Fashion e-commerce platform Myntra expects its sales to grow 25 times during its ‘End of Reason’ sale (EORS) to be held between January 3-5, 2017.
The event will also help the Flipkart-owned company recover from the impact of demonetisation, which saw its growth rate falling to about 50 percent.
“We are expecting 25X sales (during EORS) compared to that on a normal day. We also expect this sale to see 2X growth over the previous edition that was held in July 2016,” Myntra CEO Ananth Narayanan told PTI.
He added that about 15 million people will shop on its platform on the three sale days. In its fifth edition, EORS is held twice a year to coincide with the spring-summer and fall-winter collection.
“About 1,800 brands will be part of the sale offering 50-80 percent discount. This event will also help us acquire 5-6 lakh new customers,” he said.
While Narayanan declined to comment on revenue expectations from EORS, he said the three sale days are expected to make up about 50 percent of its topline for the month of January.
Asked about the impact of demonetisation on its business, Narayanan said the company saw its growth rate falling to 50 percent year-on-year in the days that followed the government’s announcement of scrapping old Rs. 500 and 1,000 notes.
“We did not de-grow but our growth rates fell from almost 100 percent to 50 percent y-o-y. We expect to return to 90-100 percent growth rates in the coming month,” he added.
Narayanan said the company will offer benefits like additional discounts for customers using digital modes of payment.
Myntra expects 45 percent of the sales to come from tier II and III cities. For the fiscal ended March 2017, Myntra is eyeing the $1 billion mark.