Offline Retailers launch protest against E-commerce companies

Offline shop owners are losing customers because
- they are charging too much for the same product.
- they follow very strict no-return policy. They just tell the customer to contact the manufacturer for warranty. And even start quarreling and screaming with bad words if the customer insists on returning the defective product.

Only yesterday I wanted to buy a WiFi router. The local shop is selling it in Rs. 1200 while the same TP-Link TL-WR740N Router is available on Flipkart in only Rs. 825. So I ordered it from Flipkart. If the local shop charged even 850 or 900 for it, I would have bought it.
 
While traveling back home from office a guy in cab was showing his new Redmi 1s, the driver took a look at it and was surprised to learn the price when he was told this was only available online probably realized how much the local dealers rip him off by selling crappy phones.
 
Would not be great news if you are a small shopkeeper. I mean I personally know the feeling. In the last 10 years, all the fields have been saturated by the branded companies leaving very little for the smaller players in the internet segment as well.
 
i have no pity for those who have so called exclusive Outlets....But yea..its hard for the small players...but they can join hands with e-stores...
 


nobody stopped them from opening a eshop. a dealer in lamington has a physical presence as well as a eshop and prices in both are usually the best u can get for computer spares. for 50 rs more he home delivers which is pretty cool.
 
the problem is that a shopkeeper selling what? 500 units a month does not have the same bargaining power with the supplier. so his purchase price is going to be higher than larger players. flipkart of course is probably getting the same devices at much lower prices. even if not, they can afford to sell the products at a loss to kill the competition. no i am not taking sides of the offline retailers. i am just talking about the market economics. i would hate to be in a city running an electronics store today :)
 

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