Leading e-commerce platform for fashion and lifestyle products Myntra today said ithas crossed $1billion run rate in annualized GMV post discounts in July this year. “This is the first time ever that an Indian fashion brand has recorded $1 billion run rate in annualized average GMV,” the company said in an official statement.
GMV is a metric used by e-commerce players to refer the value of goods sold on a site but does not account for discounts or even sales returns.
“We have now surpassed our January benchmark to make July 2016 the biggest month ever for Myntra. The annualized GMV run rate of $1 billion puts us on the path to touching the $1 billion GMV mark in a fiscal. In the past month, we have taken some market transforming steps. Our focus is to continue to transform fashion & lifestyle in India through technology,” CEO of Myntra, Ananth Narayanan said.
The surge in sales were propelled by growth of Myntra Fashion Brands, increased contribution of international brands, high growth in sportswear and womenswear category and a hugely successful End of Reason sale. This betters the January 2016 performance when Myntra had clocked $800 million in annualized GMV.
Myntra’s recent acquisition of Jabong from Global Fashion Group has led to the creation of India’s biggest fashion shopping destination. With a combined base of 15 million monthly active users, Myntra and Jabong are all set to define the next generation of online shopping.
Myntra expects the branded fashion market to grow twice as fast as the overall fashion market in the next 5 years. There is continued expansion in portfolio of domestic and international brands, including brands such as Sachin Tendulkar’s True Blue, Khadi Originals from IndusDiva, TOMS and Meters/bonwe.
Both Myntra and Jabong will use technology integration, deep consumer insights, to develop partnership with brands to increase branded sales in India at full price.
Second, the company embarked on strategy of creating and growing brands. Myntra has acquired a majority stake in HRX which is gearing up to go offline in the next financial year. Myntra also extended its relationship with FCUK for 6 years.
Third, in order to bring the offline experience closer to its consumers, we will open the physical experience store in the next 3 months with Roadster, HRX and All About You. This Omni channel strategy will provide tech-enabled enhanced shopping experience. The omni-channel strategy is expected to improve confidence in online shopping and accelerate the number of customers converting from offline to online shopping.
In addition, Myntra is targeting strong growth in new segments such as home furnishing, re-launching its personal care business and expanding its sales of fine jewellery. Home furnishing is about 1 per cent of the revenue and is growing at 50-60 per cent on a monthly basis.