After telecom, Reliance Industries is now all set to disrupt India’s INR 2 lakh crore e-commerce market, reports suggest.
Reliance Industries Ltd. is reportedly planning on creating an e-commerce platform that combines online and conventional shopping. Following the likes of Amazon and Walmart’s Flipkart online services in retail, Reliance chairman Mukesh Ambani drew a plan on Thursday. The plan was outlined in Mumbai at the company’s annual shareholders’ meeting.
The plan will involve Reliance Retail and Reliance Jio businesses, Mukesh Ambani stated. A fiber-based broadband service will also be introduced for Jio on August 15. The reliance retail stores will see 350 million footfalls, 215 million Jio subscribers leveraged by the company’s e-commerce venture. A target is also set of 50 million fiber broadband homes and 30 million small merchants. The shareholders’ meeting also revealed the introduction of Reliance carrier JioPhone2. The model is an upgraded version of the feature phone offered for an initial price of ₹2,999. The advancement will allow users access to social media handles like Facebook, YouTube and WhatsApp.
International e-commerce giants Amazon and Walmart have been investing in Indian retail industry. The retail sales are said to double to $72 billion by the year 2022 from $32.7 billion currently. As mentioned by the chairman, Reliance is looking to grow in the e-commerce industry after it spent about ₹2.5 trillion in setting up the infrastructure for mobile and fiber broadband.
As told by Ambani, the platform is said to use augmented and virtual reality with holographs in order to create an “immersive shopping experience”. He did not share any financial targets or a timeline for the same. Small merchants will also be able to make use of the services which will enable them to follow the steps of large enterprises and e-commerce players. World’s largest retailer Walmart, in May, revealed its acquisition plans with the Flipkart group for a 77 per cent stake. The company reportedly bought Flipkart for $16 billion with the remainder left to Flipkart co-founder Binny Bansal and other shareholders.