Ease of Doing Business for MSMEs: E-commerce sellers on marketplaces such as Amazon, Flipkart, and others sold goods worth Rs 32,000 crore during festive sales this year, up 23 per cent from the previous year’s sale. The growth rate, however, was the second slowest since the 20 per cent YoY growth from 2016 to 2017. The festive sales’ gross merchandise value (GMV) growth rate for the following years was 150 per cent (2017-18), 27 per cent (2018-19), and 37 per cent (2019-20), data from the management consultancy firm RedSeer’s latest report on e-commerce festive sales showed. Over 8.5 lakh Amazon sellers and more than 3.75 lakh Flipkart sellers participated during the sales this year.
The data was compiled based on sales from October 2 to October 10. The report, citing expert discussions and RedSeer analysis, said Flipkart Group emerged as the ‘leader’ during the festive sales with a 64 per cent GMV share followed by Amazon’s 28 per cent, and 8 per cent by other platforms. The 23 per cent GMV growth this year was led by key themes including a resurgence in fashion sales while the mobile category dominated with 46 per cent GMV share. Purchases from Tier-II cities dominated the sale with around 61 per cent shoppers followed by around 22 per cent from metros, and around 17 per cent from Tier-I cities.
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“The festive season this year has been one that is driven by a larger theme of affordability. Constructs were built carefully by the platforms through BNPL (buy now, pay later) schemes and bank tie-ups as well as seller driven discounts to serve up the most competitive prices of top leading brands and serve the aspiring customer,” said Ujjwal Chaudhry, associate partner at RedSeer Consulting in a statement.
Overall, there was a 1.2X increase in the total number of shoppers this year to 62 million from 52 million during last year’s sale. With the festive season last till new year, the sellers on e-commerce and social commerce platforms are offering additional discounts, for higher sales volume, up to 40 per cent or more additional discounts on the back of “a favourable perspective of forecasted volume sales and growth during the upcoming festive season,” RedSeer had said in a recent report this month.
