Indian e-commerce giant Flipkart has officially shut down its subsidiary, ANS Commerce, leading to the layoff of its entire workforce.

Flipkart had acquired ANS Commerce in 2022. While the exact number of affected employees remains undisclosed, the company had a workforce of approximately 600 employees at the end of the 2022 fiscal year.

Flipkart Pledges a Smooth Transition for Employees and Stakeholders

Confirming the development, Flipkart issued a statement: “After a thorough evaluation, ANS Commerce, a full-stack e-commerce enabler acquired by Flipkart in 2022, has decided to cease operations. As we wind down the business, we remain committed to ensuring a seamless transition for all stakeholders, including employees and customers.”

The company further stated: “To minimize the impact on employees during this transition, we plan to offer internal opportunities at Flipkart, provide outplacement services, and offer severance packages.”

About Flipkart

Flipkart is an India-based e-commerce company founded in 2007 by Sachin Bansal and Binny Bansal. Initially launched as an online bookstore, Flipkart gradually expanded into a large marketplace offering products across various categories, including electronics, fashion, home essentials, and more.

In 2018, U.S.-based retail giant Walmart acquired a 77% stake in Flipkart for approximately $16 billion, making it the majority shareholder. This acquisition became one of the largest deals in India’s e-commerce sector.

Flipkart is one of India’s leading e-commerce platforms, competing with major players like Amazon India and Reliance Retail. The company also owns Myntra and PhonePe, among other subsidiary brands.

Russian e-commerce giant Ozon has announced an impressive revenue surge, exceeding 500% growth in 2024. The company’s revenue reached 40.1 billion rubles ($459.34 million), driven by improved monetization of its marketplace operations and the expansion of its fintech services.

Ozon Achieves Record EBITDA of $432.3 Million

Ozon reported a record-breaking adjusted earnings before interest, tax, amortization, and depreciation (EBITDA) of 40 billion rubles ($432.3 million). The company expects its adjusted EBITDA to rise to 70-90 billion rubles in 2025, reflecting confidence in its ongoing growth trajectory. This remarkable financial performance signals profitability, economic recovery, and a stable foundation for further development.

Marketplace Growth and Fintech Expansion Fuel Success

Ozon’s strong financial results underscore its evolving business model. The company has taken significant steps to enhance revenue from third-party sellers by refining commission structures, expanding advertising solutions, and optimizing logistics services.

Additionally, Ozon’s fintech division has played a pivotal role in boosting profitability. The company has significantly broadened its financial services, including consumer lending, payment solutions, and digital wallets, further strengthening its market position.

“Our outstanding 2024 performance reflects the strength of our platform and the effectiveness of our strategic investments,” said Ozon CEO Alexander Shulgin. “We remain committed to delivering innovative solutions for both sellers and consumers, ensuring long-term growth.”

Ozon’s 2025 Ambitions

Global marketplace has set ambitious financial goals for 2025, aiming to elevate its adjusted EBITDA to between 70 and 90 billion rubles. With a rapidly expanding customer base and a strong focus on technological innovation, the company is solidifying its presence in e-commerce and digital payments.

As Russia’s online retail sector continues its upward trajectory, marketplace is well-positioned to capitalize on new opportunities and sustain its growth momentum. The company’s commitment to expansion and innovation places it among the key players shaping the future of global e-commerce.

One of Germany’s largest online marketplaces, Otto, has announced plans to eliminate 480 call center positions, leading to the closure of several customer service locations across the country.

Otto is Experiencing Financial Difficulties

Otto has been facing ongoing financial difficulties. After opening its platform to third-party sellers in 2020, the company aimed to expand its marketplace to include sellers from across Europe by spring 2024. However, around the same time, Otto sharply increased its seller fees from €39.90 to €99.90 per month. In response to this price hike, nearly 1,200 sellers closed their accounts in the five months that followed.

AI Begins to Replace Human Customer Support

In a bid to cut costs, Otto has decided to scale back its customer service operations. The company no longer views traditional customer service as profitable, believing that phone support has become less relevant. Most customer inquiries and issues are now handled through emails, online forms, live chats, or AI-driven bots, reducing the need for a large human workforce.

13 Customer Service Centers to Shut Down by August 2025

As part of this downsizing, Otto plans to terminate at least 480 positions. The company has confirmed that it will cease operations at 13 customer service locations by August 2025.

700 Employees to Stay On as Cost-Cutting Continues

Despite the layoffs, Otto will retain 700 customer service employees. Those affected by the job cuts will receive severance payments, with the company already determining the maximum compensation amount. In addition to workforce reductions, Otto is reportedly exploring other cost-saving measures to stabilize its financial position.

E-commerce aggregator SellerX has announced plans to lay off one-fifth of its workforce. This decision will affect 170 employees out of a total of more than 800, as the company moves to reduce costs amid financial pressures.

