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A RedSeer report published the trends witnessed during the first week of the ongoing festive season. In terms of order volume received, Walmart-backed Flipkart led the way during this period with a 62% share in total gross merchandise value (GMV) and 49% in order volumes. In a pleasingly surprising turn of events, Meesho (backed by SoftBank) was at the second position, for which the credit goes to strong demand from Tier-II cities and beyond and surge in sales of unbranded fashion products. Amazon stood third with 26% share in GMV, however, together Amazon and Flipkart captured 88% of the overall sales, the RedSeer report said.
Overall, E-commerce marketplaces clocked total sales of USD 5.7 billion (INR 40,000 Cr) during the first week, a growth of 27% Y-o-Y.
“Flipkart Group (Flipkart, Myntra and Shopsy) continues to maintain its leadership position with 62% market share in GMV during the festive sale week 1. In terms of order volumes, Meesho, with its low AOV (average order value) and high penetration in Tier-II cities emerged as the second largest player capturing ~21% of the market share, while Flipkart Group leads here as well.”
Sanjay Kothari, Associate Partner at RedSeer
Meesho, which transitioned from a social commerce platform to e-commerce marketplace, acquired aggressive sales growth due to higher demand from Tier-II cities and beyond, and its strong positioning in the fashion segment, in which it competes with the likes of Myntra and AJIO.
Nouveau market players like Reliance JioMart and Tata Neu failed to capture a large share in terms of GMV despite their high-profile launches last year. JioMart’s sales grew 2X this year (YoY terms) with the platform now selling electronics besides groceries, and Tata Neu didn’t announce mega sales for the first festive season after its launch last year.
Meanwhile, Amazon India countered RedSeer’s claims of the e-commerce company being trumped by Meesho on order volumes.
