Aditya Birla Group will shut down its online shopping portal Abof.com by the end of this year, weighed down by intense competition from the sector giants like Amazon, Flipkart, Snapdeal and Paytm Mall.
Started in October 2015, Abof.com has portfolio across clothing, footwear and accessories besides a collection of the group’s own Clothing brands like Allen Solly and Peter England etc.
“There are different purposes behind the conclusion. To begin with, the segment is not developing to the level it was normal, and besides, the arrival on speculation is for some time attracted undertaking and to keep placing cash into the assets is not an exceptionally wise thought,” Aditya Birla Group HR executive Santrupt Misra told PTI.
Different variables, Misra stated, was profound reducing and offering products below the cost, which does not increase the value of the business. At present, there are around 240 employees working with Abof.com.
At the point when gotten some information about the eventual fate of the employees, Misra stated: “We will attempt and fuse them in the gathering’s different business as much as it would be conceivable and they will be kept on the payroll for four and-a-half months.
“Giving them salaries and releasing is the easiest thing to do but we don’t want to do that in first place,” he said, adding that those who want to stay in the e-commerce domain would be helped further in finding a new job with the existing players.
Without specifying a particular date, Misra said the process of winding up has technically started on Friday and it would take about 4-5 months for the entire process.