The online apparel business is turning out to be as expensive as having a shop in mall of a tony market as the e-Commerce companies are increasing the commission of the fashion brands.
Fashion brands that entered the e-Commerce platform in past half a decade claimed that they paid 30-40% commission to platforms like Jabong, Flipkart, Amazon, Myntra and Koovs for sales and product delivery.
Last year apparently,
Experts say that this is as expensive as a shop, which includes costs like rental, staffing and utilities and maintenance and discounts.
"When you're working with these established players like
The apparel brands can save around 8-10% in costs online only if they don't offer much discount.
Many fashion brands lose profits in e-Commerce as they offer brilliant discounts than physical rental costs.
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