To say that Flipkart is the Big Daddy of e-commerce would not be wrong. This company of humble origins has gone on to become one of the largest e-commerce platforms in the country. While the company was earlier known for selling books, it has expanded furiously and now sells everything from baby products to computer accessories to music even! The road has not been easy and the company is even being probed for alleged FDI violation. Nonetheless, the company has managed to hold its ground and has consistently raised generous amounts in funding to further its business.
In keeping with the company’s aggressive launch plans, we reported in September 2012, that the company has decided to launch its very own Marketplace. For the uninitiated, Marketplace is an e-commerce business model wherein different vendors/brands are allowed to sell their products on one online platform. For example, eBay (international) and Snapdeal (domestic) follow this model.
As it stands now, Flipkart has launched Marketplace and is calling for vendors to register. While a sign-in page is live for present sellers, potential ones are being asked to send in their queries to email@example.com.
As of now, there is no information on whether Flipkart Marketplace will be integrated with the main site. There is also no information on the launch date, though it is speculated to be around March 2013.
By entering into the Marketplace space, the e-commerce giant is venturing into highly competitive territory. With global giant eBay negotiating an investment deal with Snapdeal, Flipkart Marketplace may find itself in a competitive market of global standards sooner than they would’ve thought. On a parallel note, the company will now be able to offer and sell a larger and wider variety of products as it won’t have to tackle the inventory of them all. This will help them increase their user base multi-fold and move away from being cash-trapped.
It will be interesting see how Flipkart tackles the Marketplace business arena. There is no doubt that the company has a strong logistics support system but with the added vendor management, one will have to see how they cope.
You think Flipkart will hit it big with the Marketplace model?