From Flipkart to Reliance, e-tailers eye $28 billion in grocery segment

Flipkart to allocate $400 million, Reliance taking 3 million merchants to the Cloud

Two years back, Amit Agarwal, senior vice-president and country manager of Amazon India, predicted grocery would be the biggest money churner for online marketplace players. Mocked then, his competitions are now trying hard to catch up with the e-grocery space.

Estimated to be a $28-billion segment within the $65-billion online marketplace space, players such as Amazon, its biggest rival Flipkart and soon-to-be-launched Reliance e-commerce are all pumping in their resources into this space.

Flipkart, soon to be backed by Walmart Inc.post-approval from Competition Commission of India (CCI), is planning to allocate close to $400 million just for the e-grocery segment.