The e-commerce platform, Meesho, claims to have recorded 5.35 million orders during the one-day sale event of “Maha Indian Savings Sale”. The company got the highest orders (5.35 million orders) on 5th June 2022. Over 26,000 new sellers participated in the sale event.
Meesho, an online e-commerce player and apparel company, has completed its journey to empower small businesses and entrepreneurs in India. The company announced on Tuesday that 100 of its sellers – who represent more than 20% of their total merchant network – earned Rs 1 crore or more in annual revenue. It became a crorepati factory as Meesho pushes to empower small businesses and entrepreneurs in India.
In February this year, the company had already achieved the first milestone of 100 people earning more than Rs 10 lakh annually through the platform and this new achievement has extended that even further.
Meesho is a product of Mukesh Ambani’s investment arm – Reliance Capital. Meesho is an e-commerce mobile app which provides convenience for customers to buy clothes at a cheaper rate.
How does Meesho make money?
The online shopping platform works with local merchants and also offers them a marketplace where they can sell their products. They have also partnered with national retailers like Myntra, Flipkart and Amazon. With Meesho’s entire turnover coming from the Indian market, and not from outside investors, there is no need for them to make money and are making a profit out of it already. Meesho’s latest development will enable the company to reach more individuals, enable those who want to start businesses but didn’t know how to empower women in business and provide them complete access to information in making decisions on opening up their businesses.
The Meesho app was launched in 2016, and it has helped provide a platform for over one million vendors to sell their goods on. One of the key features of the app is its ability to let users buy items at a cheap rate. This latest development is significant because it means that these sellers have been able to earn more than a crore rupee from their products. This is notable because previously, Meesho had only had 25 sellers who had passed this threshold. Now Meesho has over two million active sellers and more than 25 million products listed on its platform. Meesho is committed to helping these groups grow and prosper, and this latest milestone is a testament to that commitment.
Meesho was founded by three Indian entrepreneurs – IIT graduates – Ankush Sachdeva, Kanishk Gupta and Satya Narayanan back in 2016. The company aims to empower small businesses in India. The entrepreneurs through two main offerings: the Meesho marketplace platform which lets them sell their products online; and the Meesho purse wallet which is designed to allow them to take payments from customers.
Nearly one lakh sellers participated in the recent sale. Around 75% of the participating sellers are from tier 2 regions including deeper corners of India. Participating sellers witnessed a 217% increase in orders compared to business-as-usual (BAU).
In a statement, Utkrishta Kumar, CXO, Business at Meesho, “Despite rising inflation, we recorded 5.35 million orders, serving over 20,000 pin codes. In the last 6 months, we have witnessed a 3.75X jump in seller participation in sale events. We will continue to help discover hyperlocal businesses and products, make e-commerce accessible to customers and keep on innovating.”
Why do entrepreneurs from rural India choose Meesho to sell their products?
The social e-commerce team at Meesho conducts monthly travel sessions with the team to the hometowns of their businessmen and businesswomen. It also provides a monetary initial boost to sellers who are coming on board for the first time. “Additionally, we provide free ad credits worth ₹1,200 to all new suppliers who create 7 live catalogues milestones within the first two weeks of their journey,” said Meesho.
To promote ease of doing business, the unicorn has created two activation teams dedicated to understanding how to make it easy for uneducated sellers. “To improve comprehension and reduce friction, we have created two activation teams from both the seller and user side. Over 20 plus videos exist to educate about sales online. Even the stories we pick to celebrate are meant to be encouraging for small business owners, making us friendly and approachable, ” said Agarwal.
The E-commerce platform, Meesho becomes accessible to customers from all corners of the country. Nearly 78% of the demand came from a place like Bhilal, Guntur, Hubli and Port Blair. The top categories that witnessed the highest growth during the sale were apparel, kids wear, consumer electronics and home decor.
Meesho’s app downloads surged nearly 5X Y-o-Y to over 102 million in Q4 FY22. With 44 million active product listings, Meesho is catering to India’s value-conscious market.
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