SoftBank-backed e-commerce company Meesho has achieved remarkable success during recent sale events, with nearly 1 crore orders secured over four days. What’s particularly noteworthy is that 75% of these orders originated from tier 2 and beyond markets, showcasing the company’s growing reach. Additionally, Meesho attracted more than 50 lakh new customers during these sales, indicating its expanding customer base.
Preparation for the Festive Season
Now, Meesho is gearing up for the upcoming festive season, capitalizing on its recent success during events like Onam, Raksha Bandhan, and Ganesh Chaturthi. The company is set to launch its flagship event, the ‘Meesho Mega Blockbuster Sale’, from October 6 to October 13. This sale will compete with Amazon’s Great Indian Festival and Flipkart’s The Big Billion Days, both starting on October 8. Megha Agarwal, CXO, Growth at Meesho, stated, “Last year, we saw nearly 2x year-on-year growth during the festive period.”
Innovations and Enhancements
This year, Meesho has introduced a customer loyalty programme where customers can earn coins for future purchases. Additionally, the company has launched ‘Meesho Gold’, offering premium product selections, and unveiled ‘Meesho Mall’, focusing on branded products, which is being significantly expanded for the festive season.
Expanding Seller Base and Product Categories
Meesho‘s success is not just limited to customer engagement; it’s also about empowering sellers. The company has added nearly 2 lakh new sellers in the past two months. To address selection gaps, Meesho has encouraged its sellers to introduce new sub-categories and products based on emerging trends. These trends include festive decorations, kitchen organizers, ethnic wear, and personal care products with natural ingredients.
Diverse Product Range and Seller Expansion
Currently boasting approximately 14 lakh sellers and around 12 crore product listings across 30 categories, Meesho aims to offer a diverse and affordable range of products for customers this festive season.
Meesho Mall: A Focus on Branded Products
Meesho’s strategic expansion with ‘Meesho Mall’ for the festive season underscores its commitment to enhancing the shopping experience. Since its launch last year, Meesho Mall has shown impressive growth, with a 30% month-on-month increase and over 1 crore orders processed in the past six months. Meesho has partnered with over 400 national and regional brands, including Bajaj, Biotique, boat, Decathlon, Bewakoof, Himalaya, Mamaearth, Milton, Paragon, Philips, Plum, Sirona, and Wow Skin Science.
Inclusivity for Non-GST Sellers
In response to the recent GST Council announcement allowing e-commerce platforms to onboard non-GST sellers with turnovers up to Rs 40 lakhs, Meesho has made its platform inclusive for such sellers. This strategic move could potentially attract 15-20 million sellers from historically less penetrated states. Megha Agarwal emphasized, “These small sellers form the backbone of the country. We’re keen on bringing more non-GST sellers on board.”
Rising E-commerce Adoption in Tier-2 Cities
A recent report by Redseer Strategy Consultants highlights the growing adoption of e-commerce in tier-2 cities and beyond. This, combined with a rising base of ‘mass’ consumers and the expansion of 3PL (Third-Party Logistics) serviceability, is driving shipment volumes. With the festive season approaching, a surge in eTailing activities is expected, putting 3PL into greater focus. The Redseer study anticipates a 6 to 8-fold growth in 3PL shipments from 2022 to 2030, soaring from 2 billion in 2022 to an estimated 13-17 billion in 2030.
Meesho’s Leading Role in E-commerce 3PL Shipments
From January to August 2023, Meesho emerged as the leading contributor to e-commerce 3PL shipments in India. Other significant contributors included Flipkart, Ajio, and Amazon, with vertical e-commerce platforms, D2C brands, and smaller e-tailers making up the remaining shipments.
In summary, Meesho’s recent achievements, innovative strategies, and preparations for the festive season demonstrate its strong position in the Indian e-commerce landscape, with a particular focus on tier-2 and beyond markets and a commitment to inclusivity and seller empowerment.