Home ONLINE SHOPPING FOR WOMEN Why Snapdeal focused non-metro cities and rural India throughout its pre-Diwali sale

Why Snapdeal focused non-metro cities and rural India throughout its pre-Diwali sale

  • Snapdeal added 6 million new consumers on its platform throughout the pandemic.
  • Its latest 5-day sale kicked-off on October 16 and ended on October 20.
  • Rajnish Wahi, Senior Vice President, Snapdeal tells us a number of the traits the platform noticed throughout its pre-Diwali sale, its plan to go deeper into Bharat and USPs that helped it stand out within the muddle of on-line gross sales.

Indian customers have all the time been value-conscious, who take pleasure of their haggling expertise and with the pandemic, consumers expect larger worth for his or her spends. Due to this fact, e-commerce participant Snapdeal’s sale, which befell between October 16 to 20, centered on providing ‘Kum Mein Dum Diwali,’ i.e., worth offers for lesser cash.

Based on Snapdeal, lower than 5% p.c of retail is on-line and through this on-going festive season, the platform’s purpose is to convey extra customers on-line and provides them robust causes to modify.

Snapdeal noticed that customers weren’t prepared to purchase premium manufacturers this yr and wished to entry the net platforms of their regional language. So, as different e-commerce platforms provided premium manufacturers at a reduced value, Snapdeal wished to make on-line procuring extra inclusive for consumers throughout India. It centered extra on non-metro cities, which is a market with potential 400 million customers and shipped orders to rural locations like Palasner in Maharashtra, Abdasa in Gujarat, Kalsi in Uttarakhand, Chitkul in Himachal amongst many others.

Forward of the sale, Snapdeal added 1300 new pin codes to go deeper into Bharat, areas which had been beforehand unserviceable or the place customers had been compelled to journey to close by cities to gather their orders. It additionally up to date its consumer interface by including eight languages together with Hindi, Tamil, Kannada, Telugu, Malayalam, Gujarati, Punjabi, and Marathi.

Consequently, 70% of its orders had been obtained by sellers situated past the highest 5 metropolitan areas of the nation and 90% of its orders had been positioned from non-metro cities.

We caught up with Rajnish Wahi, Senior Vice President, Snapdeal to additional perceive a few of traits that the platform noticed throughout its sale.

Excerpts:

Q. The function of engagement and communication has by no means been extra essential, particularly in as we speak’s digital-first world. How are you ensuring your communication throughout this yr’s sale is related to customers?

Snapdeal is sharply centered on catering to the value-conscious customers, who see e-commerce because the connecting hyperlink between their aspirations, entry and affordability.

Our theme for this yr’s festive sale – “Kum Mein Dum Diwali ” clearly communicates our core message – your procuring rupee has extra worth this yr. As a part of our sale preparations, we had carried out a survey of almost 1.25 Lakh customers and one of many key insights was consumer unwillingness to pay for model premiums this yr and as an alternative concentrate on the useful worth of their purchases.

Primarily based on these inputs, the festive assortment was expanded in a centered method by on-boarding extra sellers for common merchandise like kitchen home equipment, kitchenware, mattress linen, attire, footwear and style equipment like watches, wallets, and so on. Shaping our sale affords across the clearly-stated expectations of our clients and conveying the identical unambiguously by way of our festive promotions and digital advertising and marketing is the sum and substance of our festive communication.

Q. This yr is totally different. Folks have been noticed to be considered in spending. How has the patron sentiment improved?


Whereas 2020 has been a risky yr, we see that there are a lot of tailwinds which can be propelling our enterprise. The pandemic has resulted in redistribution of demand between offline and on-line channels, with on-line gaining share attributable to its inherent benefits of attain, comfort, massive assortment and security of shopping for from dwelling. It has additionally accelerated the familiarity and acceptance of e-commerce amongst new consumers.

