“very heavily” invest in the Indian market by Amazon

Amazon Senior Vice President and CFO Brian T Olsavsky said the US-based company has seen sales quadruple during the festive season (pre-Diwali sales) compared to past year.

Amazon.com, Inc. (NASDAQ:AMZN) is eyeing Indian markets as it plans to continue investing “very heavily” in the country that possesses the world’s second largest population. On the customer side, active customer accounts are up 230 per cent year-over-year.

Amazon said it is adding products at a rate of 40,000 per day in 2015. According to the latest report by First Post, a top executive at the e-commerce giant says that that the company is highly motivated by the growing sales and demand in India, as it sets eyes to capture the e-retailing markets of the country.

“About 90 per cent of those sellers are using our logistics and warehouse services”.

India continues to remain one of the most important and lucrative overseas markets for Amazon and it recently said that Indian market can soon overtake Japan, Germany and the United Kingdom to become its largest overseas market, in addition to becoming the quickest to reach $10 billion in gross merchandise value (GMV) in the company’s history. And in outcome, we have tripled our fulfilment capability yr-over-yr.

“So, we are very inspired, as I stated final quarter in India, and proceed to take a position there very heavily”, Olsavsky stated.

Nevertheless, he declined to disclose specific investment facts.

Recognising the potential, Amazon founder Jeff Bezos had pledged to invest $2 billion in Amazon India and a month ago, the company made its biggest capital investment since its entry in India in 2013, investing around Rs 1237 crores into Amazon Seller Services.

Based on a BCG statement, the ecommerce business in India is anticipated to touch Dollars 60-70 million from USD by 2019 17 billion in 2014.

Adding more on to this, it is worth noting that Amazon is looking forward into setting up warehouses across the country which helps in speeding up the delivery process.

“India is a special market and doesn’t have a variety of the identical prepared fulfilment choices that another nations did”. We like what we see in India.