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EC02 E-Com Intro 2 Scenario

EC02 JSS -DM103 Ecommerce -BL01M01-Day 02-23Jan21 D02

Additional Study points

What are white goods?

Durable goods, generally purchased for household or office use. Examples include refrigerators, microwaves and air conditioners. They are called white goods because, historically, they have been available only in white.

What is white label manufacturing?

White labeling occurs when the manufacturer of an item uses the branding requested by the purchaser, or marketer, instead of its own. ... White label products are easily spotted on store shelves, as they have the retailer's own name (commonly known as the "store brand") on the label.

White Label involves taking someone else’s product and putting your name on it. You are directly selling a product that is developed, controlled and serviced by someone else. The product/service is produced by one company and a different company (the marketers) brand the product to make it appear as if they created it.

Private Label is when you contract with a manufacturer to produce a product to your specifications. This results in the highest possible profit margin, because you are only paying someone else for manufacturing.

One of the biggest challenges faced by B2B marketers is generating enough of the right type of traffic to their website, as having the best content in the world is meaningless if no one sees it.

One example of a traditional B2B market is in automobile manufacturing. Everyone knows some of the biggest consumer-facing brands, but in every model of car or truck they produce are dozens of other companies' products. ... General Electric makes plenty of consumer goods, but it also provides parts to other enterprise

What are the major trends affecting b2b marketing?

trends such as

  1. personalization,

  2. account-based marketing ,

  3. retention marketing

  4. marketing automation and email marketing

will become even more dominant in B2B marketing strategies.

Top B2C eCommerce Challenges

Business-to-consumer marketing, or B2C marketing, refers to the tactics and strategies in which a company promotes its products and services to individual people: creating, advertising, and selling products for customers to use in their everyday lives

  1. Meeting the Exact Customer Expectations

  2. Getting Relevant Traffic for your Business and Website

  3. Rendering Mobile-Oriented Experiences.

  4. Digital Currencies, monitoring and servicing.

  5. Adaption of Voice Ordering System

  6. Reaching Out Through Multi-Channel Marketing Approach. ...

  7. Fair Product Return Policy.

  8. Retaining Customer Loyalty.

Challenges Ecommerce Marketers Are Facing

  1. Accessing Data Across Platforms. .

  2. Identifying Customers Across Channels.

  3. Mapping the Customer Journey. ...

  4. Identifying New Potential Customers. ...

  5. Maintaining a Consistent Customer Experience. ...

  6. Tracking Performance Metrics Accurately. ...

  7. Maintaining Privacy.

Challenges for E Commerce Website Content Managers

  1. Prioritizing mobile content. ...

  2. Making the website dynamic/responsive (use of Chatbots/AI).

  3. Consistently creating great content. ...

  4. Allow customers to book in real-time. ...

  5. Finding the time to be active on social media. ...

  6. Engaging followers on social media. ...

  7. email marketing.

Scenario and Class Discussion

"Why do you think Snapdeal, which was once very promising Ecom Website, having very high valuation, suddenly went out of the Ecom competition? Write in your own 50 words with only bullet points."

Teacher' Note : Success or otherwise of a eCom Platform is based on lot of factors, sometimes its just ensuring continuity and never-give-up. Certain decisions which were taken by the corporate did not go well with market. One point is the stigma and perception. Any brand/corporate should never ever get attached to any "name" or "type" or "cheap" which could be detrimental for success. secondly, this business is very capital intensive, you need to be patient, dynamic, agile and there is no place for lethargy.

The response from Students are very encouraging that they have done their research and understood the situation. However, the brand and the company is reviving now, and its a matter of time they will bounce back.

Students Reponses


· "1) lack of original products

· 2) rumor's of first copy products

· 3) Low marketing

· 4) lack of unique value preposition.

· 5) lack of marketing strategy

· 6) they failed to raise their fresh capital

· 7) lack in quality products

· 8) they focused more on unbranded stocks

As I personally felt that the quality of the product is very low compared to other and I returned tht particular product

Akshatha V

I once used the Snapdeal but not purchased anything. As i know

*The product are displayed as genuine in their website, the buyers are getting cheated with poor quality ones.

*Target customer with special offers.

* High discounts to retain customer.

Amruth Reddy The main reason for the downfall of Snapdeal was huge competition from the E-com market kings Flipkart and Amazon. The company tried to do something new every week only related to clothing, but it never built any categories like Flipkart did with fashion and Amazon with prime and pantry. Snapdeal was not doing anything innovative to attract customers. If you don't strike differently why will customers choose you over others

Anusha P M "

* compare to other snapdeal drop down because quality of products

*not so promising with other websites

*not the worth to money

*offers and productivity not so much wealthy

*they didn't meet customers requirements and benefits worthy


Every ecommerce websites is being judged by the quality. The main agenda of buying products is to get fast and quality product and the process of delivery of product always plays a main role. Since snapdeal did not satisfy these agenda they have went out of the ecom competition

Apoorva M K

Snapdeal market share was dropped to 14 % . Many of the snapdeal 's acquisitions turned out to end poorly. Failure of snapdeal omni channel strategy is also one of the reasons. Faced many chaos inside the organization. Lack of democracy.

