Mukesh Ambani Announces New E- commerce Venture By Reliance, Likely To Boost 3 Crore Small Retailers

Reliance Retail to launch a unique “new commerce” platform to empower over 3 crore small shopkeepers in India. The announcement was made by the Reliance Industries Chairman and Managing Director Mukesh Ambani speaking at the Bengal Global Business Summit today.

The platform, “will bring win-win benefits to consumers, retailers and producers,” Ambani said.

Ambani, last month during an event in Gujarat had announced that, “Jio and Reliance Retail will launch a unique new commerce platform to empower and enrich our 12 lakh small retailers and shopkeepers in Gujarat.”

Reliance currently has near 300 million customers using its Jio service along with 10,000 outlets of its retail arm in over 6,500 cities in India.

E-commerce new third front

With Ambani’s new online venture, Indian e-commerce market led by foreign players including Amazon and Walmart-owned Flipkart is expected to see a dominant third player, according to market experts.

“Reliance has an ecosystem of entertainment, financial services, payment gateway, etc. Once it has customers hooked on to these services, then it is a question of time before it can start offering merchandise as well,” Arvind Singhal, chairman and managing director at retail consultancy firm Technopak told FE Online earlier. Moreover, unlike Amazon or Walmart, home grown Reliance doesn’t have constraints around restrictions on FDI in e-commerce. This might give it a regulatory edge over existing e-commerce biggies.