Reliance Industries stock jumps 3% after report says RIL best positioned to lead India’s e-commerce market

Reliance Industries Ltd (RIL) inventory ended 2.79 per cent larger, at Rs 2,506.55 on BSE. RIL’s shares touched an intraday excessive of Rs 2,509.

RIL is greatest positioned to guide India’s $150 e-commerce market in the long term resulting from its proudly owning the potent mixture of the biggest retail retailer community, dominant telecom operations and robust digital media, acknowledged a report by US asset administration agency Bernstein Analysis.

The report mentioned that India is evolving right into a three-player market with Amazon, Walmart and Reliance.

In keeping with Bernstein, RIL’s disruptive playbook — built-in offline + on-line + prime — makes firm the strongest competitor to Amazon and Walmart.

“We consider Reliance Retail/Jio is the best-positioned participant within the largest and fastest-growing e-commerce market. The benefits of its retail community, cell community, digital ecosystem and ‘house area benefit’ in a famously complicated regulatory and working setting imply in the long run, it’s going to seemingly declare the lion’s share of the USD 150 billion-plus e-commerce market,” the report added.

Reliance Jio has 430 million cell subscribers, and RIL’s retail arm has 18,300 retail shops in India (accounting for $30 billion in gross sales).

The brokerage’s report mentioned that RIL has seen this coming. “Since 2015, RIL has constructed: (1) Reliance Retail into an 18,000+ retailer nationwide chain with GMV of USD 30 billion, (2) a dominant 4G community (430 million subscribers) in Reliance Jio, and (3) a robust digital media platform OTT/IPL, music streaming, information by strategic acquisitions,” it mentioned.

“This makes RIL the one Indian participant to have an built-in (offline + on-line + prime) providing and the power to compete with international tech giants (Amazon, Walmart),” Bernstein mentioned.

(With PTI inputs)