The Flipkart Group, India’s homegrown e-commerce group, has launched a wholesale digital marketplace and acquired 100% of Walmart India Private Limited.
WHO: Founded in 2007 The Flipkart Group is one of India’s leading digital commerce entities and includes group companies Flipkart, Myntra, and PhonePe. The Group has launched Flipkart Wholesale, a new digital marketplace that will help transform India’s retail ecosystem by leveraging cutting-edge and locally developed extensive leadership in the consumer e-commerce segment and technology for the country’s mom-and-pop “kirana” grocery stores and other small retailers. These retailers will have one-stop access to an extensive selection of products with attractive schemes and incentives, supplemented with data-driven recommendations for stock selection, delivered through a fast and reliable network to drive greater efficiencies and better margins.
Walmart India Private Limited operates the Best Price cash-and-carry business, to leverage the strong wholesale capabilities of the company and enable growth and prosperity for the nation’s kiranas and micro-, small-, and medium-sized enterprises (MSMEs).
IN THEIR OWN WORDS: Kalyan Krishnamurthy, Chief Executive Officer, Flipkart Group, said, “As the e-commerce pioneer in India, the Flipkart Group has transformed the shopping experience for millions of Indian consumers. With the launch of Flipkart Wholesale, we will now extend our capabilities across technology, logistics and finance to small businesses across the country. The acquisition of Walmart India adds a strong talent pool with deep expertise in the wholesale business that will strengthen our position to address the needs of kiranas and MSMEs uniquely. With this development, the Flipkart Group will further build upon the synergies across its businesses to drive greater value and choice for end-consumers and businesses alike.”
Judith McKenna, President and Chief Executive Officer, Walmart International, said, “For over a decade, we’ve been committed to India’s prosperity by serving kiranas and MSMEs, supporting smallholder farmers and building global sourcing and technology hubs throughout the country. Today marks the next big step as Walmart India’s pioneering cash-and-carry legacy meets Flipkart’s culture of innovation in the launch of Flipkart Wholesale. By leveraging each other’s strengths and unique expertise, this combined team will break new ground in their shared mission to help Indian businesses grow and succeed. We look forward to a bright future for Flipkart Wholesale.”
Adarsh Menon, Senior Vice President and Head, Flipkart Wholesale, said, “Flipkart Wholesale will further deepen and build on Walmart India and the Flipkart Group’s commitment to kiranas and MSMEs over the last several years. Thousands of kiranas have already partnered with Flipkart to enhance their business and income streams. I am excited to be part of this new initiative that allows us to expand opportunities for growth for them and bring further prosperity to their lives. We will leverage the synergies between Flipkart and Walmart India as we stay focused on transforming the wholesale experience for kiranas and MSMEs.”
Sameer Aggarwal, Chief Executive Officer, Walmart India, said, “This move recognizes the critical role that kiranas and MSMEs play in India’s economic prosperity and growth. The coming together of Walmart India with Flipkart Wholesale will provide an opportunity to build upon the more than 12-year legacy of the Best Price brand serving kiranas across India.”
- The Flipkart Group acquired 100% of Walmart India Private Limited.
- The launch and acquisition follow the recent announcement of a new $1.2 billion equity round, valuing the Flipkart Group at $24.9 billion post-money.
- Kiranas and MSMEs are central to India’s retail ecosystem, with around 12 million kirana stores serving neighborhoods throughout the country.
- Flipkart Wholesale will leverage Flipkart’s strong homegrown technology capabilities and extensive leadership in the consumer e-commerce segment.
- The business will also utilize the Flipkart Group’s vast supply chain infrastructure to reach kiranas and MSMEs across the country.
- Flipkart Wholesale will draw on the merchandising experience of the Walmart India team.
- Sameer Aggarwal, Chief Executive Officer at Walmart India, will remain with the company to ensure a smooth transition, after which time he will move to another role within Walmart.
- With the acquisition of the Walmart India business, its employees will join the Flipkart Group and the home office teams will integrate over the next year.
- The Best Price brand will continue to serve its 1.5 million members via its omnichannel network of 28 stores and e-commerce operations.
Photo: via Walmart