With the pandemic, customers have turn into extra value aware and are prone to go for lesser-priced merchandise, whereas not compromising on their high quality expectations. Given all of this, we now have seen two units of consumers come on Snapdeal – one which is buying and selling as much as a greater assortment and one that’s buying and selling down and choosing higher useful worth as an alternative of huge manufacturers. In actual fact, we now have added 6 million new consumers on our platform within the pandemic.

We’re witnessing the return of enthusiasm for festivities and it is usually obvious that on-line channels can be a most well-liked medium for a bigger variety of consumers this yr. However it is going to even be totally different this yr, as extra individuals can be value aware and can look to spend on high quality merchandise that go well with their value sensibilities.

In a method, Snapdeal’s “Kum Me Dum” focus is about “providing extra selections at value factors higher than final yr”, particularly for common classes like dwelling & style, which has been made doable by year-long concentrate on increasing our price choice.



Q. With the on-going festive season, many different platforms may have their Gross sales days too. How do you then lower the muddle and be sure to win customers? How will you be totally different from the opposite gamers within the phase?


Snapdeal is synonymous with worth e-commerce. Whereas others within the trade at the moment are beginning to construct a price phase, we at Snapdeal have been centered on “solely worth” for the final three years.

Whereas different platforms are making efforts to promote branded gadgets at discounted costs, these are nonetheless not reasonably priced for a majority of the consumers within the nation.

Then again, we’re focussed on bringing the depth and variety of India’s bazaars & markets to the doorsteps of our customers. On Snapdeal, consumers discover infinite forms of regional and native manufacturers that not solely serve their wants, but additionally supply immense worth at reasonably priced costs.

The results of our “Kum Mein Dum” Diwali sale bears testimony to this – greater than 80% of Snapdeal’s Diwali customers selected to purchase regional & native manufacturers on Snapdeal. The robust development of lesser-known manufacturers relative to nationwide/worldwide manufacturers has been due to two key causes: elevated selection and a considerable value distinction.

Our price-focused positioning runs constantly by way of our choice and communication and is one the the reason why 90% of our orders stream from non-metros cities and cities throughout the nation.

Q. What are a number of the different traits you expect to see this festive?


Our first gross sales outcomes are out and are reflective of how shut the lives of customers revolve round their properties. The sale within the dwelling merchandise class has grown by 30% over final yr and has turn into the most important class on Snapdeal this yr, overtaking the style class, which has historically been the top-performer at Snapdeal. The expansion within the dwelling class is propelled by common merchandise like kitchen home equipment, kitchenware, mattress & bathtub,decor,cleansing tools, lighting and comforters & blankets and so on.
This development within the health class displays the additional time that folks have on their palms and likewise underscores heightened consciousness about private well being & health. This class has grown by 45% over final yr led by health club necessities like tummy trimmers, push-up bars, wrist helps, health gloves, hand grip strengtheners and so on. Customers shopping for sports activities tools like badminton racquets & cricket units and weighing machines are additionally robust client traits.

Whereas the style class has additionally grown from earlier years when it comes to shipped items, the expansion is lower than different higher-performing classes. Within the style class, there may be an elevated spending on kidswear within the festive season. .

Amongst common picks in Snapdeal’s Diwali sale are males’s & girls’s grooming merchandise, dietary dietary supplements, spiritual gadgets (prayer books, temples equipment and so on). With the deterioration of air high quality in North India, the sale of N95 masks, air-purifier filters, anti-pollution skincare gadgets, pores and skin moisturisers, lip balms has additionally elevated.

Snapdeal additionally witnessed a rise in gifting through e-commerce early on this festive season. The vary of festivals beginning with Karva Chauth and adopted by Dhanteras, Diwali, Bhaiya Dooj and Chhath Puja have turn into essential gifting events for customers in numerous elements of the nation. Whereas within the earlier years, customers used e-commerce channels to purchase and ship to households & mates in different cities, this yr many consumers in metro cities are additionally sending presents to individuals residing in the identical cities. This yr reward playing cards have additionally been massively common amongst individuals to ship to their family and friends, with a 3X surge in orders as in comparison with the festive sale final yr. These included reward playing cards of journey, leisure, meals and retail manufacturers which had been upto 30% off.


