co-presented by
associated by
co-presented by
associated by
Amazon Seller Services, the India arm of the e-commerce major, said it has received Rs 830 crore (around $100 million) from its parent entity in the United States.
The company issued 830 million shares of Rs 10 each to two Amazon entities. While over 99.5 percent of the shares were allotted to Amazon Corporate Holdings Pvt Ltd, the parent company, a small portion was also issued to Amazon.com.inc Ltd, regulatory filings showed.
The fresh investment is in line with Amazon’s plans for India. Amazon CEO Andy Jassy said the Seattle-based tech titan would invest an additional $15 billion in India by 2030, taking its total investment commitments in the country to $26 billion. This includes $12.7 billion that Amazon Web Services (AWS) said it would invest in India by the end of the current decade.
The American firm's investment into its India unit comes weeks after Walmart, the US-based retailer, infused $600 million into Flipkart, the homegrown e-commerce rival as both companies look to tap into the increasing India potential.
Flipkart and Amazon are locked in fierce competing in India, looking to bag the bigger share of a growing market. In October, Flipkart launched a loyalty programme that targeted Amazon Prime-like customers, the most profitable ones. In retaliation, Amazon launched a shopping-only Prime tier.
Non-Prime shoppers on Amazon have an average order value (AOV) of around Rs 1,000-1,200 but Prime customers have an AOV of Rs 1,800-2,000, analysts had said earlier.
The increased focus on profitable customers comes at a time when Amazon Seller Services saw its losses widening by around a third to Rs 4,854 crore in FY23. The company’s revenue increased marginally by around 3 percent year-on-year (YOY) to Rs 22,198 crore.
