Former Flipkart co-founder launches OppDoor, a rival ecommerce platform
Binny Bansal, who co-founded Flipkart in 2007 with Sachin Bansal, has resigned from the board of the Indian ecommerce giant, sources said. Bansal, who is now based in Singapore, told the board about his resignation earlier this week, citing a conflict with his new venture OppDoor in the ecommerce sector.
How OppDoor plans to challenge Flipkart and Amazon in India
OppDoor, which was launched by Bansal in late 2023, is a new online marketplace that aims to challenge Flipkart and Amazon in India. OppDoor claims to offer a unique value proposition to both sellers and buyers, by providing lower commissions, faster deliveries, and better customer service.
ALSO READ: RBI Reveals: Credit Cards in India will soon reach 100-million mark
The end of an era for Flipkart and its co-founders: Binny Bansal
Binny Bansal decision to leave Flipkart’s board comes as a surprise, as he was one of the key architects of the company’s growth and success. He served as the CEO of Flipkart until 2018, when he stepped down following allegations of personal misconduct. He remained as the executive chairman and a board member of Flipkart, until Walmart acquired a majority stake in the company for $16 billion.
Bansal’s exit from Flipkart’s board also marks the end of an era for the company, which was once hailed as the poster child of Indian startups. Both Binny bansal and Sachin Bansal, who are not related, have now moved on to pursue other ventures, leaving behind their legacy at Flipkart. Sachin Bansal, who left Flipkart in 2018, is now the founder and CEO of Navi, a fintech company that offers digital banking and lending services.
Flipkart’s IPO plans and the competition in the Indian ecommerce market
Flipkart, which is now led by CEO Kalyan Krishnamurthy, has not commented on Binny Bansal resignation. However, sources said that the board accepted his decision and wished him well for his future endeavours. Flipkart is currently preparing for an IPO in the US, which is expected to value the company at over $40 billion.
ALSO READ: Expect more loan collaborations with fintechs in 2024
Bansal’s move to start a rival ecommerce platform is likely to intensify the competition in the Indian online retail space, which is already dominated by Flipkart and Amazon. According to a report by RedSeer Consulting, the Indian ecommerce market is expected to grow from $38 billion in 2020 to $200 billion by 2026, driven by the increasing internet penetration, smartphone adoption, and digital payments.
Bansal’s OppDoor will have to compete with not only Flipkart and Amazon, but also other players such as Reliance’s JioMart, Snapdeal, Paytm Mall, and Meesho, which cater to different segments and niches of the online shopping population. Bansal, however, seems confident that OppDoor will be able to carve out a loyal customer base, by offering a superior and differentiated ecommerce experience.
Last Updated on 10 months
