E-commerce platform ShopClues’ revenues grew by 60 per cent this fiscal, while losses were trimmed by around 40 per cent compared to the previous year, the company claimed. The Gurgaon-based company is confident of making profits in the next 12-18 months as it focuses on expanding business beyond fashion and strengthening its position in tier III cities.
Last year was spent ensuring that the company has the right revenue margins without any discounting or heavy spending on warehousing adding to its costs, but 2018 is about continuing the growth, company co-founder and CEO Sanjay Sethi told a news agency.
ShopClues' revenue from operations was at Rs 180.3 crore in 2016-17, against Rs 161.4 crore in the preceding fiscal, according to documents filed by the company with the corporate affairs ministry,. Its losses were also lower at Rs 332.65 crore for the fiscal ended March 2017 compared to a loss of Rs 383.05 crore in 2015-16.
About 80 per cent of the company's orders come from tier III cities and beyond and such customers buy more frequently — 20 per cent more as compared to those in metros.
Co-founder and chief business officer Radhika Ghai said the company has raised about $200 million and on track to hit profits, which shows that its business model is working. (DS)
Fibre2Fashion News Desk – India