Flipkart, Amazon claim record sales numbers in festive season faceoff
ONLINE RETAIL SURGED OVER 60% TO $2.3 BN DURING THE FIVEDAY EVENT, UP FROM $1.4 BN IN 2017
While Flipkart continued its lead over Amazon in terms of GMV (gross merchandise value or the overall sale price of goods sold on a site), Amazon exceeded its internal sales targets, said the people cited above, requesting anonymity.
Amazon had an extra day of sales compared with Flipkart.
Overall, online retail surged more than 60% to $2.3 billion during the five-day event, up from $1.4 billion a year earlier, according to market research firm Redseer Consulting.
Amazon India head Amit Agarwal did not disclose exact sales numbers, but confirmed that the Great Indian Festival event exceeded targets.
“This event hasn’t just surpassed our expectations in terms of scale and size, but also it has really pushed the penetration in the broad base of India. Across all our categories, we’ve exceeded our most aggressive plans a day ahead of our closure.”
“There are two specific areas, where we pay particular attention to, which is: new customers and the reach of those customers, and Prime member sign-ups,” Agarwal said.
He said 80% of Amazon’s new customers “came from really small towns and our Prime member sign-ups surged nearly three times.”
“In terms of key call-outs in terms of categories -- not surprisingly, smartphones is the largest GMS (gross merchandise sales) category for Amazon...the total premium phones sold on our platform during the sale (were more than what is done in) a typical month of all online sales in India,” Agarwal added.
A spokeswoman for Flipkart said the company “smashed all existing records to set new benchmarks for the entire Indian retail industry.”
“Flipkart has recorded over 70% share of entire Indian e-commerce market in the 5-day TBBD’18 sale, matching scale with global marquee retail events. Massive market share driven by clear leadership in deep penetrated and high ASP categories. GMV is 80% of last year whereas units grew by close to 2X YOY,” said the spokeswoman in an e-mail.
The online festive season sale in India is inspired by the Singles Day event in China and the Cyber Monday event in the US.
It started with Flipkart introducing the Big Billion Day sale in October 2014. Last week’s performance shows that the battle between Walmart-owned Flipkart and Amazon could be even more fierce and close compared to previous years.
“The industry witnessed higher growth this time compared