Smaller cities drive Flipkart's festive surge as e-commerce spreads wider

Flipkart's festive-season growth is being powered by sellers from smaller cities such as Surat, Meerut, and Lucknow, marking the deepening reach of India's digital commerce ecosystem.

Flipkart
Flipkart (Photo: Reuters)
Peerzada Abrar Bengaluru
4 min read Last Updated : Nov 04 2025 | 6:12 PM IST
Flipkart is seeing increased activity from regional trade centres such as Surat, Bhiwandi, Jaipur, and Karnal, reflecting the growing role of smaller cities in India’s e-commerce economy. The company said the inflow of new product listings from these areas rose about 1.4 times during the recent festive season compared with earlier periods.
 
How are smaller cities driving Flipkart’s festive growth?
 
Cities including Bhubaneswar, Bhiwandi, and Durgapur recorded the fastest growth among tier-2 markets, highlighting how digital commerce is expanding beyond India’s major urban centres.
 
This surge reflects how entrepreneurs from Bharat are scaling technology-led businesses and driving sustainable growth through online commerce. Meerut and Lucknow are emerging as the next wave of trade centres, mirroring the success of earlier hubs like Kannauj and Shantipur, with sellers seeing consistent growth in both transactions and overall sales.
 
What categories saw the biggest festive-season spike?
 
Amid the festive shopping wave, Flipkart witnessed spikes in certain categories, including automobiles, televisions, sports shoes, and makeup and fragrances.
 
“India’s new trade centres, whether it’s Surat, Meerut, or Lucknow, are fast becoming engines of e-commerce growth,” said Sakait Chaudhary, senior vice-president and head of marketplace, Flipkart. “These regions exemplify how access to digital tools, data insights, and transparent processes can empower local entrepreneurs to scale rapidly.”
 
How is Flipkart supporting sellers through technology?
 
The company’s Seller Dashboard delivers real-time business insights, while its AI-driven NXT Insights platform offers data-based guidance on pricing and demand. These tools are designed to help sellers make smarter, more informed decisions.
 
Flipkart said it is reinforcing its commitment to democratising e-commerce through continued investments in technology. The firm has also simplified GST compliance for its seller community through automatic dashboard updates, proactive communication on revised slabs, and dedicated training sessions. These efforts have already enabled sellers to pass on over Rs 200 crore in GST benefits to customers.
 
How are Amazon and Meesho performing in smaller markets?
 
Flipkart’s competitor, Amazon India, recorded 2.76 billion (276 crore) customer visits during its month-long Great Indian Festival sale, with more than 70 per cent originating from tier-2 and tier-3 cities, underlining e-commerce penetration beyond major metros. Sellers from these markets accounted for more than two-thirds of participating small businesses.
 
Saurabh Srivastava, vice-president, Amazon India, said sellers and brand partners saw multi-fold growth across categories such as smartphones, appliances, consumer electronics, home and kitchen, beauty, and fashion.
 
This year saw the highest-ever number of sellers across the country registering sales, spanning regions such as Kangra, Haridwar, Muzaffarpur, Jamnagar, Darjeeling, Shimoga, and Salem. The company facilitated over Rs 1,000 crore in customer savings through bank offers, GST benefits, and cashback rewards, while same-day deliveries to Prime members increased 60 per cent year-on-year (Y-o-Y).
 
What role did Meesho play in the festive e-commerce wave?
 
E-commerce firm Meesho recorded 2.06 billion customer visits during its Mega Blockbuster Sale, which concluded in September, with shoppers spending more than 117 million hours on the platform.
 
The company said the sale reflected the evolving journey of Bharat’s shoppers — from families in Tumkur adding kidswear to their carts, to first-time users in Bavla discovering products through image search, and businesses from Delhi to Visakhapatnam launching millions of new products ahead of Diwali.
 
Overall seller participation grew 57 per cent Y-o-Y, with traction from metros such as Delhi, Mumbai, and Bengaluru, as well as from Warangal, Chhapra, and Cuddapah. Meesho also saw more than 2 crore app downloads during the event, with nearly 45 per cent of its customers coming from tier-4 and smaller towns.
 

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Topics :FlipkartMeeshoE-commerce firmsfestive season sale

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