Flipkart Integrates AI Tools to Boost Small-Town Sellers Across India

Flipkart has expanded the use of Artificial Intelligence (AI) tools for sellers from smaller towns and cities, as competition in India’s online retail market continues to increase, as per news reports. 

The company said the tools are being introduced across its network of around 1.4 million sellers. These systems provide information related to pricing, inventory management, demand forecasting, and customer buying patterns through dashboards available in Hindi and other regional languages. 

Growth Coming from Non-Metro Markets 

India’s e-commerce market is projected to grow to nearly $250 billion by 2030 from around $90 billion at present, according to a Google and Deloitte report. The report noted that future growth is expected to come mainly from Tier II, III, and IV cities. 

Flipkart said about 30% of sellers on its platform now come from these markets. Sellers from Tier II locations recorded growth of more than 80-85%, while businesses in Tier III and IV towns reported growth exceeding 40-45%. 

The company added that new seller registrations from smaller markets have doubled over the last 2 years, alongside an increase in product listings across categories such as apparel, handicrafts, packaged foods and personal care. 

Seller Tools And Local Expansion 

According to the company, sellers can use voice-enabled systems to check demand trends, pricing data, and expected sales patterns. Some businesses have also used the tools to identify seasonal demand and plan production accordingly. 

Flipkart said product onboarding has been simplified, while automated rate cards now include information related to commissions, shipping charges and return costs. The company’s ‘Next Gen programme’ provides region-wise demand trends and customer preference data. 

In Saharanpur, Uttar Pradesh, the company set up a seller support centre focused on wooden handicraft businesses. Flipkart said participating sellers recorded nearly tenfold growth within 3 months of joining the programme. 

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Conclusion 

The company said growth in seller registrations and product listings is increasingly coming from Tier II, III and IV markets. AI-based tools are being used to support inventory, pricing and demand planning. 

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