In the increasingly competitive ecommerce market, fashion continues to be a major game-changer for market leaders like Amazon and Flipkart, along with the latter’s subsidiaries Myntra and Jabong. Recently, Amazon Fashion, and Myntra hosted their Wardrobe Refresh Sale and End Of Reason Sale (EORS) respectively, and the competition has been super close.
In its third edition of the Wardrobe Refresh Sale, hosted from June 21-24, Amazon Fashion offered a selection of over 2 Mn styles from over 500 fashion brands.
At the same time, Myntra, which hosted its End Of Reason Sale (EORS) from June 22-25, recorded 2 Mn people shopping across Myntra and Jabong for 9 Mn products.
Here are some of the highlights of the Amazon Fashion Wardrobe Refresh Sale:
- Amazon Fashion witnessed a strong growth trajectory, close to 2.5X with tier 2 and 3 cities growing faster
- The tier 2 and 3 markets such as Indore and Pune grew at 3X to 4X plus
- The sale witnessed 2X growth in new customers shopping on Amazon
- The sale also saw 70% of customers during the event being repeat customers
- Amazon Fashion exclusives Under Armour grew close to 6X and GAP grew close to 8X
- Big Brands such as Puma, American Tourister and United Colours of Benetton reported a growth of 3X
- Millions of customers shopped for fashion on Amazon with 7 out of 10 customers were from a tier 2 and 3 towns
- Wide outreach covered 100% serviceable pin codes in India with Amazon Fashion witnessing a 2X growth in first-time shoppers
At the same time, Myntra recorded 47% y-o-y growth in its eighth season of the EORS sale. Here are some of the highlights of Myntra-Jabong sale:
- Over 500K new customers on the platform
- Grossing 8X sales over normal days at the end of the four-day sale
- Overall, 50% of the total sales came from tier 2 and 3 cities
- Over 6 lakh styles from over 2500 brands on offer
- The company processed 389 orders per minute on an average during the sale.
- Sports category dominated the sale at 17%, and t-shirts were the most popular among men, while women picked kurtas the most
- Recorded 7,600 orders per minute at peak and had over 2.8 Mn orders placed over the four-day sale
Recently, Flipkart claimed to achieved fashion sales worth $1 Bn (INR 6,500 Cr) for the year ending March 2018. This has further pushed the company to chase a target of $1.7 Bn GMV run rate by the end of March 2019.
Amazon is expected to debut its Prime Wardrobe in India during its Prime Day sale, where it will bring the fitting room directly to the customer for trial before purchasing. At the same time, it has reduced the seller fee of products in categories such as apparel and accessories from 20% to 15% (of the selling price).
Poised to reach $14 Bn by 2020, the Indian online fashion market is ruled by biggies such as homegrown Flipkart, which has fashion and lifestyle platforms like Jabong and Myntra in its kitty, and global ecommerce behemoth Amazon.
Further, a study by Technopak has estimated that the Indian apparel market will grow at a CAGR of 9% to $102 Bn by 2023.
With the continuous fight to be bigger than the rest, fashion is one of the key factors of growth for players like Amazon and Myntra etc to strengthen their position in the ecommerce market.