Top Myntra seller’s revenue hikes in one year

Tech Connect Retail, the largest seller entity on Myntra has seen a rapid growth in its revenue at Rs 2,485 crore for the financial year 2017, compared to just about Rs 1.3 crore during the year-ago period.

As per the reports, Tech Connect has generated 100% of its revenues from retail sales through e-commerce. The Flipkart-owned Myntra used to register the bulk of its sales from Vector Ecommerce, but it started reducing its dependence on the seller and brought the Kapoor-promoted Tech Connect as a prime merchant on its platform. Vector E-commerce has reduced its exposure to Myntra significantly.

Tech Connect became a top seller during the course of the last financial year, which has resulted in such a spike in its revenue. Unlike Flipkart, Myntra works closely with a few select sellers. TOI reported last week that Myntra saw its revenue surge about 90% at Rs 2,000 crore after slower growth in the financial year 2016.

Myntra’s affinity to Tech Connect was also attributed to the company looking to meet government guidelines which said that one seller cannot contribute more than 25% of an online retailer’s business.

Tech Connect’s endorser Sanjay Kapoor declined to comment on the fast growth the company has seen within a span of a financial year. An email sent to a spokesperson at Myntra did not elicit a response.

As per the documents, the company has also made a profit of close to Rs 12 lakh for the financial year 2017 compared to a loss of Rs 28 lakh in the previous year.

People aware of the matter pointed out that Tech Connect has close relations with other sellers on the platform aiding its growth.