In a move to strengthen its logistics business, India’s one of the leading eCommerce startup Flipkart has infused around Rs. 1632 crore in Ekart Logistics.
According to the reports, the amount was invested in the company in three tranches through Singapore-based group company Klick2Shop Logistics Services International Pte. The transactions took place between October and November.
After raising a massive amount of funding last year, Bangalore-based Flipkart has ramped up its operations in the country and is now looking to strengthen its other services, such as Ekart and PhonePe.
Not only Flipkart, other eCommerce firms in India are also focusing on strengthening their logistics operations in order to increase the customer satisfaction ratio. Some reports suggest that Flipkart is planning to introduce a one-stop hyperlocal app to cater all needs of the Indian consumer, including products from groceries to electronics.
The company could also use funds to acquire other companies or invest in its operations. This will certainly help Flipkart in ramping up its logistics services for each and every vertical it is targeting. We are also expecting the company to open new fulfilment centres to penetrate deeper into the tier II and tier III cities.
This is in line with the company’s target of increasing its monthly active users from 10 million to 80 million in the coming years. It is also reportedly looking to expand its horizon of services with a partnership with other service providers such as Zomato, Swiggy, BookMyShow and more.