Germany-Based Aggregator Faces Financial Challenges

SellerX, headquartered in Germany, specializes in acquiring and scaling Amazon brands. The company experienced rapid growth during the COVID-19 pandemic, taking advantage of the surge in online shopping. However, with the reopening of physical stores, many aggregators, including SellerX, have faced significant financial challenges.

Planned Auction Canceled Amid Debt Restructuring

In September 2024, financial institution BlackRock announced that SellerX had defaulted on its financial obligations. BlackRock had extended a loan of half a billion euros to the company. An auction was initially planned to liquidate SellerX’s assets, but the process was canceled as debt restructuring negotiations began. The talks concluded with a debt-to-equity swap, converting outstanding debts into company shares.

170 Employees to Lose Jobs

SellerX’s financial struggles appear to be ongoing. The company will now lay off 170 of its more than 800 employees—equivalent to 20% of its total workforce. CEO Olivier Van Calster stated, “We need to cut costs to achieve profitability.” He also emphasized that BlackRock fully supports the company’s new strategy.

Under this revised strategy, Seller X plans to streamline its operations and refocus on sustainable growth. This will involve downsizing both its workforce and brand portfolio. The company aims to reduce the number of brands it manages from 67 to just 19, marking a significant shift in its business approach.

Dutch online marketplace Bol.com had a highly successful year in 2024, setting a new record with €5.9 billion in net consumer online sales. The e-commerce platform’s revenue surged by 8.7%, reaching €3.1 billion. Notably, Bol generated more revenue from its direct sales than the combined total of all third-party sellers on its platform. This data suggests that Bol is shifting back to being an online store rather than primarily a marketplace.

From Marketplace to Direct Sales Growth

Originally launched as an online bookstore, Bol.com rapidly evolved into a comprehensive e-commerce platform. The company later pivoted to a marketplace model, emphasizing third-party sellers while stepping back from direct sales. However, recent figures indicate a shift in strategy.

Record-Breaking €5.9 Billion in Net Consumer Sales

Research conducted in 2023 showed that Bol’s direct sales accounted for 64% of the platform’s total revenue. That year, Bol’s total transaction volume increased by 4.9%. In 2024, its growth trajectory remained strong, with a 4.1% increase in transaction volume.

Bol’s net sales revenue, however, grew at a significantly faster pace than its overall transaction volume, rising by 8.7% to €3.1 billion. This trend underscores that Bol is outpacing its third-party sellers in growth. Two years ago, third-party vendors contributed approximately two-thirds (66% in Q2 2023) of Bol’s total transaction volume. Now, that share has dropped to nearly half. This decline is largely attributed to Bol’s increased direct sales, along with rising revenues from services such as advertising and logistics.

Decline in the Number of Third-Party Sellers

Bol’s parent company, Ahold Delhaize, has not disclosed specific revenue figures for these services. However, the number of third-party sellers on the platform has declined in recent years. While Bol had approximately 52,000 third-party sellers in mid-2023, this number dropped to 47,000 by the end of 2024. During this period, the platform expanded advertising options for its business partners.

Bol not only outpaced its third-party sellers but also surpassed the overall growth of the Dutch e-commerce market. This shift signals a significant transformation in Bol’s business strategy, reinforcing its dominance in the industry.

Online shopping platform Temu is altering its supply chain strategy in response to new tariffs imposed by the Trump administration. The company plans to shift a significant portion of its supply chain away from China due to the new tariffs introduced by former U.S. President Donald Trump. This move could result in an increase in prices for the budget-friendly shopping app.

Temu, owned by PDD Holdings, is moving away from its original model, which provided control over pricing, shipping, and marketing. Instead, the company is transitioning to a “semi-supervised” model, which allows sellers to manage bulk shipments to U.S. warehouses.

This change in the supply chain could have widespread effects on all of Temu’s U.S. operations. Due to the high delivery costs and the potential loss of logistics efficiency previously offered by the company, Temu may see higher prices on its platform. This shift coincides with potential changes in the U.S. “de minimis” rule, which could affect both Temu and its competitor Shein.

Price Increases Likely on Temu

Temu has not yet made the transition to the “semi-supervised” model mandatory. However, some Temu sellers have been informed that those who join the new model will be given priority. The company ultimately plans to shift all of its U.S. operations to this new model.

This change poses a risk of price inflation on the marketplace owned by PDD Holdings Inc., as sellers may no longer benefit from the shipping and transportation economies offered by Temu. Additionally, they may be forced to absorb the higher delivery costs resulting from Trump’s punitive measures.

By making this move, Temu distances itself from the model pioneered by Amazon.com Inc., which maintains significant control over its logistics and delivery network. This network supports Amazon’s market share, which holds 38% of online spending in the U.S.

