Flipkart slashes SLA procurement time to 48 hours; Online Sellers take note!

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India’s leading online marketplace, Flipkart has reduced Service Level Agreement (SLA) procurement time to two days, which could hinder sellers who manufacture just-in-time. Currently the seller and marketplace agree on the SLA procurement time, which could be even as much as 6 to 7 days in some instances.

It is understood that Flipkart is implementing this new policy based on analysis that shows sales greatly increase if orders are fulfilled on time, as online customers are hungry to get their hands on the goods.

Deadline -SELLERS BEWARE

Flipkart has stated that after Friday the 22nd of January 2016, products with procurement SLA’s longer than 2 days will be de-activated. To avoid this extreme measure, Flipkart has urged all its sellers to update and reduce the SLA procurement time to 2 days.

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What is SLA?

SLA refers to a contract that stipulates all the terms and conditions between seller and marketplace. In this case, it is specifically about the agreed time taken for sellers to dispatch their product with the courier once an order has been placed with the marketplace. Snapdeal already has a 2 day policy in place, while Paytm and Amazon still give the seller a choice (within reason), depending on the category.

Impact on sellers?

While this new policy will not harm efficient sellers much, it could prove futile for sellers who prefer to manufacture only once the order has been placed. Sellers will now have to analyse and forecast sales to make sure they have enough inventory in stock to fulfil demand and avoid losing out to competitors. Are you prepared?

Online sellers, let us know your views on the new policy!

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5 Comments

  1. Sandeep Jain Reply

    Just Try All This……

    You all missing an important flaw in flipkart rating. Just place an order on flipkart and when shipping starts and you cancel your order. you have not got your product but you can still rate seller 1 star for bad Quality because you are a buyer on flipkart and you have any right to do wrong. if delivery of your order is very late bcoz of so called big jhallu days, you can still rate 1 star any seller bcoz of ekart or flipkart fault. if another seller orders COD on fake addresses and these orders surely not delivered, still he can give you fake 1 star reviews and genuine sellers get blocked bcoz his rating get affected and his return rate increases.

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