Amazon says sold 15 million units in five days of Great Indian Festival
Amazon India’s Amit Agarwal says the e-commerce firm’s single biggest-selling product was the annual Amazon Prime subscription service
Bengaluru: Online marketplace Amazon India said it sold 15 million units from 90% of all pin codes in the country during its five-day sale, an indication of the potential of e-commerce in the country.
Amazon also said its single biggest-selling product during the sales event was the annual Prime subscription service, a vote of confidence for the online retailer’s famed service that will soon offer video content.
Amazon and rival Flipkart launched their respective sale events called Great Indian Festival and Big Billion Days this week. Both extensively advertised these events, though Amazon spent significantly more than its local rival.
To be sure, the 15 million- number is before cancellations. During sale events, some customers tend to cancel the orders if they find lower prices on other platforms.
Yet, the orders recorded by Amazon highlight the growing popularity of the US-based e-commerce firm.
Amazon India’s order volume tends to be higher than those at rivals Flipkart and Snapdeal as the company also offers a large selection of food and grocery products, which aren’t available on the other platforms.
“The number one objective was to provide a customer experience that you’ve never seen before,” Amazon India country head Amit Agarwal said. “Number two, we wanted to do so at a scale that India has never seen. And scale comes through number of units, number of customers, ecosystem providers, and so on. And third, we wanted to make it an India-wide celebration where we had the maximum number of customers, sellers, ecosystem partners participating. So, what I’m really excited about is that in the last five days, in a little over three years which is a very short time, we have probably achieved the fastest ever ramp e-commerce in India has ever seen — not just India, but e-commerce in general has ever seen.”
In July, Amazon India (Amazon Seller Services Pvt. Ltd) launched its Prime membership programme in more than 100 Indian cities, offering one-day and two-day delivery on lakhs of products for an initial fixed price of Rs499. Apart from the fast delivery, Prime members get early access to products in the Lightning Deals category every day.
Amazon India will offer video content on Prime starting 9 November, Huffington Post India reported Wednesday. Agarwal did not specify the launch date.
The free membership expired this week with Amazon asking customers to pay Rs499 to continue with Prime. Amazon said customers signed up in droves for the service.
Prime is a differentiator for Amazon, which is the only large e-commerce firm that charges customers for such a service.
Rivals Flipkart and Snapdeal (Jasper Infotech Pvt. Ltd) have their own offerings but these haven’t yet taken off the way Prime has, according to analysts.
“The number of Rs499 annual paid memberships purchased in the last five days was more than any other product ever purchased on Amazon.in in a five-day period. During this Diwali, paid Prime membership was our top seller —which was amazing at such a short period. So, Prime members are shopping a lot and we are selling paid Prime memberships—and this basically proves our hypothesis that we’ve held that customers in India are no different. They love selection and they love fast delivery. This is great that they are paying for it and taking an annual subscription with us,” Agarwal said.
Amazon didn’t disclose its revenues numbers but said its sales grew three times over the corresponding sale last October.