Q. How are you working in the direction of enhancing the general client expertise?

E-Commerce in India has grown past the primary 100 Mn largely city, English-speaking customers. A market of doubtless 400 Mn customers is now rising throughout India’s smaller non-metro cities. This can be a very various cohort when it comes to languages spoken, literacy ranges, frequency of on-line purchases and familiarity with know-how. A big a part of Snapdeal’s current consumer base and new customers come from this cohort and all our focus and efforts are on constructing the suitable expertise that our customers need.

Meaning we work tirelessly to offer them a big selection of merchandise to select from, and at simply the suitable costs they want to spend. We additionally make it straightforward in lots of different methods for customers to purchase on Snapdeal. This contains offering interfaces on our app & m-site in eight Indian languages, in order that they will flick through merchandise & transact in a language of their selection. We additionally allow dialog with our customer support brokers in a number of Indian languages. Transaction and promotional messages all can be found in lots of Indian languages.

Another methods, during which we assist our customers to purchase is by serving to them make well-informed selections by way of brief 10-second product movies that are much more fascinating and assist consumers to make selections quicker than static photos of the merchandise involved, straightforward 7-days return, no questions requested refunds coverage. We’re the one platform that gives uninterrupted entry to cash-on-delivery choice even throughout the turbulent early days of pandemic lockdowns.

Q. That are your strongest markets at present? How are you planning to strengthen your presence in different markets?

Now we have a robust pan India presence. Throughout the present sale and in keeping with Snapdeal’s positioning, greater than 90% of Snapdeal’s orders had been positioned from non-metro cities.

Populous cities like Nagpur, Vijayawada, Surat, Bhopal, Chandigarh, Visakhapatnam, Ranchi, Patna, Guwahati and others continued to drive orders on Snapdeal, however smaller cities like Sagar (Madhya Pradesh), Raniganj & Durgapur (West Bengal), Patiala & Gurdaspur (Punjab), Anand, Bharuch, Una, (Gujarat), Miryalaguda (Andhra Pradesh) and Bhimavaram (Telangana) additionally clock spectacular order volumes.

With our latest community growth, Snapdeal has additionally shipped orders to rural locations like Palasner in Maharashtra, Abdasa in Gujarat, Kalsi in Uttarakhand, Chitkul in Himachal amidst many others.

Q. What are your present MAUs?

Greater than 70 million customers go to Snapdeal each month to browse and purchase from our huge catalogue of 220 million plus listings.

Q. What sort of goal have you ever set for this yr’s sale? Do you anticipate individuals to purchase extra, contemplating lots of people might need pushed shopping for issues for the festive season? What sort of numbers do you purpose to achieve this yr?


Lower than 5 p.c of retail is on-line, which is an extremely small penetration quantity. In our view, Diwali or not, our job to convey extra shopping for choices for our customers doesn’t change. Diwali does function a milestone to speed up a few of our associated initiatives or construct digital infrastructure to attach the dots between demand and provide in our nation.

This yr, forward of the festive season, we on-boarded extra sellers of common merchandise like kitchen home equipment, kitchenware, mattress linen, attire, footwear and style equipment like watches, wallets, and so on., as indicated by our customers in a survey. Within the run-up to Diwali, Snapdeal additionally on-boarded 5000 manufacturer-sellers who promote merchandise like water purifiers, choppers & blenders, metal & copper utensils, crockery gadgets, bedsheets, quilts, geysers, and so on straight from their manufacturing items.

This yr, we knew increasingly individuals could be shopping for on-line and forward of the sale, and expanded our community so as to add 1300 new pin codes to go deeper into areas which had been beforehand unserviceable or the place customers had been compelled to journey to close by cities to gather their orders, reaching out to 50 million extra customers.

At the moment, we’re India’s main value-focused market with greater than 500,000 registered sellers and we cowl 27000 + pin code areas throughout the size and breadth of the nation.

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