Amazon Bazaar: fashion at mini prices for India’India

Amazon is poised to make a new attempt to enter the fast-growing fashion and lifestyle e-commerce sector in India. The e-commerce giant is preparing to launch a “special store” called Bazaar, which will offer unbranded fashion and lifestyle products at affordable prices. This will lead Amazon to challenge rivals such as Walmart-owned Flipkart, Reliance’s Ajio, and emerging SoftBank-backed Meesho.

A special store for affordable fashion

Amazon‘s special store, called Bazaar, will offer a wide selection of fashion and lifestyle products at prices below 600 Indian rupees, or about $7.2. According to a communication sent to its partners, Amazon will not charge any additional fees to sellers offering these unbranded and fashionable products.

Amazon informed that products offered on Bazaar will be presented in a special store within Amazon, making it easier for customers to search and purchase. In addition, sellers will have access to millions of customers, hassle-free delivery, and zero referral fees.

The challenge of the fashion e-commerce industry in India

In recent years, the affordablefashion e-commerce space has gained traction in India, with local startups taking inspiration from global fast fashion pioneers such as Zara, H&M; and Uniqlo. Walmart-owned Flipkart is the leading player in the industry, but it is facing increasing competition from Ambani’s Ajio, which has amassed about 30 percent market share, according to research firm Bernstein.

Ajio quietly launched Ajio Street last year, offering a wide selection of clothing and accessories starting at just 199 Indian rupees (about $2.4). According to Ajio’s website, Street guarantees the “lowest price” for its products, eliminates delivery charges, and promises an easy return process.

Amazon’s key initiative in India

Bazaar is one of Amazon‘s key new initiatives in India, following the closure of three of its operations in the country at the end of 2022: wholesale distribution, food delivery, and online learning. The company announced last year that it was investing about $2.3 billion in its e-commerce operations in India by 2030, a much smaller budget than its rival Flipkart. However, Amazon is strengthening its cloud presence in India, planning to invest $12.7 billion in the cloud business in the country by 2030.