/dqweek/media/agency_attachments/JNb31gQnqJvAm0jqPxaV.png)
Follow Us
retailing is booming with aggressive marketing strategies, and major
companies like Flipkart, Snapdeal, Best Buy, etc, are currently
aiming high in different range of products. IT products have also
gained huge demands, but does it impact IT resellers' business, who
run retail stores?
DQ Week spoke to some retailers and found mixed responses. Bengaluru
based Sathya Prasad, owner, Vanpac Systems said, “The resellers are
getting affected as the prices are cheap, but being a distributor my
business is not getting affected. I supply Logitech products to
Flipkart and it's not getting affected as such.” According to the
data available, Flipkart aims for a revenue in between `500-600
crore, and the company generated the revenue of Rs 50 crore in FY11.
One can gauge the extent of growth of e-commerce companies from these
fi gures.
based Manoj Gupta, owner, Challenger Computers said, “Currently,
these companies are posing minor threats to resellers, though being a
distributor I am not exposed to such threats, as I too distribute
such products. But in near future, as the e- commerce industry is
growing, resellers might be in trouble and therefore, as a
distributor I am liable to safeguard the interests of my channel
partners. We will not let companies like Flipkart eat our partners'
business. We are in regular talks with principal companies to keep
the prices same throughout.”
further added, “Recently, an e-commerce company quoted Canon's
product price less than the market price, and therefore, our
principal companies took action and stopped all distributors to
supply products to them.” There's another perspective to it that
these e-commerce companies cannot provide bulk orders and that's a
good sign for resellers. Mumbai based, Saifee Merchant, CEO, Best
International said, “I don'tagree that e-commerce industries are
eating up the business,as they cannot supply bulk corporate orders.
Though on the consumer front, there might be a little deviation
towards these companies. But again in a country like ours, consumers
have not gained enough confi dence and they still go for retailers.
In next 5 years, e- ommerce industry will not make a huge difference
to resellers.”