Snapdeal

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Snapdeal
SnapDeal Logo.svg
Type online marketplace
Founded 2010 (2010)
Headquarters New Delhi, India
Area served India
Founder(s) Kunal Bahl & Rohit Bansal
Key people Kunal Bahl & Rohit Bansal
Industry Internet, Online retailing
Services Electronic commerce
Employees 2000+
Slogan(s) Bachatey Raho!
Website www.snapdeal.com
Alexa rank Increase 244; 14: India (Sept 2014)[1]
Type of site Online shopping
Advertising Yes
Users 20+ Million Users
Available in English, Tamil, Hindi
Launched 2010; 4 years ago (2010)
Current status Online

Snapdeal.com is an online marketplace, headquartered in New Delhi, India. The company was started by Kunal Bahl, a Wharton graduate as part of the dual degree M&T Engineering and Business program at Penn, and Rohit Bansal, an alumnus of IIT Delhi in February 2010.

History[edit]

Snapdeal.com was started in February 2010 as a daily deals platform inspired by Groupon.com but expanded in September 2011 to become an e-commerce company via a marketplace model after watching flipkart's success in the local market. [2] With 20 million registered users, Snapdeal is one of the first and largest online maketplaces in India[3] offering an assortment of 4 million+ products across diverse categories from over 20,000 sellers, shipping to 4,000[4] towns and cities in India.

mCommerce[edit]

Snapdeal has recently launched its best mobile app[5] for iOS users. The app, already available for Windows and Android users, provides users access to Snapdeal's various product categories Snapdeal has received 5 rounds of funding:

  • Round 1: In January 2011, Snapdeal received a funding of $12 million from Nexus Venture Partners and Indo-US Venture Partners.
  • Round 2: In July 2011, the company raised a further $45 million from Bessemer Venture Partners, along with existing investors Nexus Venture Partners and Indo-US Venture Partners.
  • Round 3: Snapdeal then raised a 3rd round of funding worth $50 million from eBay and received participation from existing investors – i.e. Bessemer Venture Partners, Nexus Venture and IndoUS Venture Partners.[6]
  • Round 4: Snapdeal received its 4th round of funding of $133 million on Feb-2014. The 4th round of funding was led by eBay with all the current institutional investors, including Kalaari Capital, Nexus Venture Partners, Bessemer Venture Partners, Intel Capital and Saama Capital all participating.[7]
  • Round 5: Snapdeal received its 5th round of funding of $100 million in May-2014. The 5th round included investments by Blackrock, Temasek Holdings, PremjiInvest and others.[8] The round valued SnapDeal at $1,000,000,000. [9]

Acquisitions[edit]

  • In June 2010, Snapdeal acquired Bangalore-based group buying site, Grabbon.com.[10]
  • In April 2012, Snapdeal acquired esportsbuy.com, an online sports goods retailer based out of Delhi.[11][12]
  • In May 2013, Snapdeal acquired Shopo.in, an online marketplace for Indian handicraft products.[13]

Business results[edit]

In the year 2012-13 Snapdeal had said that it expects to garner revenues of about INR600 crore (US$98 million). Betting big on the growth of mobile commerce, Kunal Bahl, the CEO of Snapdeal, said at present 15-20 per cent of the sales on Snapdeal comes through m-commerce. Snapdeal.com expects the total sale of products traded on its platform to cross INR2000 crore (US$330 million) in the fiscal year 2013-14 helped by its robust growth in the past two years and the growing popularity of e-commerce in India.[14] In June 2014, Snapdeal announced that it has achieved the milestone of 1000 sellers on its plarform getting sales of over Rs 1 crore.[15]


In the 3rd round of funding of $50 million eBay came out as the largest investor in Snapdeal.[16] The investment also includes a commercial partnership under which eBay will get access to Snapdeal’s 20 million registered users, logistics software and distribution network.[17] Snapdeal co-founder Kunal Bahl told medianama that Snapdeal will offer a limited number of products on eBay India and eBay too will list its merchandise on Snapdeal, following the partnership.[18]

In its 4th round of funding Snapdeal raised fresh capital of $134 million with eBay Inc, leading the round. With this round eBay has increased its stake in Snapdeal, becoming its largest investor. Snapdeal Co-founder and CEO Kunal Bahl said that eBay's second round of investment in Snapdeal as an endorsement of strategy and progress Snapdeal has made in year.[7]

Awards and recognition[edit]

