Monday 25 July 2016

Another FMCG major, Himalaya adopts aggressive ecommerce strategy to expand business

Healthcare brand Himalaya Herbal witnessed a 123% rise in sales after collaborating with ecommerce leaders Flipkart, Amazon and Snapdeal. This surge in sales has fueled the personal care brand’s interest in developing its online sales channel.
“We started selling our products on the e-commerce portals including Amazon, Snapdeal and Flipkart last year and sales through this channel saw a 123% jump. Our online sales are growing at 70% per year, and we expect it to touch Rs.100 crore by 2018,” revealed Ganesh Ramaswamy, Manager – Web Services at The Himalaya Drug Company.

Mobile app on the cards

Majority of ecommerce transactions happen on the mobile platform, be it m-site or app. Himalaya too wants a slice of m-commerce pie by launching its own app.
“Online traffic is over 65% from mobile devices, and we are in the process of unveiling a mobile application as well. It is currently under pilot in Bengaluru and we will integrate our online business with all our 170 offline retail outlets by year end,” said Ramaswamy.
The brand is keen on strengthening its omni-channel network by focusing equally on offline outlets, online store & marketplaces and mobile app. The ecommerce channel in particular will enable Himalaya to increase its reach and sales by fulfilling remote orders.
“We are seeing a good number of orders from tier III cities and more rural areas, where distribution may be a channel. That way, online business can help us service these areas better,” stated Ramaswamy.

Established brands cash in on ecommerce

Many well-known brands have explored online sales channel to expand their business in recent times. Ecommerce has helped many lost-and-forgotten traditional brands to make a comeback.
Last month, FMCG brand Dabur acknowledged that e-commerce opportunity is going to be very big and thus decided to market its own online store DaburUveda.com aggressively.
The popularity of online shopping has only grown with time. And thanks to the rapidly evolving mobile ecosystem, the ecommerce industry is multiplying like mushrooms after the rain. No wonder from retail giants to individual brands, all are riding high on the ecommerce fever.

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