Amazon has reportedly begun looking for Indian companies, already in the e-commerce space that can put together vendors for it as it braces to end its tie-up with Cloudtail.
A joint venture between Amazon and India's Catamaran that controlled Cloudtail was coming up for renewal on May 19, 2022, and the two sides had mutually decided not to extend it beyond that date.Cloudtail has been under fire for years after others retailers accused Amazon of giving it preferential treatment, hurting smaller traders and businesses.
Amazon is now looking for Indian companies that can put together vendors. The vendors will directly source products from brands or manufacturers to sell on Amazon.in according to a report by The Economic Times.
One of the companies that was approached told the publication that it was asked to invest Rs 100 crore to begin with.
Another ecommerce company, which was also being considered by Amazon, told the news agency that they were being asked to invest in multiples of Rs 100 crore in phases over the years.
DH could not independently verify the report.
Cloudtail sells products in various categories such as electronics, fashion and groceries on Amazon. It could require the US ecommerce giant multiple smaller retailers to replace the range of products Cloudtail offered.
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Published 16 September 2021, 09:47 IST