Flipkart Tries Its Luck With Private Labels The Second Time

After facing a poor run of its private-label initiative earlier, the country’s leading e-commerce player, Flipkart, is making a second attempt at launching them across several categories, in a major push for higher revenues.

Sanchit Vir Gogia, Chief Analyst and CEO with Greyhound Research, said with this move, Flipkart is moving away from being a pure-play aggregator.

“The point to note here is that Flipkart has to be super watchful of its supplier sentiment and make sure its private labels do not directly compete with its own suppliers. It should offer clearly differentiated products in terms of quality and price points, and clearly communicate its proposition and intent to suppliers, or be prepared to let go of suppliers,” Gogia said.

Source: Hindu Business Line

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