Junglee, a subsidiary of the Seattle-based e-commerce firm Amazon, has kick started a pilot project which lets an individual sell second-hand goods across different categories like mobile phones, tablets, pre-owned watches, books, among other such items. The service has been started in Bengaluru, and will most likely be expanded to other metro cities depending on the success of the initiative. This move is being looked at as a measure to increase its user base among smaller sellers who may not be able to sell as a business, this programme will help get them on board.
Amazon India confirms this as a bold bet in organizing peer-to-peer selling and buying in India. With the launch of this step Amazon will be competing with the likes of Quikr and Olx. Quikr, has a similar end-to-end service called Quikr Doorstep which is available across 25 cities. Amazon will be providing pick-up and packing services for the used goods at the consumer’s doorsteps as well as delivering the product to the buyer. The online retailer will be charging a commission once the transaction is complete between the two parties.
Presently, users can list their ads for free. Amazon, clearly says it does not hold any responsibility in case of any grievances between the individual seller and buyer over these used goods as it is acting only as a platform.
Till now Amazon has not mention any timeline of taking the pilot project to other cities but claimed the initial response has been encouraging so far.
Amazon has been fighting it hard with Flipkart to grab the bigger pie of the Indian e-commerce market. Over the last one year, it has been narrowing its gap with Flipkart and has invested over Rs 8,618 crore in its India unit indicating its long-term bullishness around the market. The most recent investment was of Rs 1,350 crore in its India unit this year.