Meesho is India’s top downloaded ecommerce app in Q2, but lags on engagement

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Meesho was India’s top ecommerce app in terms of downloads for the second quarter of 2023, according to Data.ai. The low-cost B2C marketplace clocked in 30.2 million downloads for the period.

However, rivals Flipkart and Amazon – which came in second and third in terms of downloads – still have substantial leads over SoftBank-backed Meesho in terms of average monthly active users (MAUs), which indicates user engagement.

Amazon reported the highest MAU figures, reaching a total of 357.1 million. Flipkart follows with a marginal difference, boasting 342.5 million MAUs.

The news comes after Meesho said it had turned profitable in July, making it the first horizontal ecommerce company in India to be in the black. It’s a notable statement, considering rivals Flipkart and Amazon haven’t reached profitability.

In a tweet, founder and CEO Vidit Aatrey said Meesho posted a 43% jump in order volumes, with a 54% surge in revenues over the past 12 months.

However, investors told Tech in Asia that they remain cautious following a closer look at its numbers. While Meesho’s unbranded products, low prices, and zero-commission strategy are popular with small-town customers, its purported profits were less than 1% of monthly sales at best.

The company also did not disclose sales numbers between May to July 2023.

In terms of lifetime downloads, Flipkart leads the pack with 694.8 million as of September 10. Meesho did come in second in this metric, ahead of Amazon.

Reliance’s Ajio and Myntra, two other notable ecommerce platforms in the country, recorded lifetime downloads of 223.4 million and 269.7 million respectively.

Among Indian ecommerce firms, Snapdeal registered the fewest MAUs in Q2, amounting to 20.5 million. The platform also reported the lowest lifetime downloads, standing at 185.6 million.

See also: Investors remain cautious despite Meesho’s profitability claims