Flipkart has started co-creating products in partnership with domestic manufacturers monikered under ‘Billion’. Sachin Bansal said that the brand will focus on Indian needs based on data and customer feedback.


What will Billion include

The Billion brand will initially include mixers, electrical appliances, backpacks, mixer grinders, cookware, irons etc. Bansal added “What we found is that the Indian consumers are value conscious and want more out of a product in terms of features. Billion backpacks have been designed with extra space, Billion mixers will have larger jars for a typical Indian family size, and irons with super-coating for all materials.


Make in India inspiration

Flipkart reported that brand Billion is inspired from Make in India initiative of the government. It has already tied up with 10 manufacturers and hopes to work with thousands in the future.


Effect on sellers

Sellers will not be affected in any way and the Billion products will be priced competitively. Bansal stated “On the face of it, it may seem like Billion will compete with other sellers. But it will expand the size of the pie for everyone. Customer gaps are being met. There could be initial fear in their minds, but we are confident that their sales will grow“.


Other brands at play

Flipkart coming up with other brand called SmartBuy which offers affordable electronic accessories and home plastic products. It is also competing with its rival Amazon ‘Basics’.


Challenges behind a private brand

“There are several challenges to it. Firstly, there needs to be a network of services support. Also, the bulk of the total business comes from the mobile phone, electronics and clothing categories, with phones bringing almost half the business for such platforms. Private labels in consumer appliances may not work, because the turnover for these products is not significant and the potential for revenue is small.” Said by Arvind singhal, chairman of Technopak


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