Flipkart launches its private label business under ‘SmartBuy’
Online marketplace Flipkart has launched its first private label business, called as Flipkart SmartBuy. The store will currently retail electronics and electronic accessories.
Besides SmartBuy, Flipkart will also launch a second brand (private label) by March-April 2017, that will retail in a different set of categories in home decor and furnishings, home appliances and furniture.
Currently, the Flipkart SmartBuy store offers only wall chargers, micro USB chargers and data cables. These accessories are priced at a cheaper rates than its rival Amazon. The SmartBuy page on Flipkart also says it will soon launch other popular electronic accessories like earphones, headphones, Bluetooth Speakers and power banks.
Flipkart SmartBuy will further expand into 25-30 categories including more personal grooming accessories and home plastic products. The products will be sourced from third party manufacturers in India, China and Malaysia.
We are looking to address gaps in these categories. In areas where there aren’t many established brands, we expect our private labels to account for 70% of the sales in those spaces. And where big brands dominate, we hope to gain at least a 15% share with our private label.
– Adarsh Menon, Head, Private brands, Flipkart.
Flipkart’s entry into private labels comes at a time when arch-rival Amazon is also making strides with private labels. Amazon’s private label efforts have so far mostly been concentrated in the fashion category.
Featured Image Credit: fonearena
