Indian fashion e-commerce marketplace Myntra is inching closer to current financial year underpinned by robust topline growth at group entities that together have more 40% share of India’s web-based fast-fashion industry. The joined element of Myntra and Jabong is hoping to recoil its negative EBITDA edge lower to (short) 2-3% by Q4FY18, crawling nearer to the much-anticipated breakeven target.

 

Making 24% of the Top Online

Myntra Fashion Brands turned profitable about four months ago, making up 24% of the top-line. “The firm will not widen the scope of private labels beyond 35% as a larger private brand focus would limit the pace of growth.” Said Ananth Narayanan, CEO for the combined entity.

 

Set to End FY18 at $1.8-1.9 Billion in GMV

Myntra is all set to end FY18 at $1.8-1.9 billion in gross merchandise value (GMV), a little bit higher than its $1.7-billion target for the year. Gross merchandise value is a proxy for gross sales that doesn’t factor in discounts.

 

Looking to Grow in Personal Care and Home Furnishings Categories

Tailwinds for accomplishing the topline target may come in the state of Myntra’s interests in some of its smaller categories, for example, individual care and home furniture this year and adornments one year from now. At present, contributing between 1-2% of the best line, Myntra is hoping to develop these classifications to more than 5% of its income share through FY19.

 

Investing Heavily on Customer Acquisition

Myntra’s aggressive growth push comes even as the Flipkart group (Flipkart-Myntra-Jabong) is investing heavily on customer acquisition to stave off competition from Amazon which is continuously investing to build its fashion business.

Leave a Reply

WE ARE TECHNIANS

Latest Articles & video

Good quality, informative articles about the industry

Looking to
Achieve your Goals?

Let us help you
get there!

We're a digital agency focused on
creative and results-driven solutions.

Start With
Submit Form Below