Flipkart and Amazon are facing heat from online sellers for using their private labels to bring down prices of products sold on their platforms, which small sellers say is affecting their businesses.
The All India Online Vendors' Association (AIOVA), which represents around 2,000 online retailers, in a letter to the Competition Commission of India, alleged that captive sellers such as Amazon’s Cloudtail and Flipkart’s WS Retail are being given special benefits that the rest of them are not.
Flipkart’s largest seller, WS Retail posted revenues of Rs 13,921 crore in the year that ended March 2016, making it the largest