Snapdeal, one of the front runner in the eCommerce segment, has integrated services of redBus, Zomato and Cleartrip as a pilot project. With this move, the company is hoping to help customers get access to several third-party services directly through its app — in short, get more people to use its platform.
This seems to be a win-win situation for Snapdeal and other service providers. With this partnership, Cleartrip, Zomato and RedBus will get access to the user base of one of the largest Indian eCommerce company, and in return will provide snapdeal which many more paying customers than it currently has.
Snapdeal, on the other hand, will be earning a certain percentage of commission for each booking made through its platform. While air ticket have large gross merchandise value, the food ordering falls under high frequency category. Last year, CEO Kunal Bahl had said that Snapdeal will surpass Flipkart in terms of GMV by March 2016. This pilot could well be a step towards achieving that milestone.
Recently, it tied up with real estate developers, including TVS Emerald, Provident Housing and Runwal Group to launch real estate and financial services on its website.
eCommerce companies are now experimenting with the new ways to generate more revenue from the high amount of traffic that they gets. They are now integrating service based offerings which does not require a physical space and can be easily managed online.
Paytm too started with a similar third-party service integration with numerous platforms, allowing users to book air tickets and bus ticket directly through its platform.
Earlier this year, Snapdeal revealed its plan to offer its services to customers in 11 new Indian languages. It is planning to target 130 million more users which have been left out because of that English disconnect.
In order to improve its service by improving logistics and delivery times, Snapdeal has made close to 10 acquisitions and investments in startups in the last 12-14 months, all in the field of technology or supply chain management and payments.
Recently, Snapdeal announced closure of $200 million fresh funding round led by Ontario Teachers’ Pension Plan and Singapore-based investment entity Brother Fortune Apparel, among others. The amount was raised at a valuation close to $6.5-$7 billion.
