Flipkart tightens compliance ahead of festive sale season

By

Isabelle Crossley

Published
Aug 30, 2019

Flipkart will focus on top selling brands and tightening regulations in its warehouses ahead of this year’s biggest festive sale season.

Walmart’s India e-commerce giant Flipkart plans to concentrate on top selling brands across multiple segments, such as clothing, for the upcoming winter festive sale season, sources told ET Bureau. The business, according to the sources, is likely to restrict its supply chain capacity and limit direct fulfilment for products from the unorganised section of the market to maintain strict compliance to regulations.

Flipkart is also increasing compliance in its warehouses, the sources said. The business is keen to ensure it meets compliance standards concerning women’s restrooms, fire safety, and lighting etc. Sources told that some warehouses have even been shut down in order to ensure compliance and some have been outsourced.

Flipkart will hold its Big Billion Days sale from September 29 to October 2. Last year, Red Seer Consulting reported that Indian businesses took more revenue than ever before in their festive season sales with an estimated turnover of Rs 15,000 crore ($2.3 billion) and with 64.3% year-on-year growth compared to 2017. This year, Flipkart hopes to double its revenue in 2019, one of the sources said.