FlipKart’s digital music store Flyte, which
was launched in February 2012, claims to have achieved around 600,000 downloads
in the five months. According to a report in RadioAndMusic.com, FlipKart, in
July 2012, had posted overall revenues of over Rs 100 crore.
Sameer Nigam, VP, Digital, FlipKart, said,
“FlipKart crossed Rs 1 billion in revenue last month. If you consider that our
song track price averages around Rs 10 and 600,000 downloads in five months,
Flyte is aggregating just one per cent of the overall sales right now.”
Flyte was launched with around a million
tracks and aims to expand its library to over five million tracks in two months.
Nigam adds, “Our vision and mission for music in India is to set up a one-stop
shop for music purchase. We will achieve our target by end this year. We have
also recently signed deals with EMI, Warner, Yashraj, Magnasound, Eros and on
the independent side with NH7 as well.”
The company is also looking at key changes and
innovations that need to be inculcated into the purchasing process. “We have
learnt that selection is still king for us. People’s willingness to pay is less
of an issue today than their ability to pay conveniently. Even on FlipKart one of
the challenges that we are trying to address is the whole concept of paying for
micro transactions, that is, the six or nine rupee price point,” added Nigam.