RIL to Adopt Omni-Channel Strategy for Online Fashion Store AJIO
India: Reliance Industries stepped
into the online fashion retail business earlier this year, in April through
AJIO.com. Reliance wants to target shoppers with high-margin, curated fashion.
The portal was made live within the organization and was tested on company
employees for around three months before its official launch. The portal is
named after its telecom unit Reliance Jio and upcoming digital wallet Jio
Money. AJIO browsing kiosks are being deployed across selected Reliance Trends stores
by the company to help its customer order through the online platform. More
than 1,300 trends are live on the AJIO.COM website.
Flipkart, which earlier
acquired Myntra, has recently acquired Jabong for USD 70 Million, is thinking
to open its 1st store in next quarter, opting for its Omni-channel
strategy in place, to increase its sales and profitability next year.
According
to TechSci Research, Online retail business is booming due to increasing
disposable incomes, availability of various options under one roof, increasing
comfort level and increasing time saving attitude. Market is dominated by
Flipkart, Snapdeal and Amazon. Recently, big conglomerates are seen jumping
into the gamut including Abof.com of Aditya Birla Group, Tata Cliq by Tata Group
and NNNOW.com by apparel maker Arvind recently. The entry of such big players
will bring huge investment in E-commerce industry and will increase the market
penetration and companies with run in the race to outreach customers.
According
to a recently published report by TechSci
Research, “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.