Latest news with #Meesho
Fashion Network
2 days ago
- Business
- Fashion Network
NCLT approves Meesho's relocation to India, business to pay around $288 million in tax
The National Company Law Tribunal has approved e-commerce platform Meesho's re-domiciling from the US to India and Meesho is expected to pay around $288 million in taxes as part of the move. "This filing is part of our ongoing transition to re-domicile in India," a spokesperson for Meesho told TNN. "With the majority of our operations, including customers, sellers, creators, and Valmo partners already based here, this step aligns our corporate structure with our day to day business footprint." Meesho's proposal to the NCLT outlined its plan to separate from its US based holding company and combine with its Indian business, ET Retail reported. This would serve to complete its reverse flipping process. Specialising in value fashion and lifestyle goods, Meesho began as a social commerce platform and has expanded across India and into more general e-commerce. The business is working on its draft initial public offering papers and joins a range of Indian-operating online businesses on the road to an IPO including eyewear business Lenskart and quick commerce business Zepto.
Mint
3 days ago
- Business
- Mint
Flipkart Group-owned Myntra revises commission structure to drive low-ticket sales
Apparel marketplace Myntra has rolled out a revised seller fee structure, charging commissions as low as 0-1% for products priced under ₹500 in select categories like westernwear, sports apparel, and intimate garments, marking a significant departure from its earlier flat 15-16% commission, according to two sellers with direct knowledge of the development. The new structure appears aimed at boosting order volumes and sales frequency—especially in lower-price segments—and positions the Walmart-backed online retailer to better compete with online rivals like Meesho and Amazon, which dominate in value-driven categories. The revised rates went into effect last week. 'The new structure will encourage sellers to reduce the selling price of their products on the platform, thereby driving up sales. Ultimately, Myntra wants to be known for its various price points, especially for apparel," said one of the sellers quoted above. Moreover, it will drive new sellers to the platform, helping widen product offerings to customers. Also read:India's next 10-minute delivery? Domestic workers on demand To be sure, this isn't a one-size-fits-all approach. The revised rates are seller- and category-specific, meaning that commission rates can vary based on seller tenure, performance, and the product category. For example, long-standing sellers might operate under different slabs compared to newly onboarded merchants. This development comes just months after Myntra reported profitability in FY24, making a sharp turnaround from a ₹782 crore loss in the previous year. The move suggests a broader attempt to scale marketplace revenues by tapping into price-sensitive, high-volume consumer segments, particularly in Tier 2 and Tier 3 markets. Myntra's month-long 'End of Reason Sale', which ended 12 June, saw 60% of all orders come from Tier 2 towns like Jalandhar, Guwahati, Bhubaneshwar and Mysuru. Myntra did not immediately respond to emailed queries byMint. Consumers cut purchases The fashion and apparel industry has been witnessing a slowdown over the past few quarters, with consumers making fewer discretionary purchases due to slower income growth. According to the Retailers Association of India, the Indian retail sector saw nominal sales growth of 5% in December 2024—an important festival month—compared to the year-ago period. 'It could definitely be a clear move to compete with players like Meesho and a bunch of new-age quick fashion commerce players. It's a different category altogether—low-cost fashion typically targets Gen Z, who are the spenders of tomorrow," said Madhav Kasturia, founder and chief executive of Zippee, a quick-commerce logistics platform. Also read: Myntra steps out of India to sell clothes in Singapore Kasturia said that seller acquisition isn't the issue here—it's about tapping early customers and building future loyalty. 'This play could strengthen Myntra's presence in Tier 2/3 markets, where emerging consumer bases are becoming increasingly important," Kasturia added. Analysts say that Myntra will still go after premium and mass-premium users. This doesn't necessarily mean a shift in positioning. There's still enough market share out there—no real pressure yet to rethink fixed fees, even with quick and social commerce scaling up, Kasturia added. Price play 'At face value, the move resembles a direct response to Meesho, whose growth has been underpinned by a zero-commission, low-AOV (Average Order Value) model targeting Tier 2/3 regions. But instead of directly matching Meesho's model, Myntra is providing an alternative—it filters the approach through the lens of category specificity, price segmentation, and marketplace control. It's about occupying the same price territory without sacrificing platform architecture or consumer trust," said Nilaya Varma, co-founder at Primus Partners India. Varma added that introducing price play where it matters while retaining strength in discovery, brand loyalty, and post-sale service seems to be a parallel smart move. 