Now this month Myntra moved to APP only based platform. They would close down their website. So customers can now purchase through APP only. Myntra was doing good in the market, was way ahead of its competitors like Jabong and Snapdeal in terms of traffic and revenue, then why did they close their desktop business. I read various articles, talked to my friends who are developers in this industry and analyzed the things. Here is the key points that I want to share with my readers in this story. Read also Discount coupons & Online shopping
According to recent data, mobile users are increasing at a rate of 9-10% annually which is expected to reach to 730m by 2017 and by this time more than 40% of Indian population will have access to ecommerce which will be led by mobile users. There are other statistics which shows that mobile users will play a major role in $5b e-retail industry which is expected to touch $130b by 2020. Read also Essay on Online Shopping Market in India
So let’s point out major reasons behind Myntra’s strategy to go app only. In my opinion, “Why Myntra has gone for app only platoform” are:
1. Looking at the future scope: At I have mentioned above there is a huge potential in e-retail in India and major part will be played by mobile users. So Myntra is targeting them specifically. They want to sail through the rough road so that they can feel smooth surface in near future.
2. More traffic and overcoming search engine barrier: This could be another point they might have thought of. If you are having one app installed in your mobile, you would must go to that app before Googling it. Think of it in different perspective. Flipkart is parent company of Myntra. Of course it’s Flipkart’s decision to make Myntra app only so that they can follow the same in coming years. Now if you want to purchase a mobile set, you must Google it but if you have Flipkart installed you would certainly open Flipkart and Flipkart will overcome Google search and will get direct traffic.
3. Big customer database: When you install an app, it asks for your personal information like name, email, mobile, gender, location and age to register. Also some app asks you to share other information while installing the app like location, photos, contacts which desktop website don’t. So just by installing the app, you are sharing lot of data with these app and I have written another article on how well they use these data to personalize your webpage, email campaign and all. Read also Personalization Software Demo – A Tool in Online Marketing
4. Better utilization of resources: APP only platform will help Myntra to utilize its resources more efficiently. They can concentrate in one particular direction and this will give them competitive edge.
These all could be possible factors Myntra has considered before going for APP only platform. They might be thinking of future but in current scenario their strategy will be hit up-to an extent. We will see more coming in few months and the consequences it’s facing after this decision. What do you think about Myntra’s app only strategy. Please let me know your thoughts through comments and help me to add more points in the above list. Thanks for reading.
1. Myntra to Shut Down Website, Go App-Only on May 15
2. Is Myntra’s app-only approach the wave of the future?
3. Why Myntra’s App-Only Strategy Will Fail? – A Consumer Perspective
4. Number of mobile phone users in India from 2011 to 2017 (in millions)