How no-cost EMIs are dramatically changing e-commerce landscape

Nearly 20% of gross merchandise value is being financed by various credit card companies, banks and e-wallets

No-cost equated monthly instalments (EMIs) offered to consumers by credit card companies and NBFCs are dramatically changing the e-commerce landscape. 

As much as 20 per cent of the gross merchandise value (GMV) of sales made on e-commerce platforms is being financed through the no-cost EMI route.  Just two years ago, the share of such sales was 4 to 5 per cent, according to estimates by finance and e-commerce companies that Business Standard spoke to.  

E-commerce major Amazon.com said that during its big sale that concluded this month, as much as three of the four EMIs taken by consumers were no-cost