Amazon and Flipkart are intensifying competition for sellers by reducing or eliminating commissions on a wide range of products, a strategy aimed at expanding their presence in India's smaller cities and towns, where online shopping is witnessing rapid growth.
The two e-commerce giants have cut seller fees twice since last year for products priced below Rs 1,000 across multiple categories, according to a Times of India report. Lower-priced products account for a significant share of purchases in tier two and smaller markets, helping platforms drive higher sales volumes. Earlier this month, Flipkart also removed commissions entirely for sellers in the fashion category. Typically, sellers on Amazon and Flipkart pay the platforms a commission on every product sold.
