Update On :02 July 2016
Snapdeal slipped to third position in Indiaâ€™s fast-growing e-commerce and Amazon remained in II position. According to a study by RedSeer Consulting, Flipkart remained Indiaâ€™s largest e-tailer, even though its growth during the January to March quarter remained largely flat.
Snapdeal, which was second in terms of gross merchandise value (GMV) in 2015, lost market share not only to larger peer Amazon, â€œLast year, Snapdeal was the largest seller of iPhones in the Indian market. They were the the only big e-tailer that did not have an exclusive deal with any mobile phone company, and what they did to game their GMV was to heavily discount the iPhone. Suddenly when they cut the burn, they took off the Rs 2,000 discount on the iPhone and GMV plunged,â€ said Anil Kumar, chief executive officer and managing director at RedSeer.
At the same time, Amazon made the move to sign up Motorola as an exclusive brand partner for its new devices, which in turn helped it grow its GMV, thus delivering a double whammy to Snapdeal. Flipkart and Snapdeal, who built a massive customer base last year are focusing now on profitability by improving efficiency, cutting costs and optimising resources. Both firms have shifted from GMV focus that clocked high turnover with losses to improving customer service and retention, hoping it would result in profits.
News Source From : http://www.business-standard.com/article/companies/amazon-narrows-gap-with-flipkart-tops-snapdeal-116070101233_1.html
Image Courtesy : http://the3doodler.com/wp-content/uploads/2015/02/AMAZON_LOGO.jpg