Meesho increases market share in fashion category during festive sales

The fashion category contributed about 17% to the total Gross Merchandise Value (GMV) during the first week of the festive season sales. While horizontal platforms such as Flipkart and Amazon India accounted for a 70% share in fashion, 30% of sales were driven by vertical apparel platforms such as Myntra and AJIO, Redseer estimates.

Of the 30%, Meesho grabbed about 39% stake in the fight against apparel-centric platforms.

“Out of the rest of the market (30%), Meesho has been able to capture 39% share (of the rest of the market) with its affordable offerings that target a niche Indian household looking for good value products. […] Fashion has seen a resurgence on the back of the largely vaccinated population, looking for a wardrobe for social gatherings and holidays,” Redseer said.

Meesho partnered with Amazon and Flipkart to run its five-day ‘Maha Indian Shopping League’ festive sale. For social commerce platforms, around 60% of the total demand was driven by Tier IV markets, which included remote locations such as Khawajwal and Sopore.

“Completing our efforts to digitize India, Maha Indian Shopping League has served as an entry point for millions of users to shop online with Meesho. Our flagship festive sale event saw over 80% orders from Tier-II and other markets, a perfect reflection of our efforts to cut deeper into India’s underserved areas,” said Vidit Atre, Founder & CEO, Meesho said.

According to Meesho, there was a 750% increase in the number of users during last year’s flagship festive sale event.

The company also said that it registered a more than ten-fold increase in sales compared to last year, and this year saw a more than three-fold increase in seller participation during its flagship festive sale.

Ahead of the sales event, Meesho engaged over 100,000 sellers with a slew of new initiatives including free advertising credits and zero return shipping charges on the first 30 orders.

It also said that the order for women’s apparel and accessories on the platform along with men’s wear has increased by almost six times as compared to last year.