- Amazon India chief resigns amid competitive pressures.
- Company struggles in smaller markets against local rivals.
- Quick commerce firms challenge Amazon’s urban dominance.
Manish Tiwary, Amazon’s India head, is departing the company to pursue external opportunities.
This move comes at a crucial juncture for the e-commerce giant, which faces mounting pressure from competitors in one of its key international markets.
Amit Agarwal, who oversees Amazon’s emerging economies initiative, will remain closely involved with the Indian team.
Small town struggles
Despite investing over $7 billion in India, Amazon is encountering challenges in penetrating smaller cities and towns.
Domestic rivals Flipkart and Meesho have established stronger footholds in these areas, leveraging their product selection for price-sensitive customers and more developed logistics networks.
Morgan Stanley analysts report that Meesho has surpassed Amazon in mobile app monthly active user share among e-commerce apps in India.
Quick commerce quandary
In urban India, Amazon faces fierce competition from quick commerce firms like BlinkIt, Swiggy, and Zepto, which offer deliveries in as little as 10 minutes.
Flipkart has also entered this space, launching its quick delivery service in Bengaluru.
Despite these challenges, Amazon remains committed to the Indian market, emphasizing its focus on innovation and digital transformation.