties and associated enterprises are listed as sellers on their shopping websites; and no related entity should sell goods to an online seller operating on the same platform.
The upcoming policy would also mandate that marketplace operators and sellers remain distinct separate entities. “Hence, Reliance is already preparing itself for such a structure. At the same time, it wants to support other ecommerce sellers or brands who want to go online and hence building a separate marketplace platform,” ET quoted a source.
While the proposed platform for third party sellers will have a Jio branding, JioMart will continue to be the platform for all in-house Reliance brands. Currently, independent sellers on JioMart are offering products in the categories where Reliance does not have its presence such as – books, sports goods, perfume and auto accessories.
Along with focussing on these categories, the proposed platform will also focus on larger categories such as apparel, electronics. Reliance Industries is planning to onboard 1,000 online sellers who will operate on the JioMart. Later, the sellers will be moved to the new platform when it is ready.
These independent online sellers are being offered similar seller commission as Reliance entities, no minimum order value for consumers, and free deliveries.
In the growing ecommerce market of India, Reliance has made a late entry, after the pandemic accelerated the growth of ecommerce. Hence, it is lagging behind the two major ecommerce companies Amazon and Flipkart.
In the meantime, Reliance Industries Limited (RIL) reported a 26.2% year-on-year (YoY) rise in its consolidated net profit for financial year 2021-22 (FY22) at INR 67,845 Cr.
For the first time, the annual revenue from its digital services business crossed the INR 1 Lakh Cr mark in FY22.
Its retail arm, Reliance Retail said that it “more than doubled its daily orders year on year across all its digital commerce platforms on the back of stronger product portfolio and attractive offers”. Reliance Retail is also likely to join India’s ambitious Open Network for Digital Commerce.
