Stagnation in the stake of online sector in the handset retail market is turning Amazon and Flipkart, the top ecommerce companies, to operate on new tactics, since they make an attempt to push trades of a group of products that collects the most income to them.
Flipkart is extending the list of small cities it serves and pledges deliveries within 1.5 days, even at the time of the peak festive season. Competitor Amazon is joining forces with telecom operators to arrange in-store demo zones to provide users a touch and feel of some handset prototypes and then assist them make the online transaction.
Online sales have remained almost 33% of the entire retail handset market for almost a year now, since the cost differential with offline typically vanished with ecommerce companies slashing back on discounts. To be certain, the volume of headsets they trade is elevating in noteworthy numbers in an extending market.
But elevating the share of the market is also important for the likes of Amazon and Flipkart to drive their general development in this market. Although smartphone industry executives and analysts claim that it will now be harder for the online companies, the ecommerce firms are positive about their capability.
Flipkart thinks that the online sector is able to capture a 40–50% share of the handset market by the end of the next. The offline market can’t offer the kind of facility that ecommerce sellers provide, claimed the Senior Director of smartphones at the Bengaluru-based company, Ayyappan Rajagopal, to the media in an interview.
“Offline will by no means be capable of solving problems associated to assured buyback, product exchange, and user finance, which we have been capable of doing,” Rajagopal claimed. “And, companies see value in this distinguishing factor, which is why finest brands such as Google, Apple, and Samsung roll out their smartphones in online market first and then roll out offline.”
Amazon took a pilot program in Bengaluru with Vodafone earlier in 2017, setting up a demo plant at the customer care centre of the telecom company. It is now being extended to other towns.
###
