Festive sales in October saw a record high 2.2 billion dollars in sales, even better than October 2015.
2. And lost then lost its mojo again
November came after October with 15 to 20 per cent decline in sales. Post Diwali sale slump and demonetization did not help the cause either.
3. But the ecomms have managed to maintain focus on creating a healthy bottomline
Moving on from the shocks the last quarter of 2016 brought with it, ecomms including the Big 3 (Flipkart, Snapdeal and Amazon) have gone back to focusing on a healthy bottomline: private labels with higher profit margins and increasing customer loyalty to reduce customer acquisition cost.
4. The Olas and Ubers have become more expensive
The fares aren’t as low as they used to be as the arch rivals try to recoup heavy cash burn with higher fares and stricter rules for driver incentivising. The taxi aggregators are also trying to curb fraudulent bookings and that has led to a spate of drivers leaving the platforms. A probable cause for some very slow growth of the market. Only the carpooling market benefitted during this time.
5. Besides the online wallets, food related startups were the only big winners of demonetization
Many a startup may have suffered reduced transactions. But food tech players saw an increase of 10 – 15 per cent and hyperlocal food delivery companies saw a 30 – 40 per cent increase in transaction right after demonetization was announced on the 8th of November.