ITC Halts its D2C E-commerce Platform, Explores New Online Strategies

ITC Ltd. has decided to discontinue its direct-to-consumer e-commerce platform, itcstore.in, which it had launched in October 2020 during the Covid-19 pandemic. Initially introduced to meet the sharp rise in online demand, the platform has now been deemed to have “served its purpose” by the company. With evolving consumer behaviour and the dominance of major third-party platforms, ITC has shifted its focus to more effective digital distribution channels.

COVID Response Turns Into Strategic Realignment

The e-commerce platform was launched as a pandemic-time solution, aimed at enabling ITC to reach consumers directly when physical movement was restricted. “It has been a strategic endeavour to enhance the omnichannel reach of ITC’s Trade Marketing & Distribution infrastructure across physical and online channels, and given that today a large number of products are available in the popular e-commerce platforms, the online ITC store has ceased operations,” as reported by NDTV Profit

While the initiative was not meant to compete with giants like Amazon, Blinkit, or Instamart, it served as a tool for acquiring new customers and saving on distributor and retailer margins. The platform also allowed ITC to showcase its full product portfolio and offer discounts of up to 40% on a wide range of items, from personal care to packaged food.

Third-Party Channels Now in Focus

The company has now turned its attention toward leveraging third-party platforms for online growth. According to the spokesperson, ITC has seen a 50% growth in sales through platforms like Eternal backed Blinkit, Swiggy Instamart, and Amazon. This strategic pivot highlights a growing trend among FMCG players, who are realigning their online strategies for broader reach and efficiency.

Similar to ITC, several other packaged goods companies like Nestle, Amul, Dabur, and Marico have also launched their own online stores in the post-COVID environment. However, many are now re-evaluating the sustainability of running dedicated e-commerce portals in a market increasingly dominated by quick commerce and large aggregators.

Read More: India Set to Become $5 Trillion Economy by 2027: Piyush Goyal!

ITC Share Price Performance

As of 26 June 2025, 9:13 AM, ITC shares are trading at ₹417.20 per share, a 0.20% increase.

Conclusion

The discontinuation of itcstore.in signals, ITC’s transition from managing its own online sales platform to prioritising partnerships with established digital marketplaces. As consumer buying habits stabilise post-pandemic, the FMCG giant appears committed to optimising its presence where the digital footfall is already thriving.

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.