On April 12 2021, Flipkart which is India’s one of the leading e-commerce firm announced a partnership with the Adani group, which is a strategic and commercial partnership. Adani Group is one of the largest multinational infrastructure companies in India. Let’s look at the below article to get an understanding of how the Adani Group and Flipkart partnership will benefit between Flipkart in scaling its operation.
Focus of Adani Group and Flipkart
How will Flipkart Benefit from the Partnership
Flipkart's New Data Center
What Adani Group said about the partnership
What Flipkart said about the partnership
FAQ
Focus of Adani Group and Flipkart
In this partnership on a strategic and commercial basis, Flipkart is planning to work with Adani Logistics Limited. Adani Logistic Limited is India’s largest diversified end-to-end logistic service provider in the country. It is a subsidiary which is fully owned by Special Economic Zone limited and Adani Ports.
The main focus of this partnership is to strengthen the supply chain infrastructure of Flipkart and to further concentrate on enhancing the ability of the company to provide the services to its rapidly growing customer base in India.
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How will Flipkart Benefit from the Partnership
As a part of the partnership, Adani Logistics will be constructing a 534,00 sq ft fulfillment center in Mumbai which is their upcoming logistics hub. This will be leased to Flipkart to solve the growing demand for e-commerce in the Western India. This will help in supporting the access for the market of thousand of various sellers and MSMEs in the particular region.
Leveraging the state-of-the-art technologies, the center is expected to be functional in the Q3 of the financial year 2022. The center is expected to have the capacity to house the inventories of 10 million units of sellers at any point in time. The facility is also expected to enhance the employment opportunities by providing 2,500 direct jobs and thousands of indirect jobs.
Flipkart's New Data Center
With the partnership with Adani Group, Flipkart will be setting up their third data center at AdaniConneX Private Limited which is a Chennai-based facility. Flipkart will get a chance to leverage AdaniConneX’s world-class expertise and industry-leading data center solutions regarding to technology.
AdaniConneX is a new joint venture that is formed between EdgeConneX and Adani Enterprisers Limited.
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What Adani Group said about the partnership
The chairman of Adani Group, Gautam Adani had posted a tweet which said that Flipkart which is a homegrown e-commerce giant will be their new strategic and commercial partner. He also added that in the partnership between both the companies, AdaniConneX will focus on building their new Tier 4 data center.
Homegrown e-commerce giant Flipkart is our new strategic partner. In the two-prong partnership, AdaniConneX will build their new Tier 4 data centre and Adani Logistics, India's leader in logistics, will build their 534,000 sqft fulfilment centre. Thousands of new jobs in Mumbai.
— Gautam Adani (@gautam_adani) April 12, 2021
He also said that Adani Logistics which is India’s leader in the logistic industry will build a 534,00 sq ft fulfillment center and this new partnership will provide thousands of new jobs in Mumbai.
Karan Adani who is the Chief Executive Officer of Adani Ports and Special Economic Zone, speaking about the strategic partnership and commercial partnership between both the companies said that, He was delighted to see two of India’s fastest-growing businesses coming together.
He said this partnership will contribute towards building some of the most critical as well as state-of-the-art infrastructure that is required by the nation. He also added on saying that this is what Atmanirbharbharat should be all about.
Karan Adani added on saying that, the broad range of partnership across their logistics and data center business is considered to be a unique business model and that he looks at this as one of the great opportunities to service the digital infrastructure requirements as well as the physical infrastructure requirements of Flipkart.
He said that, Flipkart has been instrumental in defining the adoption of e-commerce in India. The definition is both through the value Flipkart creates and the innovation of technology to serve its customer base.
Karan Adani also added on saying that he is looking forward to a fruitful and longer partnership with the company as they are focusing on learning from each other as well as leveraging their mutual strengths to prioritize the customers and to focus on developing the MSME sector of India.
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What Flipkart said about the partnership
Kalyan Krishnamurthy who is the Chief Executive Officer of Flipkart Group said that, The Adani group is unmatched in the way they have gone towards building various infrastructure across India. He said that what Adani group had bought to them was a unique combination of logistics, green energy, data centers and real estate infrastructure capabilities.
Kalyan Krishnamurthy added on saying that, he is delighted to initiate their association with Adani Group which will strengthen their technological infrastructure and Supply Chain management.
Kalyan Krishnamurthy said that, At Flipkart Group they are focused on ensuring that their customers get access to a wide range of products which will be made available by sellers across the country as they will be concentrating on continuous innovation to increase the affordability.
He said that their logistics network and technological stack are instrumental in making it a reality and these investments would help them strengthen their presence to support the MSME sectors in India for the sellers while also creating jobs and improving the growth.
FAQ
Is Flipkart Indian company?
Flipkart is an Indian e-commerce company headquartered in Bengaluru, which was acquired by Walmart.
How much is Binny Bansal worth?
The net worth of Binny Bansal is 120 crores USD as of 2021.
Who is the CEO of Flipkart in 2020?
Kalyan Krishnamurthy is going to be appointed as the new CEO of Flipkart.
How rich is Adani?
The net worth of Gautam Adani is US$ 57.1 Billion as of 9 April 2021.
Conclusion
We will have to sit back and observe the benefits of the strategic and commercial partnership of both the companies.
Author: Alan Joseph
Source : https://startuptalky.com/adani-group-flipkart-partnership/
Date : 2021-04-14T10:13:05.000Z