Kidswear on Amazon Fashion reported 80 per cent year-on-year growth
in 2017 over the previous year, in terms of units sold, fuelled by a
sharp spike in demand from tier II and III cities.
Tees, shirts
and dresses topped the charts as the most popular items in these cities,
followed by sneakers, sports shoes and backpacks, with the largest
segment of demand coming from the 8-12-years age group, said Arun
Sirdeshmukh, Director, Amazon Fashion.
"We have seen a tremendous
increase in kidswear shopping in tier II and III cities, contributing 60
per cent to the total kidswear sales. For instance, 60 per cent of the
sales for large kidswear brands on our marketplace, such as GAP and
Marks & Spencer, is from tier II-plus cities," he said.
Sirdeshmukh
sees a bigger uplift from the East, which has opened up a new customer
segment for Amazon. "This is because the ease-of-doing-business in the
East has improved after the introduction of GST, making it easier for
sellers to move and ship goods to the Eastern States."
This spike
in demand is in line with estimates from research firm RedSeer
Consulting, which reveals 63 per cent of new customers in the e-commerce
industry came from tier II and III cities in 2017, and this percentage
is set to further increase to 65-70 per cent in 2018.
Kids ethnic
wear category was one of the most searched sub-categories in 2017.
Character merchandise with popular characters like Mickey and friends,
Avengers, Superman, Spiderman ad Chhota Bheem also did brisk sales.
Since
its launch of kidswear for 0-14 years in May 2014, Amazon Fashion has
grown the selection to 1.5 million SKUs (stock-keeping units) of
clothing, shoes and accessories, offering a mix of 300 brands and over
9,000 sellers. The top selling brands on the site are a mix of
home-grown and international brands. Following the commercial
partnership with Shopper’s Stop, it on-boarded close to 35 brands with a
selection of 20,000 products with eight private labels offering
apparel, shoes, handbags and accessories.