  • eRetailer of the Year & Best Advertising campaign of the year - Indian eRetail awards 2012 organized by Franchise India in Feb,2012.[19]
  • Winner of Red Herring Asia Awards 2011.[20]
  • E-commerce site of the year at WAT awards that took place in Jan 2012, Mumbai.[21]
  • Hottest Internet Companies of the year at the premier edition of the 'Young Turks Awards' organized by Mercedes Benz and CNBC-TV 18 in New Delhi - Jan,2012.[22]
  • Rated the #1 e-commerce site in India, in terms of traction by Dataquest/Sapient E-commerce Survey 2011.[23]
  • Voted amongst the Buziest brands of India in afaqs's annual buzz-making poll.[24]
  • Rated the Cheapest Online Mobile Store for November 2013, in a study conducted by Zoutons.com.[25]
  • Silver for the Best Website – Service, at the Indian Digital Media Awards 2011, organized by the Exchange 4 Media group - June 2014.

References[edit]

  1. ^ "snapdeal site info Site Info". Alexa Internet. Retrieved 2012-02-02. 
  2. ^ http://techcircle.vccircle.com/2012/11/15/we-should-do-a-billion-dollar-in-gross-merchandise-value-by-2015-snapdeals-kunal-bahl/
  3. ^ http://www.firstpost.com/business/interview-marketplace-model-works-in-india-says-snapdeals-kunal-bahl-647297.html
  4. ^ http://www.business-standard.com/article/companies/penetration-logistics-drive-snapdeal-s-push-113092000034_1.html
  5. ^ http://www.thinkdigit.com/Apps/Snapdeal-launches-app-for-iPhone-users_18095.html
  6. ^ http://www.nextbigwhat.com/ebay-invests-in-snapdeal-297/
  7. ^ a b "eBay increases stake in Snapdeal, invests $134 million". The Times Of India. 27 February 2014. 
  8. ^ http://www.vccircle.com/news/technology/2014/05/21/snapdeal-raises-100m-fresh-funding-blackrock-temasek-premjiinvest-others
  9. ^ PrivCo (May 2014). "SnapDeal Receives Venture Capital Investment From Temasek Holdings Pte Ltd., BlackRock Kelso Capital, Myriad Group AG, And Others.". 
  10. ^ 29 June 2010 (29 June 2010-2012). "Jasper announces acquisition of Grabbon". The Financial Express. 
  11. ^ 4 April 2012 (4 April 2012). "Snapdeal acquires Esportsbuy.com". Economic Times. 
  12. ^ 4 April 2012 (4 April 2012). "Snapdeal buys Esportsbuy.com". The Hindu Business Line. 
  13. ^ 1 June 2013 (1 June 2013). "Snapdeal acquires Shopo.in". Times of India. 
  14. ^ "Snapdeal expects its online sales to cross Rs 2,000 cr in FY14". The Times Of India. 31 March 2013. 
  15. ^ "Snapdeal crosses milestone of 1,000 sellers getting sales of over Rs 1 crore". IndianWeb2. 16 June 2014. 
  16. ^ "Snapdeal raises $50 million, eBay top investor - The Times of India". The Times Of India. 
  17. ^ Forbes http://www.forbes.com/sites/greatspeculations/2013/06/14/why-is-ebay-investing-50-million-in-indian-startup-snapdeal/ |url= missing title (help). 
  18. ^ http://www.medianama.com/2013/06/223-e-commerce-digest-flyte-shuttering-ebay-snapdeal-deal-homeshop18-sales/
  19. ^ Saturday, 25 February 2012 (25 February 2012). "Snapdeal.com awarded eRetailer of the year; Also wins Best Advertising campaign of the year award". India PR Wire. 
  20. ^ "2011 RED HERRING TOP 100 ASIA". RED HERRING. 
  21. ^ 21 January 2012 (21 January 2012). "And The Winners Of WAT Awards 2012 Are……Congratulations To All!". WAT Blog.com. 
  22. ^ 11 January 2012 (11 January 2012). "CNBC-TV18 Young Turks Awards Premier Edition". Dish Tracking. 
  23. ^ Tuesday, 10 May 2011 (10 May 2014). "Digital Marketing: Snapdeal―An Entrepreneurial Saga". CouponLay. 
  24. ^ 27 February 2012 (27 February 2012). "7th Edition of India's Buzziest Brands". Afaqs. 
  25. ^ Tuesday, 26 November 2013 (26 November 2013). "Comparative Study: Mobile Prices Indian E-Commerce Stores November 2013". Zoutons.com. 

External links[edit]