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Demonetisation: Myntra not mulling big discounts to boost sales

Demonetisation move had dipped the business of the e-commerce firms in the last 3 weeks

Press Trust of India  |  Bengaluru 

Too early for app-only play, Myntra finds out

E-commerce firm has no plans to significantly increase discounting over the coming weeks to drive sales after the recent move hit online retail, its CEO said on Thursday.

"Post-demonetisation, our growth rate has come down which I believe will last two months but it will come back. So we have not decided to increase discounting, but use the opportunity to innovate on digital payments ," he told reporters here.

The move had dipped the business of the e-commerce firms in the last three weeks, to overcome which some were reportedly planning to significantly increase discounting over the coming weeks to drive sales.

Narayanan said opting for increase in discounting would hurt margins further, especially after the October sale, when sacrificed margins for market share. "The move to hand out heftier discounts might boost sales in near term, but will hurt margins further... Hence, we will be not increasing discounting," headed.

Replying to a query, Narayanan dismissed speculations that Jabong would be shut down by in mid-2017.

"We would be fools to shut down Jabong. It is only speculation amid stories such as these are appearing in media," he said.

"It will be an independent company. It will be different company that will actually stand for something."

Jabong brand has a distinct position from as it is seen as a younger brand, which is an asset "which only fools would let it go," SVP and Head Strategy and Planning Ananya Tripathi said.

"Moreover, why will someone want to shut down Jabong as it brings loyal customers from northern parts of India even as brings customers from southern parts of the country," she said.

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Demonetisation: Myntra not mulling big discounts to boost sales

Demonetisation move had dipped the business of the e-commerce firms in the last 3 weeks

Demonetisation move had dipped the business of the e-commerce firms in the last 3 weeks
E-commerce firm has no plans to significantly increase discounting over the coming weeks to drive sales after the recent move hit online retail, its CEO said on Thursday.

"Post-demonetisation, our growth rate has come down which I believe will last two months but it will come back. So we have not decided to increase discounting, but use the opportunity to innovate on digital payments ," he told reporters here.

The move had dipped the business of the e-commerce firms in the last three weeks, to overcome which some were reportedly planning to significantly increase discounting over the coming weeks to drive sales.

Narayanan said opting for increase in discounting would hurt margins further, especially after the October sale, when sacrificed margins for market share. "The move to hand out heftier discounts might boost sales in near term, but will hurt margins further... Hence, we will be not increasing discounting," headed.

Replying to a query, Narayanan dismissed speculations that Jabong would be shut down by in mid-2017.

"We would be fools to shut down Jabong. It is only speculation amid stories such as these are appearing in media," he said.

"It will be an independent company. It will be different company that will actually stand for something."

Jabong brand has a distinct position from as it is seen as a younger brand, which is an asset "which only fools would let it go," SVP and Head Strategy and Planning Ananya Tripathi said.

"Moreover, why will someone want to shut down Jabong as it brings loyal customers from northern parts of India even as brings customers from southern parts of the country," she said.
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Business Standard
177 22

Demonetisation: Myntra not mulling big discounts to boost sales

Demonetisation move had dipped the business of the e-commerce firms in the last 3 weeks

E-commerce firm has no plans to significantly increase discounting over the coming weeks to drive sales after the recent move hit online retail, its CEO said on Thursday.

"Post-demonetisation, our growth rate has come down which I believe will last two months but it will come back. So we have not decided to increase discounting, but use the opportunity to innovate on digital payments ," he told reporters here.

The move had dipped the business of the e-commerce firms in the last three weeks, to overcome which some were reportedly planning to significantly increase discounting over the coming weeks to drive sales.

Narayanan said opting for increase in discounting would hurt margins further, especially after the October sale, when sacrificed margins for market share. "The move to hand out heftier discounts might boost sales in near term, but will hurt margins further... Hence, we will be not increasing discounting," headed.

Replying to a query, Narayanan dismissed speculations that Jabong would be shut down by in mid-2017.

"We would be fools to shut down Jabong. It is only speculation amid stories such as these are appearing in media," he said.

"It will be an independent company. It will be different company that will actually stand for something."

Jabong brand has a distinct position from as it is seen as a younger brand, which is an asset "which only fools would let it go," SVP and Head Strategy and Planning Ananya Tripathi said.

"Moreover, why will someone want to shut down Jabong as it brings loyal customers from northern parts of India even as brings customers from southern parts of the country," she said.

image
Business Standard
177 22