Online retailer Myntra.com, which specialised in selling personalised jerseys during the Cricket World Cup, IPL and FIFA tournaments, is now repositioning itself as a lifestyle retailer, offering over 70 brands in apparel, accessories and footwear.
“Lifestyle retailing is a Rs 2-lakh-crore market and offers immense potential because of the convenience,” says Mr Mukesh Bansal, CEO and Founder, Myntra.com.
Myntra.com registers about 1,500 transactions a day with the average per transaction value at Rs 1,000, according to Mr Bansal. Over 70 per cent of Myntra.com's sales come from the men's category. The top 10 towns across the country contribute nearly 60 per cent to the sales with the rest coming from Tier-2 and Tier-3 towns.
The company is in the mid-premium to premium price segment because this positioning gels with the overall e-commerce audience mindset. An average shopper on Myntra.com spends seven-eight minutes, successfully transacts once in four visits and shops three times in a year. Over 40 per cent are repeat buyers.
“The challenge in India is about the payment mode because people are more comfortable with cash on delivery rather than swiping their credit or debit cards,” says Mr Bansal.
On future plans, he says the company will increase its women's range. Myntra.com has also kicked off a promotion campaign on the convenience of buying from its portal and is working on a social media integration project.
The company has received funding of Rs 90 crore in three rounds since 2007, the latest one being in March this year from Tiger Global ($14 million). The money has been invested in technology, logistics, supply chain and marketing and, according to Mr Bansal, the company is not in need of funds immediately.