7 months ago

Amazon Invites Indian Sellers to Create Independent Websites

Amazon Invites Indian Sellers to Create Independent Websites
Why Amazon wants its sellers to create their own websites for free · livemint.com

Amazon is asking its sellers in India to create their own websites for free using a new program called SmartBiz.

This program helps sellers build websites without needing to know how to code and allows them to use Amazon’s delivery and payment systems.

While this might reduce Amazon’s earnings from ads and commissions, the company hopes that sellers will rely on its services.

This strategy is similar to how Amazon Web Services (AWS) became essential for many businesses.

If successful, Amazon could become a key player in India’s growing direct-to-consumer market, competing with other platforms like Shopify.

Some sellers are excited about the tight integration with Amazon’s fulfillment network, while others are cautious about giving Amazon control over their storefronts.

The program is expected to start charging a fee after March 2026.

Key facts

Program Name
SmartBiz
Program Benefits
Free website creation, use of Amazon’s logistics and payment systems
Monetization Plan
Paid subscription after March 2026
Amazon India's Advertising Revenue Growth
25% in FY25
Amazon India's Marketplace Revenue
₹17,328 crore (58% of operating revenue)
Flipkart's Advertising Revenue
₹6,317 crore in FY25
Direct-to-Consumer (D2C) Market Share
10–15% of online retail GMV
Potential Impact on Amazon's Revenue
₹1,000–1,500 crore annually

Quotes

Sohom Banerjee

Senior research associate at CUTS International, a policy and research advocacy group

“It’s reminiscent of how AWS lowered barriers with free credits and ultra-low pricing before becoming indispensable infrastructure.”
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“Checkout and payments routed through Amazon systems would need to be rebuilt elsewhere, forcing merchants to re-integrate gateways and potentially re-onboard customers—a major friction point.”
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An industry executive working in the e-commerce sector

An industry executive working in the e-commerce sector

“Commerce is fragmenting across brand websites, social media, and offline-to-online channels. With platforms like Meta increasingly enabling transactions, it makes strategic sense [for Amazon] to position itself as the underlying infrastructure layer.”
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Another sector executive

Another sector executive

“Post–free-offer pricing is likely to be lower than that of typical e-commerce SaaS (Software as a Service) platforms.”
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Isha Suri

Independent researcher and global AI and market power fellow at civil society organisation, the European AI Society Fund

“Amazon has long been an essential gatekeeper for sellers trying to reach end customers, and it will naturally try to leverage that vantage point.”
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Akash Valia

Founder of Secret Alchemist, a perfume brand

“At scale, brands want full ownership of their websites and customer journeys, and larger or VC-funded brands are unlikely to want Amazon controlling their storefronts.”
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Sources

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