It seems in the world of online marketplaces, it’s always the season of expansions and collaborations.
More space, more people
Flipkart has closed a deal with the realty firm Embassy to lease out an office space of about 3 million sq feet in Bangalore at around Rs.3000 crore rent annually. For those of you who’d like a comparison, Delhi’s Millennium Park Bus Depot measured at about 3.5 million sq ft is the largest bus depot in the world currently. The new Flipkart office would be located on the Outer Ring Road, Bangalore, inside Embassy group’s commercial premises called Embassy Office Park.
As part of its expansion plans, Flipkart aims to hire 12000 people to strengthen support and tech operations. This may sound like an ambitious plan, but would definitely aid Flipkart in dealing with the competition from Snapdeal and Amazon to grab the largest slice of the Indian market share.
More brands, more cities
Myntra plans to set up an office in London, and later in New York. The online fashion retailer based out of Bangalore had earlier hinted that it may release new designs fortnightly from its London studio for its private brands. The company has appointed Mark Sebba, who retired as chief executive of UK-based online high-fashion group Neta-Porter earlier this year, as an advisor in the run-up to the launch of its London office.
Earlier this year, Myntra inked deals with Dutch youth fashion brand Scotch & Soda, designer Rajesh Pratap Singh’s Mario Miranda and Music T Shirt Collection.
Jabong, a strong competitor of Myntra based out of Delhi, signed up River Island, a high street brand based in London in June this year, following up on earlier deals with another UK-brand Dorothy Perkins as well as designer Rohit Bal. Currently, Jabong is in the process of setting up a design and branding office in London which would cater to Lara Karen and Sangria, Jabong’s private brands.
Online marketplaces believe that not only do these partnerships help attract customers, but they also make up for a large percentage of their revenue.
More sales? More discounts?
If these companies have such big plans, they would have some big offers in the pipeline too – or at least that’s what the consumers are hoping. After all, of what use are big investments if they don’t give you big returns, right?