E-commerce platform Paytm Mall said it is rolling out a new business model under its O2O plan, wherein consumers can visit a store, scan product QR codes to get information on the items and then purchase those through Paytm Mall app.
Paytm Mall has rolled out this model with footwear brand Red Tape. Paytm Mall expects the model to be deployed across more than 50 Red Tape stores by year-end and generate a business of over Rs 500 crore. It will expand this model to more retail brands soon.
"We want to offer consumers a more efficient and flexible shopping experience by combining online with offline. This will also ensure that brand authorised retailers don't have to block a lot of capital in inventory, while customers get much greater choice," Paytm Mall COO Amit Sinha said.
He explained that at the retail store, consumers can browse the entire catalogue available from the brand on the Paytm Mall app and pick up the products from the shop. In case an item is unavailable, they would have the option of getting it delivered to their doorstep on the same day.
This will prove beneficial for brands as the model combines offline stores, warehouse and fulfilments hubs into a single place, thereby enabling them to offer an enhanced experience to shoppers, Sinha added.
"We will expand our new retail model to over 300-400 partner stores across India... this model is expected to contribute over Rs 3,000 crore," he said.
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