Homegrown e-tailer Flipkart is planning to capitalize on digital advertising to reach $200 million sales by March 2019. The online marketplace now has over 100 million registered users and it has generated the third-highest revenue (after Google and Facebook) from online ads in India in 2017.
“Over the next few months, we will be forging some interesting partnerships with a number of brands from different sectors, as we start opening up our platform,” said Prakash Sikaria, senior director and head of monetization and growth at Flipkart.
The company is planning to double its revenue from digital advertisements, especially video ads. Flipkart started focusing on ad sales in 2015 when the then CEO Sachin Bansal tried to restructure the company to make it an online marketplace that would generate billions of dollars in ad revenues from sellers and brands. However, the plan didn’t work out ans Sachin resigned from the CEO post.
Apart from ads from sellers on its platform, Flipkart also generates revenue through paid content from brands and by connecting advertisers with its shoppers.