Founders Feelings’ Post

Snapdeal's Downfall: A Cautionary Tale 🤯 Once a fierce competitor to Flipkart, Snapdeal's wait n wathc and unwillingness to sell led to its near-demise. 🔻 Despite having a solid product offering, Snapdeal's refusal to adapt and embrace the offers of a buyout let the valuations down. A stark reminder that in the fast-paced world of business, flexibility is key to staying ahead of the curve. 💪 #EcommerceInsights #StartupLessons #BusinessStrategy #10croreclub

Hey folks, yesterday I received my order from snapdeal, it was a fast delivery and the quality of product and packaging was good enough and seriously I didn't expect that so, I was thinking why snapdeal is not so popular as Flipkart and Amazon why it's failing Once it was a giant of ecommerce industry in India. I came out some reasons so, thought to share on LinkedIn 😊 so in my opinion some reasons of snapdeal failure are- Tough Competition: Snapdeal faced some big competition from Amazon and Flipkart. They had a hard time keeping up in the e-commerce game. Making Mistakes: Snapdeal tried to do too much too fast. They expanded too quickly and didn't focus enough on what they were good at. Trust Issues: Some customers weren't happy with Snapdeal's service or the quality of the stuff they got. Trust is super important in online shopping! so they started losing customers Money Troubles: E-commerce needs a lot of money to keep going strong. Snapdeal's funding and investor support took a hit because of their struggles. and they can't advertise enough. Changing with the Times: Snapdeal found it tough to change their game plan to match what people wanted. Adapting to what customers want is key in this business. Moving Forward: Even though Snapdeal had a rough time, there's always room to bounce back. Learning from mistakes and staying focused on what customers need will be important as they move ahead in the e-commerce world. Let's see what the future holds! 💡🛍️ .....stay connected. #Snapdeal #Ecommerce #LearningFromMistakes

🙄 Insider’s story of Snapdeal: The Brand That Went from Zero to Hero.   eCommerce giants Amazon and Flipkart’s combined market share is 86%, and Snapdeal occupies a 13% share. Snapdeal initially faced steady growth, but a time came when it faced real market challenges. Ø  No striking identity or differentiation Ø  Merely hoarding the goods in their warehouses Ø  Mismanaged administration with mass layoffs Ø  Loss of money while making investments in logistics Ø  No commissions or good deals for domestic businesses Ø  Failed to understand consumer preferences With Flipkart and Amazon flexing their arms in every corner, Snapdeal shares took a drastic hit of 4%. From planning to execution, everything went well for this eCommerce platform. They even slipped into many controversies; the famous one is Aamir Khan’s anti-national comments. This incident led to massive uninstallation of this app from buyers’ mobile devices. What happened next? How did the comeback happen? Well, Snapdeal, after a painful fall, took time to understand the essence of marketing . They understood that consumers want wider product varieties and not just premium brands. Snapdeal is now focusing on “VALUE eCommerce”, which provides cost-effective products for budget-conscious buyers. What are your views on this Unicorn’s story? Comment! 🤔 #SnapdealStory #eCommerceJourney #FromZeroToHero #ValueCommerce #SnapdealComeback #MarketChallenges #ConsumerFocus #BudgetShopping #IndianEcommerce #SnapdealUnicorn

How many of you recall - Snapdeal | AceVector Group's Rollercoaster: Success, then Strife and Failure (Ignore - AceVector) While exploring Meesho's story, I stumbled upon Snapdeal while browsing through e-commerce giants like Amazon and Flipkart. This reminded me of Snapdeal's rollercoaster journey, once a shining star that turned to stardust in the blink of an eye. ⭐💫 From Ratan Tata's backing to controversies with Aamir Khan and layoffs, Snapdeal's story resembled a gripping television drama, captivating Silicon Valley and sparking discussions everywhere. 🎬📰 Did you know about the extensive list of investors who attempted to rescue it from its downfall? ✔️💼 Snapdeal faced internal challenges like indiscriminate hiring, corruption, and a flawed business model, failing to sustain its initial success. Lack of focus, shifting goals, and failure to stand out from competitors like Amazon and Flipkart led to its demise, akin to Paytm Mall. Snapdeal's tale serves as a cautionary reminder for India's e-commerce industry, with lessons on addressing underlying issues to avoid bursting bubbles. 🛑💡 By the way snapdeal is making a comeback and hopefully, its get its mojo back under Snapdeal | AceVector Group hood! For expert guidance in navigating the complexities of investment banking, including fundraising, due diligence, valuations, and mergers and acquisitions, turn to M&A Experts Advisory Firm - your trusted one-stop solution. 💼🔍

