Flipkart is witnessing a remarkable rise in customer demand. With strong growth across key verticals, the company is setting ambitious targets for the near term.
Flipkart sees a surge in orders with a growth rate of 20% to 25%, according to CEO Kalyan Krishnamurthy. Speaking at a company town hall event, he shared that the company is on track to reach 30% growth by June. This reflects increasing customer engagement across various segments and a broadening user base.
The fashion business across Flipkart and its subsidiary Myntra continues to perform strongly. Krishnamurthy stated that fashion now contributes to nearly 40% of the company’s new customer acquisitions. This indicates the segment’s importance as a major funnel for first-time users entering the Flipkart ecosystem.
Flipkart’s hyperlocal business, branded as Minutes, is scaling up swiftly. The company is reportedly adding 2 stores every day. The goal is to set up 800 dark stores by the end of the year to strengthen its presence in the fast-growing quick commerce segment.
This comes amid stiff competition from players like Blinkit, which had 1,301 dark stores by the end of Q4FY25, and Instamart and Zepto, which operate 1,021 and 950 dark stores, respectively.
The grocery vertical has also undergone a strategic shift. Krishnamurthy emphasised how the business model has evolved to meet consumer needs better and stay competitive in the quick commerce market. Essentials and grocery items are a core focus area as Flipkart looks to gain market share in this space.
Flipkart’s travel arm, Cleartrip, is gaining momentum. With around 400 million Gen Z users showing interest in travel, the company sees a strong opportunity in this segment. The renewed focus includes expanding offerings in hotels, tour packages, and international travel services.
On the social commerce front, the CEO acknowledged ongoing improvements on the Shopsy platform. Efforts are being made to broaden the selection and enhance the customer experience to attract more users to the platform.
Flipkart has significantly ramped up its investment in artificial intelligence. According to Krishnamurthy, the allocation has increased sixfold this year. This investment is part of the company's broader strategy to future-proof operations and improve customer engagement through advanced technologies.
In a notable move, Flipkart has started the process of shifting its legal domicile back to India. The CEO described this as a crucial step aligned with India’s economic and regulatory landscape. He emphasised that this change would support long-term goals with a stronger focus on profitability and customer centricity.
Krishnamurthy also touched upon Flipkart’s IPO preparations, confirming that much of the groundwork has already been laid over the past year. He highlighted the momentum of Flipkart’s fintech arm, super.money, which has been experiencing strong growth and product innovation.
Read More: When Can Investors Expect Flipkart IPO?
Flipkart’s multi-pronged growth across fashion, quick commerce, and travel signals its evolving strategy in a dynamic market. The focus remains on innovation, expansion, and customer-centricity.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: May 27, 2025, 2:38 PM IST
Team Angel One
We're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
