innovation in Activewear propelling its steady growth

RETAIL RIGHT / NATIONAL
ONDC MAY ACT AS A BOOSTER
SHOT FOR THE BUYERS AND SELLERS
- REIMAGINING THE FUTURE OF
DIGITAL COMMERCE
According to reports, through the
investment of just US $ 24 billion,
Amazon and Flipkart have reportedly
captured 80 per cent of India’s retail
market with aggressive discounts and
special offers for preferred sellers alone,
impelling the MSMEs and new retailers
into a vulnerable position.
New apparel retailers in India are often
faced with the challenges of accessing
the benefits of digital commerce
because of the monopoly of existing
big retailers. Whether it is to capitalise
on larger markets; engage customers in
superficially rich e-commerce experiences
that transcend borders; or find new
ways to deliver compelling shopping
experiences, new retailers are at a
ONDC, the governmentbacked
open network
e-commerce platform,
will cost small retailers
a quarter of what they
pay to e-commerce
platforms like Amazon
and Flipkart to access
their technologies and
processes. More than 20
government and private
organisations have
confirmed Rs. 255 crore
investment.
disadvantage of being shackled to old
processes and digital infrastructure.
For instance, a typical small retailer with
an 800 sq.ft. store used to sell T-shirts
and shorts and produced earnings close
to an average of Rs. 4,000 daily but the
scenario changed when people started
ordering online and the retailer’s income
slashed drastically. Such incidents are
not only limited to one store; there
are millions of stores facing the same
problem. As per Statista, unorganised
retail stands at 88 per cent (2019), and
the explosion of e-commerce have been
the toughest for small mom-and-pop
stores or small retailers.
To overcome these concerns, an initial
idea by Piyush Goyal and led by 9
members of the advisory board, a new
14 AO India | November 2022