Confirming previous reports of an imminent launch, Snapdeal has now officially re-launched Shopo, the mobile-only marketplace it had acquired two years back. This is will be, by far, Snapdeal’s biggest bet to take on the likes of PayTM, Naspers-backed OLX, and Quikr among others.
Shopo, gives an instant edge to Snapdeal over rivals like PayTM, largely due to a one significant difference. While others such as Paytm require merchants to pay at least a transaction fee , Shopo is completely free — charging neither a commission nor a transaction fee.
Talking on the launch, Snapdeal founder and CEO Kunal Bahl said,
We are positioning Shopo for India’s 32-million small and medium sellers who necessarily don’t own a business to sell goods
Shopo will also give Snapdeal, more sellers for its own business. As an example, small shop owners, homegrown artists, housewives or anyone who does not have a TIN/TAN number or a value-added tax (VAT) registration, can start selling almost immediately at Shopo. Once established, they can get necessary documentation done and graduate to Snapdeal.
Bahl further adds,
We are building the most impactful digital commerce ecosystem in the country and are committed to make the experience convenient, efficient and mutually rewarding for consumers and sellers. Mobile is one of the key drivers fuelling the growth of e-commerce in the country.
The move comes at a time when commerce through mobile is going through a rapid growth with websites such as Myntra — which started out as e-retailers — closing shop on the web and focusing solely on sale through mobile based apps after most of their revenue seemed to be coming from smartphones. Snapdeal is no exception and according to claims, over 75% the orders processed by it come through mobile.
Other e-retail giants such as Flipkart and Amazon, already have their own mobile apps and are thus further ahead in the race. However, as they charge a commission per sale to merchants, Snapdeal’s Shopo is taking the Paytm introduced Zero-commision model one step further by not requiring the sellers to pay even any transaction fee.
With this new launch, Snapdeal is currently targeting to bring as many as 1 Million sellers online in the next one year. The app is currently available on iOS and Android.