Both Temu and its competitor Shein, China-based businesses, have surged in popularity thanks to American consumers’ demand for cheap products. However, they now face the termination of the “de minimis” rule for small parcels. Although the change has been delayed, the loss of this rule will have a significant impact on the majority of products sold by these companies in the U.S.

Global e-commerce giant Amazon has launched a pilot of its “Amazon Now” service in Bengaluru as competition intensifies in the quick commerce sector. The quick commerce service, Amazon Now, arrives at a time when the expansion of these platforms is gaining popularity, especially among urban consumers.

An Amazon spokesperson stated, “Amazon has always focused on offering a wide range of products and providing fast, convenient delivery. We are constantly innovating to offer even greater value to customers. This limited pilot in select Bengaluru zip codes is a test to enable faster delivery of everyday essentials that customers often need quickly from our sellers.”

Amazon Now Promises 10-Minute Deliveries

While Amazon already offers grocery and food delivery with a two-hour delivery promise through Amazon Fresh, Amazon Now introduces a 10-minute delivery guarantee, marking the company’s first entry into the quick commerce space. Amazon is also collaborating with other logistics providers to ensure rapid deliveries.

Flipkart Minutes Expands Beyond Grocery

Before Amazon’s move, local e-commerce competitor Flipkart launched Flipkart Minutes in August last year, aiming to maintain its market share as existing quick commerce platforms expanded into categories beyond groceries. Tata Digital, through its e-commerce super app Neu, has also launched its own quick commerce service, Neu Flash, powered by Big Basket.

Blinkit Faces Margin Decline

Blinkit, one of the leading players in quick commerce, slipped into losses in the fourth quarter of December 2024 after previously posting profits. This decline in profit margins was attributed to the expansion of dark stores, which negatively impacted margins.

Meanwhile, Swiggy’s Instamart service saw its margins shrink in the third quarter of FY25 due to higher customer acquisition costs, market expansion, and growth expenses.

Chinese e-commerce platform Temu is preparing to enter the South Korean market directly, with plans to develop an integrated logistics system for product deliveries in the country. According to a report by the South Korean news agency Yonhap, Temu, the e-commerce brand owned by PDD Holdings Inc., has begun hiring employees for key roles in human resources, management, public relations, marketing, and logistics in South Korea.

The platform is also planning to develop an integrated logistics system to handle product deliveries within South Korea. Currently, local logistics partners such as CJ Logistics and Hanjin Logistics are working with Temu to manage its operations in the region.

In July 2023, Chinese e-commerce platform launched a Korean-language online shopping platform, further expanding its footprint in the country. The company established its business entity, Whaleco Korea LLC, in February 2024. However, Whaleco Korea has yet to hire local employees.

Temu is the most downloaded app among adults in South Korea

By January 2025, Temu ranked third in terms of monthly active users in the South Korean market. Moreover, it became the most downloaded app among South Korean adults in the first 11 months of 2024, according to reports.

Industry experts believe that Temu’s recent moves reflect a strategy similar to that of another Chinese e-commerce giant, AliExpress, in South Korea. These steps are seen as part of platform efforts to localize its operations and prepare for a direct market entry.

E-commerce giant Amazon recorded growth in Germany and the United Kingdom in 2024, surpassing the overall market growth rate. The company reported revenues of €39.6 billion in Germany and €36.7 billion in the UK. Despite competition from Chinese rivals, the American e-commerce powerhouse continues to hold its dominant market position.

According to Amazon’s annual financial report, the company generated €617.5 billion ($638 billion) in revenue in 2024, marking an 11% increase compared to 2023. Meanwhile, its net profit doubled, reaching €57.1 billion ($59 billion).

$247 billion in online store sales

Additional key highlights from Amazon’s financial report include:

• Revenue from Amazon Web Services (AWS) and advertising services increased, while online store sales rose by 6.5% to €239.1 billion ($247 billion).
• Third-party seller services grew by 11.5%, reaching €151 billion ($156 billion).
• Germany, the UK, and Japan were highlighted as key markets contributing significantly to consolidated net sales.
• Revenue from the “Rest of the World” segment increased by 14.5%.

Germany remains Amazon’s most important international market

Amazon continues to lead Germany’s e-commerce sector. The company’s German operations accounted for 6.4% of its total revenue, generating $40.9 billion. However, its growth rate in Germany slowed compared to the 11.9% increase recorded in 2023. This previous surge was partially driven by a strong 20.6% rise in retail media sales.

As Amazon’s largest international market, Germany is also the top European battleground for rapidly expanding Chinese platforms such as Temu and Shein. After two years of decline, the German e-commerce market showed slight growth last year, and Amazon outperformed the overall market trend.

Double-digit growth in the UK

In the UK, Amazon achieved a double-digit revenue increase of 12.7%, outpacing the global e-commerce growth rate. The company’s UK revenue reached $37.9 billion, with its growth rate exceeding the 11.7% increase recorded in 2023.