Once a trailblazer in India's e-commerce landscape, Snapdeal’s story is a mix of innovation, rapid growth, and tough lessons. During its heyday (2015-2016), Snapdeal boldly took on giants like Flipkart and Amazon, achieving an astounding valuation of $6.5 billion. Backed by global powerhouses like SoftBank, Alibaba, and Foxconn, the company seemed unstoppable. Yet, the tides turned. Snapdeal’s market share, once a robust 26%, now stands at a mere 4%. What went wrong? Don't miss out! Read the full story by Prakhar, a news writer at #TokenToday, and explore the strategic missteps that shaped Snapdeal’s fate. Stay updated by following #TokenAcademy on Instagram @token_academy #Snapdeal #Ecommerce #India #BusinessLessons #TokenToday #TokenAcademy #FinanceNews #Economics #StartupJourney #StrategicPlanning #Competition Snapdeal | AceVector Group

Can a small fish survive in a shark tank?  Snapdeal struggled but still managed to hold a 13% market share. They faced many challenges, including a failed merger with Flipkart. One thing helped them with the comeback - focus on value e-commerce. What is Value E-commerce? The Indian e-commerce market majorly has 2 paths - low prices for low-quality products and higher prices for branded ones. The mid path between them is Value E-commerce which prioritizes offering affordable products to budget-conscious consumers. Within lifestyle retail, value e-commerce is expected to grow 10X within 10 years. 📈 This offers immense growth potential for Snapdeal even if they don’t have a majority share in the market. Post Snapdeal 2.0, in 2018-19, their losses were reduced by 70% YoY, and transacting customers grew by 2.2x! And this is not the complete story! 35,188 marketers will read the full case study - the rise, fall, and rise again of Snapdeal - tomorrow. Join them now (link in comments) 👇

The story of Kunal Shah's free charge and its owners is straight out of an acquisition movie.   Sold for 2800 crore -> run to the ground by Snapdeal and sold at a 90% discount -> new acquirers increase income by 12.5 times   Freecharge was an online recharge platform; by 2012, Freecharge was doing ₹6 million in daily online recharges. Translating to ₹2.19 billion annually when online was nascent in India, making it the top headliner!   But why did Snapdeal want a free charge?   Snapdeal was competing with Amazon and Flipkart, and both of these companies had their own online payment platforms. Amazon Pay and Phonepe, respectively.   To gain more retention and have smoother operations like its competitors, Snapdeal looked up to free charge.   Snapdeal + freecharge, combined powers!   Combined, they reached 1 million orders per day and a massive customer base of 40 million users.   Snapdeal's average user age was 25–35, but with freecharge, a discount-seeking user was younger; hence, their average user age was 18–25. Giving Snapdeal access to the youngest demographic!   There was an infamous tweet by Snapdeal showing their merger as the marriage of soulmates!   UNTIL they had to sell Freecharge for a 90% discount to Axis Bank for $60 million. Freecharge had an income of Rs 23 crore and a loss of Rs 81 crore.   Freecharge, the perfect partner, was a disaster. Kunal Bhal, founder of Snapdeal, said   We were going to fall off a cliff if a call was not taken immediately to continue to build the business. Any further delay in taking a categorical decision, one way or another, was guaranteed to be fatal for the company.   Snapdeal seems to be at the loose end after Axis Bank took over 12.5X since then, all the while making some profit. Freecharge’s operating revenue grew 23.2% to Rs 287 crore during 2022. Best, Dev Shah Tags: #merger #acquisition #kunalshah #freecharge #snapdeal #axisbank #profit #business #startup #entrepreneur

