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The move from Amazon is to overtake local rival Flipkart
It will continue to invest in India in expanding infrastructure and bringing in solutions that enhance consumer and seller experience as the US-based e-commerce major looks to overtake local rival, Flipkart.
Amazon, which has completed four years of operations in India, has committed investments to the tune of USD 5 billion in the country.
“Last year, half the capital deployed was in infrastructure. This year too, we will continue to invest in infrastructure, innovation and technology,” Amazon Senior Vice President and Country Manager (India) Amit Agarwal told PTI.
He, however, declined to share financial details.
“Our new customer acquisition has also grown by 60 per cent year-on-year in 2016, driven by growth from tier II and III cities,” he said.
Amazon has been aggressively investing in setting up fulfilment centres across the country to ensure speedy delivery to consumers. It has 41 such warehouses across 13 states.
Its seller base has also increased from 100 in 2013 to 2 lakh currently.
With Tiger Global-backed Flipkart’s fund raise of USD 1.4 billion earlier this year, the competition is set to intensify further in the coming days. Both companies are expected to pump in money to strengthen operations and woo customers with offers.
Amazon founder Jeff Bezos has already highlighted the importance of the Indian market to It’s operations.