'There must be, undeniably, a potential 'tension' between Myntra's traditional brand positioning—urban, aspirational, style-focused—and this aggressive push into low-ticket commerce. But rather than a departure, this could be seen as a deliberate strategy to layer the platform. Think of it as a pyramid: high-frequency, low-margin products draw mass traffic at the base, while curated labels, premium brands, and 'higher categories' anchor the top," Varma said. Analysts say this kind of tiered strategy isn't new. Amazon and Flipkart have long balanced volume and value, offering affordable entry points while simultaneously cultivating premium verticals like Amazon Luxe and Flipkart's private labels. Myntra appears to be adopting a similar approach: drawing in price-sensitive shoppers and high-volume sellers at the base, then using data-driven insights and personalized recommendations to elevate them toward higher-end offerings. This model safeguards the premium segment rather than diluting it through thoughtful segmentation, not exclusion. Expanding into lower-ticket categories is a natural evolution, especially in a post-pandemic landscape where cost-conscious consumption has grown even among upwardly mobile consumers. New mantra 'E-commerce works best when small profits are made on a large number of transactions. With this move, Myntra is clearly betting that lowering commission rates will attract many more sellers, increase the number of products listed, and drive up order volumes. The idea is that even if the profit per item is low, the total gains will grow because of the higher activity on the platform. Myntra's recent return to profitability in FY24— ₹30.9 crore after a steep loss of ₹782 crore the year before—already shows that this kind of scale-driven strategy may be starting to pay off," said Varma. However, analysts believe that the 0-1% commission rate is unlikely to be a long-term universal model. Also read:Myntra to bring Abercrombie & Fitch, Hollister stores to India in a franchise deal Instead, it functions as a market-stimulation lever—intended to bring in price-competitive sellers who might otherwise flock to Meesho or Shopee-like platforms. "It's a move to balance the supply equation, especially in high-friction categories like accessories, fast fashion, or basic apparel—where commissions eat into seller margin and discourage onboarding," added Varma. Moreover, there is growing pressure on platforms like Myntra from the rapid rise of quick-commerce and social-commerce models, which have redefined consumer expectations around speed, price, and accessibility. 'However, Myntra's response has been measured and strategic, not reactionary," said Varma, adding that, unlike grocery or impulse categories, fashion requires a blend of speed and brand experience. Myntra has already begun piloting express delivery services like 'MNow" with 30-minute or 4-hour timelines in select cities. To optimize fulfilment, Myntra is leveraging its network of brand partners and dark stores. To optimize fulfilment, Myntra is leveraging its network of brand partners and dark stores.
Fashion Network
4 days ago
- Business
- Fashion Network
ClickPost debuts new AI tool to address failed e-commerce deliveries
ClickPost has launched its new AI-powered NDR Management Suite, a tool designed to help e-commerce brands address failed deliveries in real time and convert them into revenue-saving opportunities. The suite integrates automation, customer communication, and courier coordination to reduce return-to-origin (RTO) rates and improve delivery outcomes. The platform includes three key components: NDR Journey Builder 2.0, Parth AI Voice Agent, and AI-Powered NDR Analytics, the business announced in a press release. The NDR Journey Builder 2.0 enables brands to create workflows using channels like WhatsApp, SMS, IVR, email, and AI-powered voice calls. Parth AI Voice Agent is a multilingual assistant that resolves delivery issues in under two minutes through automated voice interactions. The analytics dashboard provides insights into failed deliveries, enabling brands to address issues more quickly. According to ClickPost, the suite can reduce RTO by up to 40% and lower manual support workloads by 75%. Brands can go live with the tool in under 24 hours, improving customer satisfaction while minimising operational strain. ClickPost currently supports over 450 brands, including Meesho, Nykaa, Snitch, and Adidas. 'Failed deliveries are a significant cost to brands, affecting both customer satisfaction and revenue,' said Naman Vijay, co-founder and CEO of ClickPost in a press release. 'With our NDR Management Suite, brands can quickly address delivery issues with AI-powered automation.'
