Paytm Mall, the e-commerce arm of digital payments giant Paytm, ended FY18, with revenues touching ₹775 crore growing over 100 times, from ₹7.35 crore in FY17. While its net loss shot up to ₹1,787 crores, rising up nearly 150 times, from ₹13.63 crore in the previous year, as to data sourced from Tofler.
Furthermore, in FY18, the total expenses for Paytm Mall was recorded at ₹2,581.38 crore, from ₹20.98 crore in FY17. In a good news for employees, the expenses incurred owing to employee benefits was ₹158.75 crore, rising from ₹12.49 crore in FY17.
The e-commerce platform Paytm Mall was separated from Paytm in 2017, in order to compete with Walmart-owned Flipkart and Amazon India.
Since becoming a separate entity Paytm Mall has raised more than $640 million, valuing the e-commerce platform at over $2 billion. It has raised funds from Softbank and Alibaba.
After Flipkart and Amazon, Paytm Mall occupies the third sport in the Indian e-commerce market, in the short span of its operation.
Earlier this month, Paytm Mall announced that it is working with 100 FMCG brands, in order to drive sales through the online-to-offline (O2O) model.
In August 2018, it was reported that Paytm Mall reached $3.5 billion in annualised gross sales in June 2018, further aiming to reach $10 billion in annualised gross sales by March 2019.
According to an IBEF report, the Indian e-commerce market is expected to touch $200 billion by 2026, from $38.5 billion in 2017. The growth is expected to ride on the back of rising incomes of the middle class and the rising internet penetration in tier 2 and beyond cities.