In the growing e-commerce market, Snapdeal has secured yet another round of funding of $100 million from a group of five investors including Azim Premji’s family office. Valued at $1 billion, the investment is the third in the previous year for Snapdeal and fourth Indian startup to reach the milestone.
In addition to Premji Invest, Temasek, BlackRock, Myriad (Hong Kong based asset management company) Tybourne (hedge fund based out of Hong Kong) have also invested in the Gurgaon based firm. They are very selective about their investments, hence it is an achievement for Snapdeal to have secured their funding which reflects their confidence and trust in the future of Snapdeal.
The e-commerce market is currently a battleground in terms of delivery and price points. Snapdeal faces stiff competition from home-grown giant Flipkart and global giant Amazon. All three of them introduced services like same day and next day deliveries within weeks of one another. Aggressive pricing strategies are displayed with steep discounts.
Snapdeal continues to be super aggressive in execution but careful about spending capital. Registering 600% growth in the last year, it aims to reach $1 billion sales this fiscal year.
According to the Snapdeal team, this round of funding was mainly to associate with partners sharing long term vision similar to them. This shows their commitment to expansion and growth which can only benefit sellers associated with them.
After dwindling with her family business, into travel and hospitality, for more than 3 years, Pooja Vishant found her true love in writing. Happy-go-lucky and cheerful, she loves pink; so pink is the way to go if you want to get into her good books. The Associate Editor keeps track of even a leaf that has moved in the ecommerce world!
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