New Delhi: RattanIndia Enterprises (REL), a leading Company that is building businesses in new-age sectors including electric motorcycles, drone solutions and fintech on Wednesday announced that it has operationalized its e-commerce foray by approving an investment of Rs. 350 crore in its wholly owned subsidiary Cocoblu Retail Limited (Cocoblu).
The investment in Cocoblu will further RELs interests in India’s high-potential e-commerce industry. India’s e-commerce sales are projected to rapidly grow from ~Rs 2.8 trillion in 2021 to reach ~Rs. 8.8 trillion in 2025. This will be underlined by India’s burgeoning base of internet users which will stand at 900 mn in 2025. Leveraging its rich demographic advantage India offers access to one the largest pools of Gen Z and Millennials globally.
Cocoblu will be partnering with several big and small brands in India to bring them onto leading online platforms in the country. Cocoblu is committed to scale up local micro, small and medium manufacturers and help them build their brands and reach their true potential through digital channels. This provides a great opportunity for online retail in India devoid of complexities and capex of physical retail. Cocoblu seeks to be a dominant seller in multiple categories on these online retail platforms in the country.
Commenting on the occasion, Anjali Rattan Nashier, Business Chairperson of RattanIndia Enterprises Limited said, shared,“Cocoblu will be well-positioned to provide value to salient brand-owners/sellers in India’s ever-expanding e-commerce landscape. Our investment of Rs. 350 crore is intended to give fillip towards creation of an all-digital approach to selling lifestyle offerings via leading e-commerce platforms. Through in-built solutioning we believe we have the right arsenal to facilitate a robust scale-up of their business while making accessible a vast consumption opportunity.”
“Digital e-commerce remains a core pillar of growth for REL, holding strategic relevance in its growth vision. This funding will be utilized by Cocoblu to develop its business including creation of tech-enabled access to consumers for select brand owners/sellers on the platforms of leading e-commerce sites in India.” She said
The venture will offer end-to-end solutions to brands & sellers to help them achieve a highly-efficient and rapidly scalable model. Cocoblu envisages working with upcoming brands/ventures by giving them the right positioning in a highly competitive sector through its solutions.
By 2025 India’s e-tail industry is expected to include ~300-350 million shoppers with a corresponding Gross Merchandise Value of US$ 100-120 billion in 2025. India is home to second largest internet enabled population and third largest E-commerce consumer base in the country with e-commerce penetration of less than 5%, leaving tremendous headroom for growth in the sector. Access to internet, rising affluence, awareness, reach and sheer convenience are key drivers of online retail growth in India. The recent pandemic has further accelerated this shift towards online retail in the country.