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Walmart-backed ecommerce marketplace Flipkart has expanded its zero-commission policy to cover all fashion products, irrespective of their price, as it looks to strengthen its fashion seller ecosystem.

The company said the move expands a policy that was earlier applicable only to fashion products priced below ₹1,000. With the change, around 90,000 transacting sellers, including MSMEs, homegrown brands, and D2C labels, will no longer have to pay commission on fashion sales.

Flipkart said the initiative is aimed at helping sellers retain higher margins and reinvest in expanding their product portfolio and brands. The company also offers AI-powered demand insights, trend analytics and catalogue management tools through its seller dashboard to help merchants respond faster to changing consumer preferences.

The ecommerce major said the expanded policy is expected to improve product selection across fashion categories, including premium segments, while offering customers greater choice and better value.

Notably, Flipkart introduced the zero-commission model last year for products priced below ₹1,000 across categories to lower selling costs for merchants. It subsequently extended the benefit to all products listed on its hypervalue platform, Shopsy, regardless of price, claiming the initiative could reduce sellers’ cost of doing business by up to 30%.

Separately, Flipkart recently rolled out its second ESOP liquidity programme over the past year, enabling eligible employees to sell up to 5% of their vested stock options at a price of ₹713.4 per option. The payouts are scheduled for August 2026.

The latest move comes amid intensifying competition in India’s ecommerce market and heightened regulatory scrutiny of the sector.

Recently, the All India Consumer Products Distributors Federation (AICPDF) urged the Centre to examine if the rapid expansion of quick commerce operations by Amazon India and Flipkart complies with India’s FDI norms for ecommerce, alleging that the companies’ growing presence in the segment could violate marketplace rules.

Flipkart competes with Amazon India and Meesho in India’s rapidly growing ecommerce market, while its quick commerce offering Flipkart Minutes is locked in a battle with Blinkit, Swiggy Instamart, Zepto, and Amazon Now.

In the ecommerce segment, Meesho pioneered the zero-commission model in 2021, eliminating commission charges to lower entry barriers for sellers. The strategy helped it capture nearly 37% of the country’s ecommerce order volume by FY25, ahead of its public listing in December last year.

In March this year, Amazon India also expanded its zero-referral fee programme by waiving referral fees on products priced below ₹1,000 across more than 1,800 categories. It also reduced ‘Easy Ship’ fees by over 20% for products priced below ₹300, claiming the changes could help sellers save up to 70% on overall selling costs.

At the heart of this push is India’s growing ecommerce market, which is projected to grow from $165 Bn in 2026 to $450 Bn by 2032, clocking a 22% CAGR.

The post Flipkart Expands Zero Commission Policy To All Fashion Products appeared first on Inc42 Media.