Indian e-commerce giant Flipkart, which along with Amazon adopted divergent marketing strategies this New Year, is planning to strengthen its delivery and warehousing capabilities by infusing a total sum of Rs 1,632 crore into its logistics arm Ekart operated by Instakart Services.
Planning for an
Independent Logistics Business
Experts believe that Flipkart’s investment in its logistics arm is a not merely a walk headed for hold up in-house deliveries other than is moreover an investment to perhaps have a standalone logistics business in the future.
“Logistics and supply chain have become attractive sectors and Flipkart is slowly fashioning itself as not just an online retailer, but as a holding company that makes strategic investments,” said Harminder Sahni, founder, Wazir Advisors
Logistics Sector Attracting other Players
Sahni further added that the logistics sector is attracting several other players with the Future Group evaluating Snapdeal’s logistics arm Vulcan Express, which is to be acquired by the Future group, and Alibaba looking to invest in e-commerce logistics company XpressBees.