6 Feb 2020
Ecommerce fashion player Club Factory had had a four-fold surge in orders in 2019. The company looks to increase local sellers on its platform to one lakh by the end of this year from 30,000 now and has had a strong surge in user adoption across the country. To expand its vendor base in India, the company does not charge any commission from the sellers. The development of a local vendor base has helped the company in reducing product delivery and return time.
With investments and efforts to enhance the user experience, Club Factory has managed to reduce delivery time by as much as 30 percent with product rating going up 40 percent in 2019. Returns or product exchange on the platform dropped almost 25 percent. It has received traction from Tier II and III cities located in Uttar Pradesh, Telangana and Bihar. Club Factory started operations in India in 2016. The rapid growth of Club Factory in the Indian market is primarily due to its zero-commission strategy, where sellers are able to transfer the cost-benefit to users. Club Factory has also pioneered the store-within-platform concept in India’s e-commerce industry, allowing direct contact between buyers and sellers through its application.