Flipkart, Snapdeal ready to scale up operations for delivery of products

This comes after a top government source said that e-commerce players will be allowed to deliver essential and non-essential items from April 20.
Flipkart, Snapdeal ready to scale up operations for delivery of products
Flipkart, Snapdeal ready to scale up operations for delivery of products
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Flipkart has announced that it is working with lakhs of sellers and small businesses across India to help them prepare for delivering products to consumers who are confined to their homes amid the COVID-19 lockdown. 

This comes after a top government source said that e-commerce players will be allowed to deliver essential and non-essential items from April 20. 

“As a marketplace e-commerce player, we at Flipkart believe that it is our responsibility to enable sellers and the MSME community to bounce back and responsibly facilitate economic activity. We’re fully aware that e-commerce can further strengthen ‘social distancing’ by safe, contactless deliveries through a sanitised supply chain and help Governments at the centre and states fight this battle effectively. Therefore, we are working with lakhs of sellers, small businesses and artisans across India and helping them prepare their business and workforce to make products available for consumers in this time of need as they continue to stay indoors. Through this, we are not only helping promote social distancing but are also keeping the economic engine running for millions of people who depend on us, be it the employees of our seller partners, MSMEs, farmers or in the last-mile supply chain,” Flipkart said in a statement. 

Our seller support team is providing constant counsel and on-ground support to sellers on our platform to help them resume operations in a few days. Our analytics teams are supporting sellers with market intelligence to ensure smooth listings on the platforms. Also, our supply chain team continues to maintain an intense focus on safety and health procedures in our facilities and staff that will support the movement of goods for sellers.

Through these efforts, we are empowering the seller community to further e-commerce’s efforts in promoting social distancing and enable contactless deliveries for consumers. We are continuously working to ensure that customers have access to products, as India fights this unprecedented battle, Flipkart added. 

“In accordance with the guidelines announced by the Government of India, and in collaboration with all state governments and local authorities, we will continue to serve consumers to promote social distancing through our sanitised supply chain, contact-less deliveries and safe last mile delivery processes,” the company said. 

The company has also rolled out a series of initiatives for service and financial support including: 

> Flipkart has provided its sellers the flexibility of choosing to work or not work during the lockdown period, without any concerns of their performance metrics being hampered

> Sellers who are servicing in the essential items categories are being given regular update on the product demand and what they should be adding in their inventory to maintain a healthy stock

> Flipkart has offered all its sellers a health insurance plan, specific to COVID-19 to cover the sellers along with their families and employees, in partnership with Digit Insurance at special rates, with a coverage ranging between Rs 50,000 to Rs 3,00,000 per individual with annual premiums starting at Rs.369

> All the payments related to cancelled orders in the lockdown period are underway and are being settled in the upcoming payment cycles

> Flipkart is also offering some special offers on loans that sellers can avail through Flipkart’s Growth Capital programme, a programme designed specifically to enable independence for MSMEs who operate online. Through the programme, over 1L+ sellers are already able to avail credit at competitive interest rates with an approval time of one day and disbursal within 48 hours

> A 3-month moratorium period has also been implemented on existing loans availed through Flipkart’s Growth Capital programme. This means that sellers are not obligated to make a payment during this period

E-commerce major Snapdeal has also announced that it is ready to scale up operations to meet the consumer needs. 

"In accordance with the MHA guidelines issued on 15th April 2020, we are preparing to scale up operations to meet the requirements of our users - both buyers and sellers. Summer apparel, kitchen accessories, small appliances like headsets, tablets for school work, home printers, competitive exam books etc. will be in high demand. Nearly 50% of the sellers will be in a position to resume operations and more are likely to follow the lead after assessing the local situation in their respective areas,” the company said in a statement. 

Snapdeal added that it is in the process of trimming delivery timelines to align with faster deliveries expected from next week onwards. These will be dynamically adjusted as per the flow of goods as well as operating conditions in various regions.

"From April 20 onwards, besides essential products, we will begin shipping all products orders that we received during the lockdown. Since there are many orders with us, as well as those in transit, and sellers also have stocks, we don’t anticipate any short-term supply chain constraints across popular categories. We have informed sellers about the resumption of operations for all product categories and we will be providing them with all required operational support," the company added. 

Despite the government clarification, Amazon has said that it is waiting for clarity on whether it can sell non-essentials. 

Meanwhile, the Retailers Association of India (RAI) has urged the government to allow all forms of home delivery across retailers for the benefit of doing business.

“Allowing this for all retailers, and not just e-commerce players will facilitate the availability of all the goods at the doorsteps of customers. This will ensure that there are fewer reasons for the public to step outside of their homes. It will also ensure greater availability of supplies and help conform to the requirement of social distancing. This move will further support the economic revival for the country as well as allow for new avenues of job creation in the market, RAI said in a statement. 

Earlier, Union Home Secretary Ajay Bhalla had issued revised guidelines for the extended lockdown period till May 3, as per which electronic items like mobile phones, TVs, laptops will be available on e-commerce platforms from April 20. However, the delivery vans of the e-commerce companies will need permission from authorities for plying on the roads, it was stated. 

According to Wednesday's guidelines, commercial and private establishments were allowed to operate during the extended lockdown. "Vehicles used by e-commerce operators will be allowed to ply with necessary permissions," the ministry said.

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