how does myntra.com or other online stores make money?

i mean do they make good profits as they are just agents between the wholesale sellers and online shoppers whats their business model ANSWER TO THE ABOVE QUESTION Well they buy good at a much lower price when are buying in buly and while selling to individual users they sell for profit. This only works when the number of customers buying from you is big and also returning customers. So the key is quality/durability and delivery time for customers. A happy customer will come back and a unhappy customer will never come back and will discourage other prospective customers. Its initially about building a brand and during the initial phase the companies provide good discounts. Once they have good customer base they can sell their products for normal rates and start making profits. its more about catching the customers pulse and making available the goods the customer is looking for. Companies take customer feedbacks/surveys from time to time to understand what they are looking for to improve their business.

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