On Tuesday, Flipkart-owned Myntra acquired the fashion and lifestyle e-commerce website Jabong, the second largest online fashion retailer. This means that now Flipkart will enjoy 15 million active users from Myntra and Jabong put together. However, a lost opportunity for Amazon and Paytm will now put these companies on the backburner, as far as fashion is concerned.
What it means for you and I?
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For us it means more than 3000 brands and 1,50,000 styles from more than 1000 sellers. So, just before the festivals, we get more discounts and deals. Also, to a certain extent the competitive edge is lost. So, if you were among those shoppers, who used to compare the prices between these two sites before purchasing an item, then those days are gone my friend.
So, where is Snapdeal in all of this?
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Even though Flipkart has emerged as the big daddy in this deal, we can’t forget how Snapdeal and Paytm along with Amazon offered the best discounts last season. So, are they left high and dry this time? Perhaps not. With Amazon Prime being launched just a day ago, we can actually expect lot of offers coming our way.
Simply put: Befriend the enemy
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“This is a typical example of a company acquiring another for synergies in areas like access to a large customer base, increased territorial reach, a new set of products/brands, new logistics networks and a great team”, said Sandeep Ladda, E-commerce Sector Practice Head at PwC India.
In lay man words, when competition tries to kill you, kill the competition. Let’s wait and see how this acquisition gives the customer a better fashion experience. At the end of it all, the customer has to benefit.
Author: Rima Chowdhury
