As per Amazon, in the overall perspective, 50 percent of their sellers come from Tier 2 and Tier 3 cities
Small cities are important for Amazon with over 50 percent of sellers and 65 percent of customers coming from Tier 2 and 3 cities, Gopal Pillai, GM and Director, Seller Services, Amazon India, said on Wednesday.
"In the overall perspective, 50 percent of our sellers come from Tier 2 and Tier 3 and more than 65 percent of customers side come from Tier 2 and Tier 3 because of mobile penetration," Pillai told Moneycontrol.
"From either a customer or seller perspective, Tier 2 and Tier 3 makes more logical sense. From a customer's perspective, if you are living there, the choices you have is limited in terms of selection," he said, adding that online shopping provides convenience as well as competitive prices.
"On the seller side that is better because in Tier 2 or Tier 3 cities, their addressable customer segment is very limited and online e-commerce gives them the opportunity of national reach or in fact global reach in some cases. So the Tier 2 and Tier 3 sellers are leveraging this and trying to get access and visibility and discoverability of their products across India," Pillai added.
Amazon also released a report on global exports from Amazon sellers. The report states that Indian exporters on Amazon saw a massive 224 percent growth in their global exports business in 2017.
The company's international marketplace saw a rise of 500 percent in Indian products offered globally. Delhi, Rajasthan, Maharashtra, Gujarat and Uttar Pradesh emerged as leading states with most international exports.
Home decor, tapestries, home and kitchen appliances, ethnic wear and women's apparels witnessed a huge demand from the international market.
The top international markets for the products are US, Canada, Mexico, UK, Spain, Italy, Germany, France and Japan.email@example.com