Online retailers announce year’s biggest sales events despite protests by retail trade bodies
Amid growing protests from retail trade bodies over deep discounts offered by major e-commerce players such as Amazon and Flipkart, all leading online platforms have announced their biggest sales of the year.
Led by the Confederation of All India Traders (CAIT), trade bodies have called these deep discounts unethical and urged the government to intervene, accusing e-commerce giants of undermining the retail ecosystem.
Although aimed at attracting consumers, these discounts blatantly violate rules governing fair trade and pricing, says BC Bhartia, National President, CAIT. Heavy discounting distorts market competition and creates an uneven playing field, especially for smaller retailers and businesses unable to compete with the deep price cuts offered by large e-commerce companies, he adds.
Despite these concerns, major players in the e-commerce sector continue to offer significant price cuts to draw in consumers during this crucial shopping period. Saurabh Srivastava, Vice President – Categories, Amazon India, informs, this year, over 1.6 million sellers and brand partners are ready to present never-before-seen offers across categories such as fashion, health, beauty, electronics and groceries.
On being asked about concerns raised by small businesses over these discounts, Srivastava states, Amazon has always focused on enabling sellers, especially small and medium businesses, women entrepreneurs, artisans, and weavers. The e-commerce company helps them digitise and reach customers across the country. It remains supports sellers by facilitating their exports, he adds.
However, aggressive pricing tactics of e-commerce giants continue to damage their businesses, argue small traders. Steep discounts make it impossible for traditional retailers to compete, especially during the festive season when small businesses would typically see an increase in sales, they state.
While customers eagerly await these sales, the conflict between large e-commerce platforms and small retailers highlights the ongoing tension within India's retail landscape as deep discounting strategies remain a contentious issue.