Ecommerce in India — despite its relatively smaller market size as compared to the US or China — has always been a battleground of sorts. While the fight was earlier on who captures more money to further capture more market share, it now has another angle — brand positioning.
And taking the first steps towards bettering its brand image is Snapdeal. I haven’t really been find of Snapdeal’s current branding, specially the logo, which would clearly look old school to any design expert out there. And not just that, it makes the company feel like an early-stage startup, rather than the $5Bn + valued Indian ecommerce giant that it is.
Well the logo, is changing. According to a report in Livemint, Snapdeal is reportedly undergoing a massive brand overhaul with changes in logos, taglines and much more.
According to the report, the new logo of Snapdeal may have a single color unlike the current combination of red and blue. The logo apparently bears a resemblance to that of Dropbox. In addition to it, the company can come up with another new tagline for this festival season. Notably, it has been coming up with fresh taglines near festival season every year.
Snapdeal co-founder Rohit Bansal is personally heading the branding project and is working closely with advertising agency McCann Erickson. Recently, the company also revealed that it would spend nearly 200 crores on a 360-degree marketing campaign.
It will launch the campaign across all media platforms- TV, print, social media, YouTube and others next month. The campaign will run for nearly 2 months till Diwali season. During the season, all major e-commerce companies will battle it out for the maximum attention of consumers.
We may expect the new logo and other branding changes in this upcoming campaign. Snapdeal is further supported by its latest funding round which it recently closed by securing $21 million from Clouse SA. However, we may have to wait for its actual impact on the performance of Snapdeal amidst competition from Amazon and Flipkart.
It will be interesting to see the strategy of e-commerce companies in this festive season, particularly after the new FDI rules. After the implementation of those rules, no company can get more than 25% of sales from a single seller and nor do they can affect the prices directly.
This has led to an increase in the importance of sellers on these platforms. Consequently, the companies have been making efforts to attract sellers to their respective platforms. For instance, Amazon recently introduced automated returns to ease the refund and return process for sellers.
A particular focus of all these companies is on logistics and seller fulfillment centers as well. Snapdeal recently came up with 6 mega logistics hubs under its in-house logistics unit Vulcan Express. Amazon too had recently opened six new fulfillment centers before the festival.