Amazon’s investments in India continue as the Seattle-based e-commerce giant has reportedly pumped Rs 1,620 crore in its marketplace unit here. According to filings with the Registrar of Companies, Amazon Singapore and Amazon Mauritius have infused this capital into the local arm of Amazon Seller Services last month. The development was first reported by ET. This comes in the wake of Amazon’s fierce battle with local e-commerce player Flipkart during the ongoing the festive period.
Amazon had earlier committed a capital investment of $5 billion in its India operations. It has already invested $2 billion as India shapes up as one of its key markets globally. India is already the fastest-growing market for Prime, and Amazon is beefing up its offerings on that front. While it launched Prime subscription last December, it is expected to roll out Prime Music shortly. Earlier this month, Amazon launched its voice-enabled smart speakers Echo and Echo Dot in the Indian market, and offered it an attractive price point during the Great Indian Festival Sale. ALSO READ: Amazon Great Indian Sale: Amazon Pay sees 20 times more top ups
Besides its core e-commerce marketplace, Amazon has been ramping up investments in categories like fashion where Flipkart leads as far as online sales are concerned. After acquiring two of India’s leading fashion e-tailers, Myntra and Jabong, in the last few years, Flipkart has been able to successfully grab the attention of online lifestyle shoppers. To counter that, Amazon acquired a five percent stake in leading offline fashion retailer Shoppers Stop last month. Shoppers Stop will now sell its products exclusively on Amazon.in besides its own website. Amazon is also rumored to be getting into full-fledged grocery delivery. It has tested its Amazon Now service briefly in select locations. ALSO READ: Amazon may be making big investments in Amazon Pay in India: Report
However, after receiving a government nod for its proposed $500 million investment in food business in India, Amazon would soon be a force to reckon with in that segment. There’s also Amazon Pay India, the e-commerce giant’s wallet service that received an investment of $245 million from its parent early October. Amazon competes with a host of homegrown mobile wallets as well as the state-backed Unified Payments Interface (UPI) in the digital payments space in India. There is also Flipkart-owned PhonePe that is Amazon Pay‘s direct competitor and is luring online shoppers with discounts and cashbacks.