Member login

Please Login to see contents

Ecommerce Giants Battling for India Market

0

Competition is heating up in India ecommerce sector as foreign ecommerce giants are battling for its market share.

According to India Brand Equity Foundation, Ecommerce industry is projected to expand in 2026 to US $200 billion. In 2016, India consumer are spending 47% of the Ecommerce retail value on electronics, and 31% on apparels.

Walmart FlipkartChart1

Based on Alphastreet.com, the current industry leader in India ecommerce is Flipkart 39.2% of the market share, closely followed by Amazon at 31% and various competitors at 21%.

Walmart FlipkartChart2

Walmart is coming in aggressive with a US $16 billion investment proposition in Flipkart. This will result in a 77% ownership in Flipkart that will position Walmart a strong competitor with Amazon. Other notable giants like Alibaba owns 50% in Paytm Mall.

However, Walmart deal is getting headwinds as SoftBank, a major shareholder in Flipkart, may face double taxation once its 21% stake is sold to Walmart. SoftBank is weighing its options and the deal may hold for 6 to 12 months.

Commentary by Maverick Chung

Source:
https://www.ibef.org/download/Ecommerce-Report-Apr-2018.pdf
https://news.alphastreet.com/walmart-buys-flipkart/
https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/pecking-order-at-flipkart-after-last-funding-round/articleshow/62784438.cms
https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/paytm-mall-raises-rs-2900-crore-from-softbank-alibaba/articleshow/63584679.cms
https://techcrunch.com/2018/05/09/walmart-confirms-16b-flipkart-investment-giving-it-77-in-indias-e-commerce-leader/
https://economictimes.indiatimes.com/news/economy/policy/softbank-chief-masayoshi-son-undecided-on-selling-flipkart-stake/articleshow/64117207.cms
https://tamebay.com/2018/05/marketplace-will-win-in-india.html?utm_source=bm23&utm_medium=email&utm_term=Which+marketplace+will+win+in+India?&utm_content=Posts+from+Tamebay+for+15/05/2018&utm_campaign=TB+-+Newsletter+-+2017&_bta_tid=19535207125476388982569550031653202048584423868157003831095933037501132080473127683051727222063756800008


Image Source: https://stories.flipkart.com/walmart-flipkart-investment/

You have no rights to post comments

  • Postal address

    Geylang Post Office PO Box 78
    Singapore 913803

  • Street address

    447 Geylang Road #02-00 Geylang Post Office Building
    Singapore 389406