Discount war costs Flipkart a massive Rs 2000-crore loss
E-commerce giant Flipkart registered a loss of around Rs 2000 crore in the year ended March, amounting to one fith of its sales, the economic Times reported citing regulatory filings.
India's leading online market place spends heavily to fund discount to stay ahead of its rivals Snapdeal and Amazon India.
According to the report, two entities controlled by e-commerce player-- Flipkart Internet which runs the consumer-facing portal and Flipkart India company's wholesale arm registered a net loss of Rs 1,096.4 crore and Rs 836.5 crore respectively.
The current loss figure has trebled as last year the company witnessed a loss of Rs 715 crores.
Flipkart, which has raised $2.6 billion over the past 18 months, has been spending huge amounts of money on discounts, marketing, boosting technology and building warehouses
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