Myntra reports drop in sales after going on app only model
One of largest online fashion retailer of India Myntra reports drop in sales after going on app only model few days back. The fashion giant which drives majority of its sales and traffic from mobile had expected these results. There was 10% drop in sales since it went app only last week. Myntra drives more than 90% of its traffic and more than 70% of its sales from mobile platform. Reasons of drop are pretty simple as some customers still prefer a website over an app. Then sales are also affected by the connection speed. 3G coverage is still not that good in India and shopping experience can suffer a bit while on 2G.
Flipkart, who bought Myntra also plans to go app only in a year. And why not ! All the e-commerce platforms in India like Snapdeal, Ebay , Amazon are getting a huge almost half of there traffic and sales from mobile platforms only. But still they haven’t ignored the non-app favoring community yet and no indications have come from either of these giants to go app only. Another point worth mentioning is the growing number of digital handheld devices in India. By 2030, India is expected to be the 2nd largest digital population. Considering that it is good move by Myntra and Flipkart.
It is still too early to comment about success or failure of the approach followed by Mytra. Only the trend of sales over next few weeks will predict the future of this approach. But it is a step towards looking into the future and taking a step to capture the market in an earlier phase. A successful run might force other e-com players to follow the same but as of now other companies don’t want to risk their sales.