Amazon to open 10 new India warehouses; offers insurance

Amazon.com Inc's India unit announced its plan to open 10 new warehouses in the country and begin offering auto insurance, in moves that will help the e-commerce giant widen its reach in a key growth market.

Amazon will now have over 60 warehouses or fulfilment centres across 15 Indian states with an area equivalent to more than 100 football fields, said the company.

It plans to add these new warehouses in 10 Indian cities including Delhi, Mumbai, and Bengaluru, it added.

India has emerged as one of the fastest-growing markets for US-based Amazon, although the company had to face the most regulatory hurdles, and a backlash from traders over accusations of offering discounts.

Amazon also said that its local payments arm, Amazon Pay, has partnered with private firm Acko General Insurance to offer car and motor-bike insurance. This marks India as the first market where Amazon is offering such a financial service.

The insurance service is available on Amazon's app and mobile website.

Customers of Amazon's Prime loyalty programme -- which promises free movies and music streaming as well as faster deliveries for an annual 999 rupees (US$ 13.36), will also get extra benefits and more discounts, Amazon said.

The service will compete with local rivals including SoftBank-backed digital payments firm Paytm and insurance aggregator Policybazaar.
 

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.