Amazon India E-commerce IT & Web-tech News

Amazon India Business Quadruples, Sellers And Fulfilment Capacity On The Rise

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Amazon has been a late entrant into the Indian e-commerce market, but it has not deterred the US ecommerce behemoth from making rapid inroads into the market. Amazon recently announced that its Indian unit Amazon India registered a threefold increase in its customers and sellers as a result of which business has quadrupled in 2015 as compared to last year. This is further helped by increase in its fulfilment capacity as the firm has been adding around 40000 products per day this year with 90% of the sellers using its logistics and warehousing services.

Active customer accounts are up 230 per cent year-over-year. We are in the middle of the Diwali season that is going really well,

Brian Olsavsky, chief financial officer at Seattle-based Amazon, said on an investor call on Thursday. He further added that the number of sellers had grown more than 250% on year-over-year basis with sales growing 4 times than the previous year.


Interestingly, this was the first time in an Amazon investor call, that its India business got a mention.

India continues to remain one of the most important and lucrative overseas markets for Amazon and  it recently said that Indian market can soon overtake Japan, Germany and the UK to become its largest overseas market, in addition to becoming the quickest to reach $10 billion in gross merchandise value (GMV) in the company’s history.

Recognising the potential, Amazon founder Jeff Bezos had pledged to invest $2 billion in Amazon India and a month ago, the company made its biggest capital investment since its entry in India in 2013, investing around Rs 1237 crores into Amazon Seller Services.


Amazon continues to face stiff competition from local players like Flipkart, Snapdeal and PayTm who have raised huge amount of capital from investors.

india’s ecommerce segment is an open battlefield — with the battle becoming even more intense post cash infusion into Flipkart and Snapdeal. However, questions continue to rise on profitability of both of India’s largest ecommerce players, more importantly Flipkart — which also saw a not-so-good technical breakdown during its ‘Big billion’ days this Diwali.


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