The Seattle-located Amazon has invested more Rs 1,620 Crore in Amazon Seller Services that operates the e-commerce major’s Indian platform, as per the recent regulatory filings. Papers filed with the RoC (Registrar of Companies) showcase that Amazon Mauritius and Amazon Singapore invested the fresh fund into the domestic arm of the e-tailing giant previous month.
Amazon, which elevated its fund commitment for India to $5 Billion, has pumped more than $2 Billion in its Indian processes. The development came at the time when the company was in the last stage of its festive trades here grappling with Flipkart, the homegrown rival. Over the past couple of weeks, these two firms have been in a cost war in an attempt to come up as the leader at the time of the sale season.
While Jeff Bezos, the CEO of Amazon, has addressed about his promise for the online commerce industry here, the e-commerce giant has been pumping forcefully in entities such as payments, logistics, cloud business, and wholesale among others. The company lately rolled out Alexa, its voice-based service, here with Echo devices and is in concluding stages of rolling out Prime music here.
As posted by the media last week, Greg Greeley, head of Amazon Prime, claimed that India was the quickest developing market for Prime and had traded more subscriptions of Prime in the initial year here than its first year of roll out in the U.S.
As per sources aware of the matter, Amazon is pumping insistently in categories such as fashion, where the Flipkart team has a mass share, besides FMCG, grocery, and other new sections.
Amazon, which rolled out last year its well-liked subscription service Prime here, has been aiming on extending the user base. It lately declared that it was days away from increasing its yearly Prime subscription price by 2x to Rs 999 each year. To be certain, at Rs 999, it will still be considerably cheaper than the market in the U.S. where it is available with a price tag of almost Rs 6,000 each year.
Well, let us see if Amazon is able to achieve its goal or not.