ShopClues, reported more than three-fold jump in its net losses to Rs 383 crore for the year ended March 31, 2016. (Website)
E-commerce player ShopClues on Thursday launched its exclusive label brand called Meia in fashion and lifestyle category. Under the newly launched brand, ShopClues is selling kurtis, jewellery, clutches, and watches. Targetted at working women residing in tier 2 and 3 markets, products sold under Meia are priced anywhere between Rs 199-999.
“We generate close to 60% of our revenue from fashion and lifestyle category which includes apparel, footwear and other fashion accessories. As far as fashion is concerned compared to last year, we have seen close 360% growth in revenue,” said Radhika Aggarwal, co-founder and CBO ShopClues.
According Aggarwal on a monthly basis the e-tailer ships about 30 lakh goods. Of this about 50% goods shipped are fashion and lifestyle products, with an average selling price of Rs 600.
ShopClues, reported more than three-fold jump in its net losses to Rs 383 crore for the year ended March 31, 2016, according to filings with the Registrar of Companies (RoC). Total revenue during the period jumped almost two times to Rs 178 crore.
Currently, the e-commerce firm has tied-up with 10 merchants, with whom the company has inked a revenue share deal. Aggarwal however, did not disclose the details of the deal but added that private label allows the company to earn a high margin of as much as 50%. The e-tailer currently has 200-250 stock keeping units (SKU) on its platform.
This is the second private label launched by ShopClues. In July this year, the e-commerce firm launched home and décor brand, Home Berry. Despite entering the private label market late compared to the large players such as Flipkart and Amazon, ShopClues plans to enter a few more categories.
“We plan to launch men’s footwear range in the first week of November, besides a new range of electronics and mobile accessories such as a phone covers, chargers, etc. Products launched under electronics will be first rolled out in select markets in the next two-three months, followed by an official launch after about eight months.
ShopClues which launched its Diwali sale from September 21 -28, will also be rolling out another sale next month called Diwali flea market. “Last festive season we posted 2.5 times growth in number of orders placed on the site. We expect a similar growth even this festive season,” added Aggarwal.
