Taking advantage of the online festive season sale frenzy, the e-commerce giant Meesho achieved an impressive milestone with 1.6 crore app installations during its highly successful ‘Meesho Mega Blockbuster Sale.’
Over the course of the 10-day sale, the company reported a staggering 120 crore user visits spanning various categories, including home and kitchen, fashion, beauty, and personal care (BPC). Additionally, the e-commerce platform experienced an average of 72 orders per second across these three categories throughout the festive sale event.
During the sale, the BPC category saw remarkable growth, exceeding 80%, while sales in men’s fashion and home decor categories surged by 90% and 75%, respectively. Furthermore, purchases of kids’ wear on the platform soared by an impressive 114% during the festive sale.
In a significant announcement, the company declared its ongoing profitability and positive cash flow, which has been consistent since it initially reported profitability in July this year. Nevertheless, the company refrained from disclosing any additional details.
At the same time, Meesho Mall maintained its momentum, experiencing a threefold increase in orders when compared to its typical business days. According to the company, a significant 70% of the orders placed on its in-app branded store were from first-time users.
The unicorn further asserted that, within its loyalty program, users submitted nearly 1.4 crore orders throughout the ten-day festive sale period. Notably, cities like Amravati, Aurangabad, Dehradun, Nellore, Solapur, and Warangal accounted for the largest share of orders for Meesho during this timeframe.
“… We are overjoyed by the success of our sellers. The significant increase in their sales has made the Mega Blockbuster Sale a success and is a testament to our commitment towards fostering the growth of small businesses,” said chief experience officer (CX) for growth at Meesho Megha Agarwal.
Before the sale, the company had successfully brought onboard close to 200,000 new sellers, and according to their reports, approximately 30,000 sellers achieved the “lakhpati” status during the sale event. It’s worth noting that there is no clear indication of whether “lakhpati” status pertained to order volume or actual profits.
Earlier, the e-commerce unicorn reported that it had garnered close to 100 million orders from customers during the pre-festive season promotions encompassing Onam, Raksha Bandhan, and Ganesh Chaturthi. Interestingly, its competitor and e-commerce giant Flipkart recorded a whopping 1.4 billion customer visits during its Big Billion Days festive season sale from October 8 to 15 this year.
Before the festive sale, Meesho expanded its platform to include non-GST registered sellers, aiming to boost its seller network.
Established in 2015 by Vidit Aatrey and Sanjeev Barnwal, Meesho operates on a zero-commission model within its e-commerce platform. The company boasts a seller base of approximately 1.4 million and a product catalog featuring 120 million items.
Supported by prominent investors including SoftBank, Sequoia Capital, Prosus & Naspers, and Meta, the e-commerce platform has secured over $1 billion in funding thus far.
Just last week, a stake in Meesho was acquired by investment giant WestBridge Capital through a secondary transaction, purchasing it from the company’s early backer, Venture Highway. This move resulted in the early-stage venture fund reaping a return of more than 50 times their initial investment from the stake sale.
Despite the company’s assertion of achieving profitability in July 2023, Meesho had reported a net loss of INR 3,247.8 million in FY22, marking a substantial 550% year-over-year increase.