Indiamart To Launch Online Retail Marketplace Tolexo & Raise $100 mn

NEXTBIGWHAT,

Online B2B marketplace for small and medium businesses, Indiamart is now venturing into online retail marketplace through Tolexo.com. Before you start making guesses, Tolexo isn’t yet another competitor for Flipkart and Snapdeal. The company says that they will be selling a different category of products.

Registered as a separate entity Tolexo Online Pvt Ltd. the service will go live in about five weeks. Word is that it might sell home, office and industry supplies (via).

IndiaMART Website

Backed by Intel Capital and Bennett & Company Ltd, Noida-based IndiaMART is an online listing platform for small and medium businesses. It attracts over 1.6 million visitors with daily 9.3 million page-views. It has over 1.5 million registrered users.

IndiaMART lists sellers from in categories ranging from cosmetics to industrial design, clothes, auto parts and pharmaceuticals.

With Tolexo, the company wants to make its service more easily accessible to both the consumers and sellers. The co-founder and director of Indiamart.com, Brijesh Agrawal has stated that Tolexo won’t be competing with Flipkart and other similar e-commerce sites.

Tolexo will likely sell basic hardware to furniture to auto-parts. Many of these products will be exclusively available on the site. Though, when asked by LiveMint, Agrawal declined to comment on the categories.

How is Tolexo different from Flipkart?

As of now, most of the e-commerce services are offering the same set of products – electronics, books and apparel. Agarwal says that Tolexo will be focusing on things that no one else is offering. “Everybody is busy serving what is probably the ‘hottest’ category at the moment and the kind of fight these companies are giving each other is making the whole business proposition unviable”. However the company could expand later on.

How hard will it be for Tolexo to set things up?

Since IndiaMART already maintains a large merchant base, it won’t have to spend much money on attracting sellers, believes Subho Ray, President of the Internet and Mobile Association of India. But at the same time, with Tolexo, the company will need to assess the consumer-based needs more effectively.

Agarwal expects Tolexo to raise about $100 million over the next two to three years.

Read the story at http://www.nextbigwhat.com/indiamart-marketplace-tolexo-297/