Meesho becomes fastest growing E-commerce player in India, Report Reveals
Category: Business News, Posted on: 30/01/2024 , Posted By: Ishika Agarwal
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Meesho is an online reseller platform that might not need an introduction. Due to its ability to make online shopping and reselling simple and inexpensive, the website has successfully carved out a niche for itself and grown in popularity among both customers and retailers. Meesho offers prompt, safe transactions, affordable return policies, and affordable delivery. Meesho is trusted by over 2.6 million resellers in India. The Bangalore-based startup aspires to build an environment where anybody can establish a business with no financial investment. Along with having over 2 million resellers, the company also boasts of having more than 20,000 Meesho suppliers from more than 500 towns to its name. Meesho works on a commission of about 10-15%, and sellers may earn money with Meesho by introducing a gross margin to every transaction.

With a 48% market share, Walmart's subsidiary Flipkart is still in the lead in the Indian e-commerce industry. But right now, all the attention is on Meesho, a SoftBank-backed platform that has become India's fastest-growing e-commerce company in terms of user base. AllianceBernstein reports that Meesho's Year-on-Year (YoY) growth has been astounding, at 32%, outpacing the growth of Flipkart and Amazon, which have grown by 21% and 13%, respectively.Its emphasis on Tier 2 and smaller cities—a market area that behemoths Flipkart and Amazon mostly ignored—is largely responsible for the company's rise. Undoubtedly, the strategic placement and zero-commission model have played a major role in Meesho's success. According to the research, over 95% of Meesho's selection is unbranded, and 80% of its sellers are retail business owners. Meesho's order volume has increased by 43% year over year in terms of financial indicators, and revenue has increased by a noteworthy 54%.Currently, the platform has an average monthly user base of 120 million, with an 80% rate of repeat business. According to the research, Meesho's current gross merchandise value (GMV) run rate is above $5 billion, with garments accounting for over half of this value.While Flipkart holds a significant portion of the online retail industry, Meesho's growth rate in user base and app downloads is noteworthy. The startup's user base is growing at 29% year-on-year, with a strong retention rate.

Meesho was founded in 2015 by Vidit Aatrey and Sanjeev Barnwal in Bengaluru. Meesho is an online shopping platform owned by the Indian company Fashnear Technologies Private Limited. It is an online marketplace that facilitates trade between suppliers, resellers and customers.


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