After introducing various beneficial features for its sellers, Limeroad has brought yet another initiative due to the demonetisation. Sellers will now be paid 24 hours after the transaction. Earlier Limeroad would credit the money to the sellers on a monthly basis.
Founder CEO Suchi Mukherjee explains,
“This move will increase the vendor’s working capital cycle, thus empowering them to further scale their respective businesses,” she said, ecommerce industry in India, for whom timely payment has been a major concern.”
Sellers testify that the move has helped them in toto. According to Priyanka Kataria, a Jaipur-based vendor,
“It is helping in improving cash flows and furthering payments to fabricators and artisans, which will a great help during this cash crisis when we are seeing delayed payments from almost everybody. Our interest cost will get greatly reduced and we’ll be able to offer more affordable products to our customers, as we can negotiate better prices of raw material by doing faster payments to local fabricators.”
Limeroad has always looked out for its sellers; particularly small sellers and handloom artisans. The fashion portal has extended support to its sellers including:
- Easy loans. The company teamed up with FlexiLoans to enable its sellers to get quick loans at low interest rates and flexible repayment.
- Promoting MP handicrafts. It tied up with the Madhya Pradesh Laghu Udyog Nigam to sell products made by MP artisans.
- Incentive penalty policy. In a bid to help maintain high standards, Limeroad introduced an incentive and penalty policy. Sellers get incentives for prompt delivery, and a penalty for delivery delays due to lack of stock, and increased returns.
The power of social media
Limeroad has had a stellar growth, owing to its social media approach. The portal encourages shoppers to share ‘looks’ that they create online, thereby helping spread the word. It also offers incentives to its customers whenever a shopper buys a ‘look’ or ensemble a scrap booker has created.
It had a revenue of Rs. 2.6 crores in FY 2013-14, which jumped to Rs. 15.6 crores in FY 2014-15. This figure doubled in 2015-16. Its sales grew as well.
What incentives is the company planning for its sellers in 2017? Keep watching, and we’ll keep you posted.