Time of India
4 days ago
- Business
- Time of India
Meesho to pay $288 million tax to come back
Representative image MUMBAI: Meesho has secured the NCLT nod to move its domicile back to India from the US. The tribunal has approved the e-commerce firm's proposal to demerge its Indian operations from its US parent entity. This essentially allows Meesho to separate from its US holding company and merge with its Indian entity, completing the reverse flipping process. Meesho is expected to pay about $288 million in taxes to flip back to India, sources said. The company did not comment on the tax payments but confirmed the NCLT's approval. "This (NCLT) filing is a part of our ongoing transition to re-domicile in India. With the majority of our operations, including customers, sellers, creators and Valmo partners already based here, this step aligns our corporate structure with our day-to-day business footprint," a Meesho spokesperson said. Meesho joins a clutch of startups like Zepto, Razorpay and Groww, which have redomiciled to India to align better with local norms and tap into India's public markets by way of IPO. Meesho is firming up its draft IPO papers, sources said. A batch of Indian startups, including PhonePe, Pine Labs, Lenskart and Zepto are preparing to get listed Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
4 days ago
- Business
- Time of India
Stage set for micro-dramas; WhatsApp's monetisation bid
Stage set for micro-dramas; WhatsApp's monetisation bid Also in the letter: India's big bet on micro drama: Startups, investors eye a new content race Notable actors: Investor interest: Flick TV raised $2.3 million in seed funding in June. ReelSaga secured $2.1 million in May. Chai Shots is looking to raise $5 million in fresh capital. ZEE signed a strategic equity partnership with content startup, Bullet. Monetisation hurdles: Zooming out: Earlier this year, The Economist noted that the value of China's micro-drama market had jumped 10x between 2021 and 2023. Its current estimated worth of $5.3 billion is projected to reach $14 billion by 2027. Cumulatively, Chinese micro-drama apps have garnered nearly 55 million downloads and $170 million in revenue overseas, according to iiMedia Research, as reported by The Economist. WhatsApp ads will not impact privacy: Will Cathcart Driving the news: No risks to privacy: But how? Sponsor ETtech Top 5 & Morning Dispatch! Why it matters: The opportunity: Reach a highly engaged audience of decision-makers. Boost your brand's visibility among the tech-savvy community. Custom sponsorship options to align with your brand's goals. What's next: How the ban on Karnataka's bike taxis affects gig workers, commuters: ETtech explains What happened to the apps? Who's hit? Companies continue to lobby: Also Read: ET Explainer: Behind crackdown on unauthorised use of government databases for user onboarding Scrambling to comply: What's on offer: Also Read: The need: Problem? Other Top Stories By Our Reporters Meesho secures NCLT approval for reverse flip to India: Meta appoints Arun Srinivas as its India head: ShareChat CBO Gaurav Jain steps down amid leadership shakeups: Global Picks We Are Reading Investors are flocking to micro-drama startups as the next big thing in India's content and entertainment industry. This and more in today's ETtech Morning Dispatch.■ K'taka bike taxi ban■ ID verification crackdown■ Meta's new India head Investors are getting hooked on short, binge-worthy micro dramas as the next big wave in India's entertainment space. Unlike user-generated content on Instagram Reels and YouTube Shorts, micro-dramas are professionally produced, with higher production quality and serialised storytelling designed for mobile-first startups such as Flick TV, Eloelo, Kuku FM, Chai Shots, and ReelSaga, larger digital platforms like Amazon, ShareChat, and Zee Entertainment Enterprises (ZEE) are also stepping into the micro-drama market to meet growing capital firms are actively backing local content platforms, hoping to replicate the playbook of their Chinese big challenge now is figuring out how to monetise the format. In a price-sensitive market like India, where the average revenue per user (ARPU) remains low, this is no small platforms are testing a pay-per-episode model with micropayments, while others plan to introduce monthly and quarterly subscription tiers. A few are also exploring hybrid strategies