Future group, a Mumbai-based Indian conglomerate, cuts down on Retail 3.0 e-commerce departments and sheds 350-400 workers, Livemint reported Sunday (Jan. 19), citing four sources who were former employees.
The layoffs have affected sales, product development, marketing and ground operations and have taken place in recent months, two sources said. The company has also closed numerous EasyDay stores, he added 140 shutters in November. Those closures were part of the current restructuring, the source said.
The EasyDay app was launched in 22 stores in northern India, but never made a beta, two sources said. As stores began to close, shoppers began to demand a refund.
“The idea was to turn the entire Future Group consumer journey into the online world,” Kishore Biyani founded 2017 in Retail 3.0.
By 2018, the company had 500-600 employees developing digital assets for Retail 3.0. Amazon also acquired a 9.5 percent stake in Future Group, valued at 2,500 crowns.
By 2019, Future Group has made the decision to dramatically reduce its digital strategy due to the slow delay in sales and financing.
Last week, the company announced that Amazon India will become an authorized online sales channel in its retail service.
The Research & Development Department – C&D (Consumer and Digital) Laboratories in Bengaluru – launched in April 2017.
“They (C&D Labs) were developing a map of the entire Future Group consumer journey … basically a psychographic analysis of the customer,” said the first source quoted earlier. “For example, if we knew the age, gender, and marital status of a customer, we could determine what kind of products could be marketed to him from a base in the prior history of similar customer orders.”
According to another source, the lab had about 150 people.
Stock in Future Retail rose 13 percent on November 29 after announcing that the Indian competition regulator had approved the deal, giving Amazon a minority stake in the company.