Snapdeal is one of India’s leading e-commerce companies with its headquarters located in New Delhi. Snapdeal was launched in 2010, a time when the e-commerce market in India was at a nascent stage. The company was co-founded by Kunal Bahl and Rohit Bansal. Snapdeal currently offers more than 60 million products across various categories such as mobiles & tablets, computers, office & gaming, electronics, home & living, men’s and women’s fashion, sports, fitness & outdoors, daily needs, motors & accessories, books, music, real estate, and financial services. The company has more than 3 lakh sellers on its e-commerce platform that cater to millions of users. Snapdeal has a wide logistics network and it delivers to more than 6000 cities and towns in India.
History: Snapdeal launched operations on February 4, 2010. At that time, the core business idea powering Snapdeal was the daily deals platform. It allowed users to get the best deals every day, for example, discounts at restaurants, hotels movie theaters, etc. Later, in December 2011, the company announced its plans that it would be changing its business dynamics and transitioning to a full-fledged e-commerce company. The move came as a surprise to investors, since the company had a 70 percent share in the daily deals business. Investors were skeptical, but Bahl was able to convince the board members. The decision has turned out to be visionary, as Snapdeal is currently a leading e-commerce marketplace in India.
Funding: Snapdeal is one of the most funded companies in India. Till date, it has received total funding worth $1.78 billion. Snapdeal has received funding from individuals as well as private equity investors and venture capitalists. Some of the top investors in Snapdeal include SoftBank, BlackRock, Temasek, Foxconn, Alibaba, eBay Inc., Premji Invest, Intel Capital, Bessemer Venture Partners, Mr. Ratan Tata, Clouse SA, Ontario Teachers’ Pension Plan, Kalaari Capital, Nexus Venture Partners, Cambrian Ventures, Iron Pillar, and Myriad Group.
Acquisitions: Snapdeal has acquired several businesses over the years to boost its competitiveness and service offerings. Some of the key acquisitions include GoJavas, TargetingMantra, Reduce Data, Fashiate, MartMobi Technologies, RupeePower, Exclusively, Wishpicker, Doozton, and Shopo. Snapdeal has also invested in various businesses such as Vulcan Express, FreeCharge, NuvoEx, PepperTap, Bewakoof, and Zumbi.
Competition: Snapdeal competes with other leading e-commerce marketplaces in India such as Flipkart and Amazon India. In 2017, Snapdeal was almost certain to be acquired by rival Flipkart, but the deal was abandoned at the last moment. Co-founder Kunal Bahl wanted Snapdeal to make a fresh start, which is why the acquisition deal was called off. Snapdeal recently sold FreeCharge to Axis Bank at around Rs 385 crore, which has allowed the company to begin a new journey.
About the Founders: Snapdeal was co-founded by Kunal Bahl and Rohit Bansal, who are school friends. Kunal Bahl is currently the CEO of Snapdeal whereas Rohit Bansal is the COO. Kunal Bahl has studied management at the University of Pennsylvania, the Wharton School and Kellogg School of Management. He had worked at Microsoft earlier. Rohit Bansal is an engineering graduate from the Indian Institute of Technology, New Delhi.