The e-commerce fashion players Myntra and Jabing that have played a major role in the industry are reportedly merging and this has come days after Walmart put the two fashion businesses of the Flipkart Group under direct control of CEO Kalyan Krishnamurthy.
“Since Myntra’s purchase of Jabong in mid-2016, the two brands have been steadily integrating key business functions and streamlining processes. This has resulted in revenue growth and a significant improvement in the customer experience.As the next step in this process, Myntra and Jabong will now fully integrate all the remaining functions including technology, marketing, category, revenue, finance and creative teams,” the company stated.
As a part of the deal, Narayanan will continue to lead the team and also the company’s independence as a business will be “preserved”. One of the statements also mentioned that the Jabong brand will also be retained.
With this merger, the both the companies have laid off close to 150 employees as part of their integration in the first such consequence of the restructuring that was accelerated in the light of recent developments within the Flipkart Group.
Myntra itself is likely to see attrition in the light of recent developments following the exit of Binny Bansal as the group CEO earlier in the week. At least one large e-commerce player said it is getting a “flood” of job applications from Myntra employees across roles.