Flipkart has launched MarQ, a new private label brand for its key large appliances category as it plans to secure its position at the top of the e-commerce industry in India.
The move comes after CEO Kalyan Krishnamurthy pushed for a billion-dollar business of building private label brands and increasing margins at the same time. Flipkart is now looking to gradually reduce its dependence on the smartphones by emphasising on all other consumer good categories.
Flipkart’s head of private labels Adarsh Menon told the LiveMint that the prices of the big appliances under its private label would be 15-20 percent lower than the other leading brands on the e-commerce website such as Samsung, Whirlpool, Panasonic and LG.
"The vision of the brand is to create cutting-edge technology and high-quality products at very affordable prices for customers. The brand will play across a full range of large appliances, starting with microwave ovens, then we’ll have televisions, followed by other white-good products such as washing machines and air conditioners, which will come later, " said Menon.
MarQ appliances will be installed and serviced by Flipkart-owned Jeeves which provides maintenance, repairs, product guarantees and other services, said Menon.
Menon said that Flipkart does not plan to have a private label for their smartphones business which garners almost 60 percent of the company's gross monthly and annual sales.
Menon added that the e-commerce giant's newly launched private label brand in furniture name 'Perfect Homes' has led to a positive growth.
He also said that Flipkart has already launched private labels in 35 categories and is planning to take the number of private labels to 72 in the next few months.
Flipkart's first private label brand was an umbrella category named SmartBuy following which it created many other private label brands in various categories.
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