Alibaba eyes omni-channel retail in India, in talks with Reliance, Tata, Future Retail

Alibaba eyes omni-channel retail in Indi...

Walmart’s acquisition of Flipkart has spurred Chinese giant Alibaba into some increased activity of its own in expanding its business interests in India. It had done one round of exploration earlier and is learnt to have re-entered the talks and discussions on creating an omni-channel retailing venture in India possibly jointly with one of the large players already established here.

There only three that count, the Reliance Group with its multiple-segment retail networks in the offline space; the Future Group, again present in more than one product segment and the Tatas whose offline presence is equally diverse from watches to fashion. Alibaba can choose a multi-channel approach as well. It is still a long way to go before any firm decision could be arrived at with any of these groups having their own priorities and business objectives.

The interesting factor to be highlighted here is that Alibaba has a substantial stake in Paytm Mall, which is also in the online retail space. It is learnt that Paytm is being pressured by Alibaba to explore ways to switch to the O2O model to boost its operations and revenues. To place the performance of Paytm Mall in perspective, against the volume of about 4 lakh daily shipments or orders being handled by the 2 majors, Amazon and Flipkart each, Paytm Mall is able to do only 1 lakh shipments in a day.

The reports also indicate that if the proposed arrangement in any form with the three large groups mentioned above does not materialize, Alibaba has already lined up a Plan B. Besides, there is also the proposed takeover of the More Supermarket chain owned by the Adithya Birla Group. Godman Sachs and Samira Capital could be the partners in that deal as and when it does happen.

Alibaba has a highly successful business going with $40 billion in revenues and $10 billion as profits. It has been very keen on the Indian market has made huge investments in the country. As mentioned, Paytm is one big startup in its portfolio. The other big names are Zomato, BigBasket, TicketNew and so on.


PostedOn: 20 Aug 2018 Total Views: 431




'C/o Kancherapalam' wouldn't have worked...

'C/o Kancherapalam' wouldn't have worked with star...

Director Venkatesh Maha speaks to TNM about the Telugu film that's taking audiences across states by storm.86 debut actors. A sleepy village. And four love stories. The heart-warming tale of C/O Kancherapalam is director Venkatesh Maha’s first in creating a one of its kind Indie movie for the ...

12 Sep 2018

Vodafone-Idea merger completed, creates ...

Vodafone-Idea merger completed, creates India’s bi...

Creating the largest telecom company in India, Idea Cellular and Vodafone have merged their operations and have officially become operational as a single entity under the name ‘Vodafone Idea Limited’. After National Company Law Tribunal (NCLT) cleared the mergeron Friday, Vodafone Idea t...

31 Aug 2018

Samsung tops India premium smartphone ma...

Samsung tops India premium smartphone market in 20...

South Korean giant Samsung dominated the premium smartphone segment in India in the first half of 2018 grabbing almost half the market share, a new report said on Friday. According to CyberMedia Research (CMR) India's "Mobile Handset Review", Samsung with 48 per cent topped the premium market (Rs 30...

17 Aug 2018

Paytm acquires savings management Startu...

Paytm acquires savings management Startup ‘Balance...

In what can be described as shoring up its financial services business, One97 Communications Ltd., the parent company that owns digital payments major Paytm, has absorbed into its fold, a fintech startup, Balance.Tech. Balance has been operating an app that helps people with managing their savings. ...

10 Aug 2018

Jet Airways Warns Staff That Airline May...

Jet Airways Warns Staff That Airline May be Ground...

Battling financial woes, Jet Airways Ltd has warned its pilots that the airline may be grounded in 60 days unless cost-cutting measures including 25 per cent pay cuts are carried out, Reuters reported. It must be noted that the proposal for pay cuts have been rejected by pilots. The pilots have been...

03 Aug 2018

Reserve Bank of India Increases Key Inte...

Reserve Bank of India Increases Key Interest Rates...

The Reserve Bank of India today hiked repo rate by 25 basis points to 6.50 per cent for thesecond time in a row,as it announced the monetary policy on Wednesday. Consequently, thereverse repo rate has been adjustedto 6.25 per cent. The central regulator, however, kept its stance unchanged to neutral...

01 Aug 2018

RBI Policy Rates to be Announced Today

RBI Policy Rates to be Announced Today

The Reserve Bank of India (RBI) will announce key policy rates todayafter the conclusion of the two-day meeting of Monetary Policy Committee (MPC). There are mixed expectations as few analysts suggest the regulator may probably increase the repo rate by 25 basis points to a two-year high of 6.5 perc...

01 Aug 2018