Amazon bets big on value commerce as Bazaar grows 5X, expands beyond Tier-2 and Tier-3 India

Amazon bets big on value commerce as Bazaar grows 5X, expands beyond Tier-2 and Tier-3 India

Amazon's main marketplace caters to branded and premium purchases, Amazon Now focuses on instant and replenishment needs, while Bazaar serves shoppers looking for sharply priced products.

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With 80% of products priced below ₹300, Amazon Bazaar has grown 5X since launchWith 80% of products priced below ₹300, Amazon Bazaar has grown 5X since launch
Aishwarya Patil
  • Sep 14, 2026,
  • Updated Sep 14, 2026 8:46 PM IST

As India's festive shopping season gathers pace, Amazon is doubling down on value commerce, betting that budget-conscious shoppers will remain a major driver for the e-commerce platform.

In an interaction with Business Today, Sameer Lalwani, Head of Amazon Bazaar, said, ''The platform has recorded five-fold growth in customers and three-fold growth in sellers and product selection, with customer growth from Tier-2 and Tier-3 cities rising eight-fold since launch.''

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''Bazaar now offers more than 3 crore products, all priced below ₹500, with around 80% of its selection available for less than ₹300'', Lalwani added.

Suggesting that a lot of first-time customers are beginning their Amazon journey through Bazaar purchases, he said, ''Many customers are using low-ticket products as an entry point before moving on to higher-value purchases.''

According to him, the simultaneous growth of customers, sellers, and selection indicates that the value-commerce flywheel is scaling across the ecosystem.

In Case You Missed It: Amazon introduces a price hike for Kindle, Echo, and Fire TV devices by up to Rs 4,000

FROM 'BAZAAR' TO 'HAUL' AMAZON'S VALUE COMMERCE PLAYBOOK

What started as an India-first experiment has now become one of Amazon's global playbooks. Lalwani said the Bazaar model has expanded to 15-16 countries across established markets, the Middle East, Europe, and the US, where it operates either as Bazaar or Amazon Haul, depending on the market.

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The expansion comes as e-commerce platforms head into the festive season with different strategies to capture consumer spending. While quick-commerce players focus on time-sensitive purchases, Amazon is positioning Bazaar as a destination for value-conscious shoppers seeking affordable fashion, home, kitchen and lifestyle products.

When asked about Amazon's overall vision, Lalwani argued that India's e-commerce market is evolving into multiple consumption 'speed lanes' rather than one format replacing another.

Consumers are increasingly choosing platforms based on whether they need deliveries in minutes, hours or days. Amazon's main marketplace caters to branded and premium purchases, Amazon Now focuses on instant and replenishment needs, while Bazaar serves shoppers looking for sharply priced products.

A key part of Amazon's strategy is integrating Bazaar into the main shopping experience.

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Earlier, customers had to enter a separate Bazaar storefront. Now, Bazaar products increasingly appear within the core Amazon app through search results, recommendations, and curated collections, making value-commerce offerings more visible to a wider customer base.

Artificial intelligence is also becoming central to the platform's growth strategy. Amazon uses AI to help sellers identify products and price points that may resonate with consumers while improving product discovery across the marketplace. The company is also developing AI-generated shopping videos aimed at creating a reels-style browsing experience for shoppers.

Amazon is simultaneously working to expand its seller ecosystem. According to the company's fact sheet, Bazaar has more than 1.5 lakh active sellers, while seller sign-ups increased 50% after the introduction of zero referral fees on products priced below ₹1,000 across more than 1,800 categories. The seller base has grown three-fold year-on-year.

For Amazon, the appeal of Bazaar goes beyond low prices. Lalwani described the proposition as "Sasta Bhi, Bharosa Bhi", arguing that consumers increasingly want affordability backed by Amazon's quality controls, fulfilment network, and trust.

With nationwide reach across all serviceable pin codes, more than 3 crore products, and rapid growth in smaller cities, Amazon is positioning Bazaar as a mainstream pillar of its India business rather than a niche value-commerce experiment. As festive demand picks up, the company is betting that affordability, trust and selection will continue to bring new shoppers into the ecommerce ecosystem.  

For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine

As India's festive shopping season gathers pace, Amazon is doubling down on value commerce, betting that budget-conscious shoppers will remain a major driver for the e-commerce platform.

In an interaction with Business Today, Sameer Lalwani, Head of Amazon Bazaar, said, ''The platform has recorded five-fold growth in customers and three-fold growth in sellers and product selection, with customer growth from Tier-2 and Tier-3 cities rising eight-fold since launch.''

Advertisement

''Bazaar now offers more than 3 crore products, all priced below ₹500, with around 80% of its selection available for less than ₹300'', Lalwani added.

Suggesting that a lot of first-time customers are beginning their Amazon journey through Bazaar purchases, he said, ''Many customers are using low-ticket products as an entry point before moving on to higher-value purchases.''

According to him, the simultaneous growth of customers, sellers, and selection indicates that the value-commerce flywheel is scaling across the ecosystem.

In Case You Missed It: Amazon introduces a price hike for Kindle, Echo, and Fire TV devices by up to Rs 4,000

FROM 'BAZAAR' TO 'HAUL' AMAZON'S VALUE COMMERCE PLAYBOOK

What started as an India-first experiment has now become one of Amazon's global playbooks. Lalwani said the Bazaar model has expanded to 15-16 countries across established markets, the Middle East, Europe, and the US, where it operates either as Bazaar or Amazon Haul, depending on the market.

Advertisement

The expansion comes as e-commerce platforms head into the festive season with different strategies to capture consumer spending. While quick-commerce players focus on time-sensitive purchases, Amazon is positioning Bazaar as a destination for value-conscious shoppers seeking affordable fashion, home, kitchen and lifestyle products.

When asked about Amazon's overall vision, Lalwani argued that India's e-commerce market is evolving into multiple consumption 'speed lanes' rather than one format replacing another.

Consumers are increasingly choosing platforms based on whether they need deliveries in minutes, hours or days. Amazon's main marketplace caters to branded and premium purchases, Amazon Now focuses on instant and replenishment needs, while Bazaar serves shoppers looking for sharply priced products.

A key part of Amazon's strategy is integrating Bazaar into the main shopping experience.

Advertisement

Earlier, customers had to enter a separate Bazaar storefront. Now, Bazaar products increasingly appear within the core Amazon app through search results, recommendations, and curated collections, making value-commerce offerings more visible to a wider customer base.

Artificial intelligence is also becoming central to the platform's growth strategy. Amazon uses AI to help sellers identify products and price points that may resonate with consumers while improving product discovery across the marketplace. The company is also developing AI-generated shopping videos aimed at creating a reels-style browsing experience for shoppers.

Amazon is simultaneously working to expand its seller ecosystem. According to the company's fact sheet, Bazaar has more than 1.5 lakh active sellers, while seller sign-ups increased 50% after the introduction of zero referral fees on products priced below ₹1,000 across more than 1,800 categories. The seller base has grown three-fold year-on-year.

For Amazon, the appeal of Bazaar goes beyond low prices. Lalwani described the proposition as "Sasta Bhi, Bharosa Bhi", arguing that consumers increasingly want affordability backed by Amazon's quality controls, fulfilment network, and trust.

With nationwide reach across all serviceable pin codes, more than 3 crore products, and rapid growth in smaller cities, Amazon is positioning Bazaar as a mainstream pillar of its India business rather than a niche value-commerce experiment. As festive demand picks up, the company is betting that affordability, trust and selection will continue to bring new shoppers into the ecommerce ecosystem.  

For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine

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