Flipkart, the largest e-commerce portal of the country, is planning to have a strategic partnership with online ticketing platform BookMyShow. The move provides Flipkart with an opportunity to expand its business and create integrated services that challenge the rivals Amazon and Paytm.
However, Flipkart will have to acquire some stakes of BookMyShow to close the deal. Now Network18, ran by Reliance, has a whopping 39% share in BookMyShow.
Flikart’s association with BookMyShow is likely to increase its sales as the latter is the most preferred online ticketing platform in India. If the deal goes through, Flipkart could find a new group of potential consumers among BookMyShow users.
Since its launch, Flipkart has acquired or invested in over 20 firms including its earlier competitors like Myntra and Jabong. The company had recently fetched an investment of $2.5 billion from SoftBank.
BookMyShow was founded in 1999 as an online ticketing platform for films as well as special events like plays and stage shows. It has been collaboratively working with different multiplex chains and event management companies across India.
With this partnership, the net value of BookMyShow is expected to reach $700 million. But both the companies are yet to give a clear picture of the deal. The move will certainly reinforce Flipkart’s strategies to attract elite consumers.