that combine subscriptions with ad-supported have had a breakout moment in China over the past few monetisation efforts will not contravene user privacy, Will Cathcart, head of WhatsApp at Meta, told us in an exclusive interview . Monetisation efforts by the platform have created value for both users and businesses, without compromising the app's core promise of privacy, security, and an ad-free chat experience, he Monday, WhatsApp introduced ads in Status updates and launched subscriptions on Channels. The company clarified that these ads will not appear in private chats or calls.'Nothing has changed about the privacy of people's messages, their calls, their statuses,' Cathcart emphasised, adding that these features remain end-to-end to Cathcart, one of the key challenges is that encryption limits the amount of data available for ad targeting. This, he added, was a deliberate trade-off to preserve user privacy. However, the platform will do its 'best to make the ads relevant', he ads in the Updates tab will reflect how users interact with the space, based on factors such as their country, city, language, and Channel activity, among other things, Cathcart the edited interview here ETtech Top 5 and Morning Dispatch are must-reads for India's tech and business leaders, including startup founders, investors, policy makers, industry insiders and Reach out to us at spotlightpartner@ to explore sponsorship Monday morning, many Bengaluru commuters found themselves in a fix. With the Karnataka government's bike taxi ban taking effect , they were left scrambling for alternative transport. But beyond the inconvenience to riders, the move threatens the livelihoods of thousands of gig workers who relied on the Uber renamed its bike taxi option to 'moto courier' while Rapido called it 'bike parcel'. Ola, meanwhile, removed the feature users speculated that the aggregators were trying to sidestep the regulations, both Uber and Rapido pulled the options from their apps commuters expressed frustration over the ban, especially those who depended on bike taxis for their speed and 50,000 and 60,000 gig workers are likely to be impacted across Karnataka, according to Shaik Salauddin, founder president of the Telangana Gig and Platform Workers separate statements, ride-hailing firms Rapido and Uber stated they are engaging with the state's transport department in search of a resolution. Both expressed hope that the discussions would lead to a positive outcome. Ola has not commented on the Ministry of Electronics and Information Technology (MeitY) has directed several technology-led startups to cease their offline Aadhaar-based know-your-customer (KYC) services . According to two individuals familiar with the situation, these companies have been accessing Aadhar data through unauthorised the government tightens scrutiny of data platforms, industry players are now pushing for clearly regulated avenues to carry out Aadhaar customer onboarding increasingly shifting online, financial services companies and consumer technology firms need to verify users efficiently. This has opened up space for ID verification startups, which help validate documents and cross-check them against official government rely on these services mainly to prevent fraud in sectors such as digital lending, insurance, payments, and merchant onboarding. Verifying identities on the go makes it easier to onboard users and reduce government is now assessing whether these verification services are being offered through legitimate channels and legal means. Industry sources told us that while most large startups follow the rules, several smaller players have allegedly gained unauthorised access to some sensitive government Aatrey, CEO, MeeshoThe Bengaluru bench of the National Company Law Tribunal (NCLT) has approved Meesho's proposal to demerge its Indian entities from its US-based parent, marking a significant milestone in the company's plan to relocate its domicile to Platforms has named Arun Srinivas as its new managing director and head for India, the company announced on who heads ShareChat's monetisation efforts across functions, shared plans to leave amid a string of high-profile exits at the vernacular social media platform.■ AI alone cannot solve the productivity puzzle ( FT ■ OpenAI and Microsoft tensions are reaching a boiling point ( WSJ ■ Would you switch browsers for a chatbot? ( The Verge
