Online private labels may grow 1.6 times faster than e-commerce platforms

A just-released report by KPMG and the Retailers Association of India says that online private labels are likely to grow 1.6 times faster than e-commerce platforms and will generate two times higher margins than external brands within four years. The report also says that online private labels have the potential to develop into self-sustaining brands that have a captive base beyond the e-commerce platform that has nurtured it. The report adds that private labels foster customer retention leading to repeat purchases and better valuation for the platform.