Ajio Business Model – Reliance Industries, India’s largest telecom company and chain of retail outlets, owns the fashion and lifestyle brand AJIO. The best fashion at the best pricing is what AJIO offers its customers. Today, the company has become the ultimate fashion destination for millions of its clients thanks to the hand-selected and distinctive styles it delivers.
Launched in 2016, the company presents Amazon and Flipkart with fierce competition, largely due to the business model it has chosen. Reliance adopted the O2O business strategy, which is normally used by Alibaba, to launch and make its online retail store AJIO a big success.
O2O Business Model of AJIO
The online-to-offline business model, or O2O model, is the one that is focused on offline firms. The primary objective of this business strategy is to promote real establishments on online marketplaces. Any e-commerce company that want to employ the O2O business model must create a website to promote its products. This business strategy has been employed by Reliance to establish and successfully run AJIO.
The Beginning of AJIO
In Gujarat, Reliance and JIO as AJIO introduced the online services for the first time. The company originally started selling groceries and basic food items via the app to put this idea into practise. The organisation made advantage of its contacts to invite nearby merchants to sign up for the platform in order to further leverage the business. As a result, AJIO was further able to launch the platform’s fashion, leisure, and electronics sales.
How does the AJIO Business Model Function?
The AJIO-registered traders are able to accept orders online and fulfil them both online and offline. Additionally, AJIO provides in-store pickup so that consumers may browse the inventory, make their selections based on their needs, and get assistance from the store. This shortens the delivery wait time and increases sales. Additionally, customers can quickly make payments thanks to online payment options. The platform increases its revenue thanks to the timely sales. [Ajio Business Model]
Marketing Strategies used by AJIO Business Model
The very effective AJIO business model requires the employment of particular marketing techniques. Several of these tactics are as follows:
Social Media:
Social media platforms such as Facebook, Twitter, and Instagram provide a marketing strategy for promoting goods and services. Through the use of social media, AJIO is able to reach a sizable audience with its marketing efforts and generate significant revenue.
Artificial Intelligence:
Artificial intelligence is another tool AJIO uses to monitor and study customer behaviour. This further enables AJIO to ensure that it enhances its offerings in accordance with consumer demands.
Offers and Discounts:
It gives deals and discounts on its products in an effort to attract and keep customers. The deals and discounts are incredibly alluring, which not only boosts product sales but also assures that users keep coming back to the website.
Benefits of AJIO Business Model
The benefits of the O2O business model utilised by AJIO include
- expands the business’s reach.
- If the platform chooses in-store pickup, the cost of shipping is reduced.
- The strategy provides customers with ample time and options to shop online. The local merchants are able to manage their sales as a result of the decreased in-store visitors.
- Customers who choose in-store pickup have a fair opportunity to try things before making a purchase, which lowers the rate of product returns.
Growth of AJIO [Ajio Business Model]
Today, AJIO has expanded into the premium market sector. By signing agreements with prestigious companies like Superdry, GAS, Steve Madden, Dune London, and many more, AJIO has been able to close lucrative business arrangements. With the partnerships with premium labels, AJIO also provided significant pricing in 2017, which allowed the platform to have a 78% year-over-year increase. The platform continues to use this strategy to ensure its success.