📣📣📣I see failure as my work wife—always around, not giving up and never taking ‘no’ for an answer.📣📣📣 Snapdeal’s journey is one of the best comeback stories in Indian eCommerce. At one point, their valuation plummeted from $6.5 billion to just $1 billion. Investors pulled out. Competitors like Amazon and Flipkart seemed unbeatable. Even merger talks with Flipkart fell through. People whispered that Snapdeal’s time was over. An inevitable death was convicted upon it. But Snapdeal didn’t give up. It believed something bigger: resilience. They didn’t fight to be a copy of their competitors—they redefined their path, focusing on India’s Tier 2 and Tier 3 cities. Fast forward to today—Snapdeal serves over 60 million customers and saw 3X growth in orders, all by doing what others said couldn’t be done. Snapdeal’s co-founder, Kunal Bahl, is now a shark on Shark Tank India, inspiring new entrepreneurs with the same grit that took him from rock bottom to success. From being counted out to becoming a mentor to those starting out. Here’s the truth: People will doubt you. Competitors might overshadow you. The world may label you a failure. But none of that matters if you have the courage to stand tall and believe in yourself when no one else does. What do you think will be Kunal Bahl's biggest contribution to Shark Tank ? #Resilience #ComebackStory #Snapdeal #KunalBahl #Inspiration #SharkTankIndia

Snapdeal.com this name was only known to few before it all started. Kunal Bahl and Rohit Bansal set the roots of E-commerce in India when the concept of online shopping was only known to a few people. Their early idea was coupon business. Their interest grew and the initial investment that they got was $12 million from Nexus Venture partners and Indo US Venture partners. A major challenge was the limited number of users and the increased growth of other e-commerce stores. At present, Snapdeal is a trusted E-commerce store for grabbing the best deals. Business revenue estimated at present is 388 crores. P.S: Having a goal 🥍 and persistently working to get things done will surely work wonders. What’s your plan to survive in the business ecosystem?

💡 Learning from Snapdeal’s Fall: What Every Business Should Know 💡 Snapdeal was once a top player in India’s e-commerce scene, but it faced several challenges that led to its decline. Here are some key reasons why Snapdeal struggled and the lessons we can learn: 1. Intense Competition: Snapdeal faced fierce competition from Amazon and Flipkart, both of which had more resources and better logistics. Learning: 🏃♂️ Stay focused on your strengths and continuously innovate to stay ahead of competitors. Don’t underestimate the power of strong rivals. 2. Strategic Missteps: Snapdeal expanded too quickly into different sectors without a clear strategy. Learning: 🎯 Stay focused and don’t spread yourself too thin. Diversification is good, but only if it’s well-planned and aligned with your core strengths. 3. Poor Customer Experience: There were many complaints about product quality and delivery times. Learning: 🙌 Always prioritize your customers. Quality control and excellent customer service are essential to building trust and loyalty. 4. Financial Constraints: Snapdeal faced funding shortages and couldn’t sustain its high spending on discounts and promotions. Learning: 💰 Manage your finances wisely. Ensure that spending is sustainable and investments are strategic. 5. Management Issues: Frequent changes in top management created instability. Learning: 🧑💼 Strong and consistent leadership is crucial. Align your vision and strategy across all levels of management. 6. Market Dynamics: Consumer preferences changed, and Snapdeal couldn’t keep up. Learning: 🌐 Stay attuned to market trends and be ready to adapt quickly. Understanding and anticipating customer needs is key to staying relevant. 🔑 Key Takeaway: Snapdeal’s journey teaches us the importance of strategic focus, customer satisfaction, financial prudence, and strong leadership. Every failure is a step towards learning and growth. Let’s learn from these lessons and strive for success in our ventures. What are your thoughts on this? Have you faced similar challenges? Let’s connect for grow your business and create a result oriented marketing strategy. #BusinessLessons #Snapdeal #Ecommerce #Leadership #CustomerExperience #StrategicPlanning #FinancialManagement #MarketTrend #amitchat #marketingwithamit Image Source: Google