Amazon's new innovation in India; will continue to invest in Infrastructure.

- Aditya Sharma   15-06-2017

          


Amazon continues its investment in India for expanding infrastructure and bringing in the techniques to enhance the experience of the consumer and seller, being a US-based e-commerce its major target is to overtake local rival Flipkart.

After its completion of four years in India, Amazon has committed an investment of US$ 5 billion in the country.

“Last year, half the capital deployed was in infrastructure. This year too, we will continue to invest in infrastructure, innovation and technology,”

Amazon’s Senior Vice President and Country Manager (India) Amit Agarwal said. However, he declined to share financial details.

“Our new customer acquisition has also grown by 60% year-on-year in 2016, driven by growth from tier II and III cities,” he said.

The most of the investment by Amazon is in setting up Fulfillment Centers across the country to ensure speedy delivery to consumers. Currently it has 41 warehouses across 13 states.
 

Its seller base also increased from 100 in 2013 to 2 lakh now.

 

With Tiger Global-Backed Flipkart’s fund raised to US$ 1.4 billion earlier this year, the competition is set for both the companies in the upcoming days. Both are expected to put in the money to strengthen operations and surprise the customers with offers.

The importance of India market for operations by Amazon’s founder Jeff Bezos has already been highlighted.

After this Pump in of the money in Indian market and Increase in the Infrastructure the economy of the country could get a positive effect as well.