Amazon ties up with Vodafone to Increase its Presence

India: In order to increase its presence in the country, Amazon India has planned to increase its offline presence by increasing its customer base in the country. The company has tied up with Vodafone India to provide touch and feel experience of smartphones such as Oneplus 3, which are sold only on Amazon.

As a part of the tie-up, Vodafone will now have a display case with mobile phones listed on Amazon. The customers will be able to try the phones present in the store. The service has been started across 40 stores in Bengaluru and this project is likely to be started across the country in about 10,000 Vodafone stores.

According to TechSci Research, the company’s move to convert the offline customers to online will further increase its presence in the market, lack of touch and feel, long delivery time and trust issues are the major challenges for the e-commerce companies present in the market. The number of online customers is expected to increase in the next five years from 50 million to 175 million by 2020. Moreover, the company will also increase its revenue generation from smartphone segment which occupy the largest share of gross merchandise value of online retailers across the country. The company has increased its market share by tying-up with Lenovo, Redmi, Oneplus Coolpad etc.

According to a report published by TechSci Research According to “India E-commerce Market Forecast & Opportunities, 2020”, the country’s e-commerce market is projected to grow at a CAGR of more than 36% during 2015-2020. E-services segment, which comprises online travel, online payments, online classifieds, etc., is expected to continue its domination through 2020. However, the e-tail segment that includes electronics, apparels & accessories, health and personal care, etc., is expected to witness significantly higher market growth compared to e-services segment over the next five years. During 2015-20, the western region is expected to remain the largest e-commerce market in the country. Major players operating in India’s e-tail market include Flipkart, Snapdeal and Amazon.