Flipkart Smart Buy looking to expand into a new categories
The Smart Buy brand is one of Flipkart's own private labels, which it sells exclusively through its domain.
Published:Wed, August 08, 2018 12:44pm
Indian e-commerce giant Flipkart, still high off its multi-billion dollar acquisition by Walmart, is looking to expand its operations in India in a big way to take on arch-rival Amazon India. According to a report by LiveMint, Flipkart is planning to boost the presence of its private label Smart Buy brand, by taking the brand into new product categories. Smart Buy is currently active in various categories such as mobile accessories, audio and entertainment electronics, home appliances, furnishings, personal grooming equipment, home use goods and more.
Smart Buy is essentially Flipkart's answer to AmazonBasics, the private label run by Amazon globally. Under this strategy, Amazon sources various white-label products and brands them under its own AmazonBasics name. These products are sold exclusively through Amazon India, and are often priced extremely competitively. Flipkart hopes to achieve a similar level of success with Smart Buy, and hopes to eventually achieve at least one-fifth of its total revenue from private label sales, according to a company executive speaking to LiveMint.
The report suggests that Smart Buy's next big expansion will be in the range of sports and fitness goods. And while the brand already has a presence in home appliances, mobile accessories and stationery, Flipkart will be looking to boost presence in these categories by offering more products and a wider range of goods. The Smart Buy brand and private labels in general are a big business opportunity for Flipkart, since these tend to leverage the company's established reach and customer base, and offer products that fetch higher revenue than products simply sold by Flipkart as an intermediary.
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Flipkart's range of private labels includes Billion, which is itself present in various categories from smartphones to home appliances, clothing and kitchen utensils. The company had last year launched its first smartphone under the Billion brand, called the Billion Capture Plus. The phone was priced from Rs 10,999 onwards, but is now listed as out-of-stock on Flipkart.