Flipkart aims to sell half of India’s fashion. Read to know more

Flipkart, India’s biggest e-commerce giant, has set up an ambitious goal to sell one out of every two units to be sold in fashion category, in the coming festive season. Additional sales are expected to come from group-owned category portals Myntra and Jabong.

Flipkart, earlier this year in July, acquired Jabong for $70 million, and got over 65-70% share in the online fashion market in India. "Flipkart Fashion was launched in 2012 and today it commands the No. 1 position. We have the largest share of the online fashion market between 30-35%," Rishi Vasudev, vice-president, who heads Flipkart Fashion told ET.

Flipkart, currently is in competition with Amazon India for becoming the leader of the online fashion market in India. Amazon, backed by heavy investments from its US parent, is gaining on Flipkart. The gap between two players in terms of GMV is closing, with investors and analysts estimating it to be 15-20%. With Myntra and Jabong generating sales of around Rs 400-500 crore a month and owned by Flipkart, the company has not been stressed by the aggressive spending of Amazon India.

Flipkart, however, has now decided to stand up to the narrowing gap and expand the gap with the help of fashion in the coming festive season, and also by increasing the sales in smartphones and in large appliances like TVs and washing machines.

"In terms of units, Flipkart Fashion is the largest category, but in terms of value, we are behind smartphones," Vasudev told ET, while declining to comment on GMV numbers."By 2020, the market is estimated to be anywhere between $50-80 billion, with fashion at 30-35%. As leaders in the segment, our share as part of the overall GMV will only increase," he further added.

Flipkart is looking to improve the experience of these customers by signing exclusive licensing agreements with brands like Provogue, Swiss Military, Carlton London and Chemistry. It has also signed an exclusive brand tie-up with Peter England to launch a wider collection of its shoes, which is the highest penetration sub-category in the segment.
(image:Reuters)