Product details

Product details
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Published by: Amity Research Centers
Published in: 2012

Abstract

Snapdeal.com, one of the leading e-Commerce sites of India, was founded in 2010 by Kunal Bahl and Rohit Bansal in New Delhi. The company offered daily deals with discounts ranging from 50-90% in leading restaurants, spas, tattoo parlours, electronic products etc. Within 18 months of its launch in the $500 billion retail market of the country, Snapdeal was ranked among the 20 most visited sites in India. The company had a significant presence in 50 cities of the country with more than 12 million registered users, and a list of approximately 6000 registered products. Beside this, Snapdeal which started in a rented room was expected to earn a turnover of more than INR 5000 million during 2011-12. According to experts, the innovative marketing strategies of Snapdeal such as cost-effective deals, flexible payment options, deployment of strong analytical teams to understand the consumer behaviour, increasing internet subscriber base etc, were the main reasons behind the success of the company in the country. However, the presence of several e-Commerce players such as bagittoday.com, 100bestbuy.com, flipkart.com, homeshop18.com, amazon.com and naaptol.com etc in the Indian market, posed a stiff competition for Snapdeal. These sites also offered their products at cheaper rates leading to a situation for the consumers, especially the bargain hunters, to shift their loyalty to different sites for different products. Besides, Groupon also tried to adopt the similar group buying strategies in the Indian e-Commerce market to acquire a huge customer base. In this scenario, it remained to be seen whether Snapdeal would be able to sustain in the E-Commerce space in the long run.
Location:
Industry:
Other setting(s):
2011-2012

About

Abstract

Snapdeal.com, one of the leading e-Commerce sites of India, was founded in 2010 by Kunal Bahl and Rohit Bansal in New Delhi. The company offered daily deals with discounts ranging from 50-90% in leading restaurants, spas, tattoo parlours, electronic products etc. Within 18 months of its launch in the $500 billion retail market of the country, Snapdeal was ranked among the 20 most visited sites in India. The company had a significant presence in 50 cities of the country with more than 12 million registered users, and a list of approximately 6000 registered products. Beside this, Snapdeal which started in a rented room was expected to earn a turnover of more than INR 5000 million during 2011-12. According to experts, the innovative marketing strategies of Snapdeal such as cost-effective deals, flexible payment options, deployment of strong analytical teams to understand the consumer behaviour, increasing internet subscriber base etc, were the main reasons behind the success of the company in the country. However, the presence of several e-Commerce players such as bagittoday.com, 100bestbuy.com, flipkart.com, homeshop18.com, amazon.com and naaptol.com etc in the Indian market, posed a stiff competition for Snapdeal. These sites also offered their products at cheaper rates leading to a situation for the consumers, especially the bargain hunters, to shift their loyalty to different sites for different products. Besides, Groupon also tried to adopt the similar group buying strategies in the Indian e-Commerce market to acquire a huge customer base. In this scenario, it remained to be seen whether Snapdeal would be able to sustain in the E-Commerce space in the long run.

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Location:
Industry:
Other setting(s):
2011-2012

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