Backed by Softbank and until recently India’s second largest e-commerce retailer, Snapdeal has reported that its losses currently stand at Rs.2,960 crore for FY2015-16.
Snapdeal’s spokesperson said that the company had diverted a large amount of funds towards improving their capabilities across logistics, technology, and building a seller ecosystem for the sake of establishing a strong platform on which to build up their future business. Snapdeal has also restructured its business model to Net Promoter Score or Customer Satisfaction from Gross Merchandise Value (GMV).
In addition to this, Snapdeal also acquired 6 companies last year in order to support their long-term business development plan. This included a total merger with FreeCharge for its wallet services and a large stake in GoJavas for its logistics solutions.
Total expenses on record for Snapdeal was a whopping Rs.4,416.6 crore, as compared to Rs.2,252.5 crore last year.
Amazon.in pushed its business aggressively and secured the title of India’s second largest e-commerce player, after Flipkart.