Mobile companies advise against buying from online shopping sites!

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uziel

Techie The Grandos
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Recently I read a news that some of the mobile companies have issues with online portals selling their products thru ecommerce portals like Flipkart, Indiatimes, Snapdeal etc.

The link is http://timesofindia.indiatimes.com/...-on-e-commerce-sites/articleshow/36356457.cms

The possible explanation is to preserve interest of the physical shop retailers!! If the online portals are selling their items with genu9ne bill and sell genuine sealed products whats the issue here?? The companies are mauled by the discounts these portals offer. So if the consumer benefits its should be a win-win for both so where is the issue?
 
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Its the threat to physical stores that they think they will go out of business.
So they & other industries like laptops are arm twisting companies to not honour online purchases.
In India, online sales amount to a less % compared to stores but this % is increasing rapidly.

If the retail stores keep margins low & focus on volumes then they can succeed . Look at Alfa in Mumbai. Perfect example.
 
Current situatiuon is thet many times the customer goes to the shop, checks out the device, buys it online, or asks the shop guy to match the online price. Many times to show increase in top-line the portals take hit to ensure the sale goes through.
So a bunch of the dealers/shopkeepers might have complained, when there are enough number of complaints the companies have to demonstrate to the dealers that they are being taken care of, hence the letters follow.
 
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