Amazon is investing a whopping $2 billion into its Indian marketplace as competition between it and the dominant Flipkart online store continues to escalate.
The worldwide retail giant only open its stores in India just last year, but chief executive of Amazon Jeff Bezos said in a recent statement that Amazon India is on track to become the fastest country ever to hit $1 billion in sales…
The news comes following Flipkart's announcement that it had raised $1 billion in investment, with Amazon doubling this as it looks to penetrate a rapidly growing marketplace.
“At current scale and growth rates, India is on track to be our fastest country ever to a billion dollars in gross sales,” said Bezos.
"We see huge potential in the Indian economy and for the growth of e-commerce in India. After our first year in business, the response from customers and small and medium-sized businesses in India has far surpassed our expectations."
India as a market for internet shopping is growing at a remarkable pace, as Indian users are increasingly snapping up PC and gaming hardware. There are currently 243 million internet users in India, and the value of its online shopping has shot up 88% to $16 billion in just the last year.
Both Amazon India and Flipkart lay claim to being the largest e-commerce company, although two huge companies in such fierce competition can only mean good news for Indian PC gamers as gaming hardware becomes cheaper and more easily available.
Have any GD’ers given Amazon India or Flipkart a go? Is the massively increased market and competition led to greater availability and cheaper prices? Let us know what you think!