Flipkart is the one of the largest e–commerce sites in the world which is doing great business. It has a huge number of sellers from all over the country. They are planning to shift to the new model of Chinese giant Alibaba where around 20 percent sellers have to contribute eighty percent of sales. Flipkart has around 90,000 sellers on its platform in the present scenario. It works with the chunk of 50-60 sellers only in a group. The company helps these sellers and arranges capital, loans through banks. But they have to make monthly repayment (EMI) routed all the way through a company. This shifting of sellers is going to enhance the sales and increase the business of the company.
There is only one business giant has millions of sellers across many platforms. The name of the business concern is Alibaba which deals in wholesale and retail business. This firm has invested in many business concerns like Flipkart, Snapdeal, and Paytm etc. It has around forty percent stake in all the companies and planning to explore the business in future.
The main view of co-founder and Chief Executive Officer Mr.Binny Bansal is to consolidate its seller’s base in Flipkart. It will be helpful in reducing the costs, cutting off customer complaints. He also wants to improve the profitability of a business and earn high amount of returns. This decision was taken to increase the seller’s commission.
The long tail of small sellers will be in the system but they have competed with the small pie of sales. Flipkart declared that they are ready to increase the sellers by three thousand but removing the some of them does not follow quality standards. In the recent general business news, they boot the sellers off to improve the experience of customers and their response. They have already started master seller with few large sellers to promote them. These sellers will be the master in selling products across categories at the rate of low commission rates.
It has been reported recently that Flipkart is looking to add four new sellers onto its platform. It will allow it to function as a sort of hybrid marketplace. Health Happiness and Consulting Rooms have submitted the application to become sellers on the platform. The acceptance of application has been confirmed by Flipkart which will allow them to work as independent sellers. But these sellers will have no other relationship than business partnership confirmed by the spokesperson of Flipkart.
WS Retail is the independent seller who works as per the Indian Laws and continues to be one of the largest single sellers on this platform. The company says any seller cannot make more than 25 per cent sales from an online market as per the new norms of FDI.
Flipkart is looking for the good option to reach out its potential customers at Omni channel offline and online as well. It will be a done with a view to attracting large format of sellers. The firm is looking forward to their cooperation to take participation in Flipkart Advantage program. These programs will be helpful in parking the shipment in the warehouses of Flipkart. It will be a great option for fastest delivery with easier shipping. It will automatically grow the business and customer response in the long run