Ashwath Reddy

Struggling to raise fresh capital along with internal conflicts. They also tried to reduce cost and also handing out pink slips to employees. Rapid growth of Amazon also gave a better alternative for people. The founder of Snapdeal themselves accepted that there was executional error made by them. As Snapdeal was a copy cat of other e-commerce competition like eBay, Amazon etc they spent lot of expenditure on advertising without proper infrastructure they couldn't survive in a long run.


Initially snapdeal provides deals and offers also they doesn't deliver quality products *And service was bad and went away * In between many other Ecom already gain a trust of customers for instant flipcart and Amazon etc.

* without a customers trust on snapdeal , so it turned out to end poorly."

Deepika Mahadev Prasad

Less focus on quality, lack of a unique value proposition and missteps on the marketing front led to the fall of snapdeal, according to report by research and advisory firm redseer consulting.

• The market share of the e-commerce firm-which early this week pulled out from merger talks with bigger rival flipkart after six months of intense negotiations fell from about one fourth in September 2015 to 4%in March 2017."


"According to me, the mistake of snapdeal as an e-commerce platform was :

* use of low quality products

* late deliveries

* no proper customer care services

* there are many other e-commerce platform that are delivering quality materials in a short period of time with free delivery and with proper customer care services

* no deep discounts are provided

- because this is what attracts the indian customers towards this e-commerce or e-retailers platform

* both flipkart and snapdeal went under great loss

But amazon is stable when compared to other e-commerce platforms because it takes into account the types of product that customers want, and it knows about the indian markets and what the people wants or desire to have in a good quality with great discounts and service too

* the main problem or disadvantage of the snapdeal was there was no originality of the product.

* snapdeal was just greedy about the market share in a bigger piece and not having great quality products.

* you have to be consistent in the e-commerce markets because there are huge competitors.

* even if the competition is huge you have to give it your best when it comes to e-commerce or e-retailing

* every company goes through profits and loss but one has to try to overcome that by introducing good quality and original products rather than duplicates and low customer services

* the losses are due to too much of inventory stocked for too long

* the problem of this e-commerce platform was there were only few discount days and not 365 discount days, this creates a thought in the minds of people that only during these days we get a offer on the same products and not everytime

* it might seem costly too

And finally i being a management student, people think that even though the product rate was same before the sale and during the sale doesnt create a want in the minds of the people.

Eg: snapdeal

like if product-x was rs.1000 and during the discount they’ll put it as before it was rs.2000 now its rs.1000 even though there is no discount given

But whereas in amazon

If the product is rs.1000 and after 50% discount the product is given at rs.500

So, i think this was the problem of snapdeal. And this created huge market for amazon."

Krushik S T

"Regarding snapdeal website-

Refering to the above subject I would like to share few points

1.Snapdeal is one of the good ECom website but the usage of this website is low as compare to other ecoms for example Flipcart,Amazon etc.,

2.In Snapdeal website collections is too poor.

3.Snapdeal don't have own delivery facility sometimes products could not reach on time as per the expected schedule.

4.Their Track order facility is not so doesn't work sometimes.

5.Application is not user friendly.

6.The refund process is too difficult.

7.Lack of unique products."

MAHESH M Improper vision that they thought getting growth soon like other ecoms in shot time...and rising some offers suddenly

Mohammed shuaib "*customers not satisfied with shopping experience and products delivered by the site

*their are less brands compare other best ecom sites

*transportation costs of snapdeal is very high and sometimes products couldn't reach on times as per their expected schedule

*most of the snapdeal products are cheap rated and duplicate

Nikith hs "* They failed to keep trust built by the coustmer.

* Failed to maintain quality of products.

* They removed cash on delivery option for most of their products which damage them mainly.

* job security which was given by flipcart and amazon was more safety.

* One of the main reason is they didn't improve their ecom services like amazon prime and flipcart prime member which made snapdeal to come out of the ecommerce service

Reshma.M Snapdeal failed with competitors in satisfying the want of customers ,due to lack of quality, return options & payment facility which is very important for E-commerce.

Sammed Jain The agenda of snapdeal was only to make money rather than customers satisfactions and customer orientation

*No digital ads where published properly

*none of the negative reviews in their portal were answered timely and properly

*No necessary action were setup to build online staging and monitoring team.

*Digital complaints were not addressed on time

*No SLA (service level agreement) for complaints raised in online platform "

Savya Swaroop R "• Lack of Customer satisfaction and brand trust led to downfall of snapdeall never built any category as their USP like Flipkart did with fashion & electronics and Amazon with Prime & Pantry.

• The Boycott trend also led to the fall of snapdeal due to the Aamir khan controversy.

• Many of Snapdeal’s acquisition turned out to end poorly.

• Failure of merger with Flipkart.

• Poor after sales service & return policy issues .

Vinay R "Snapdeal entered the ecommerce market before flipkart and amazon and had a good headstart but what went wrong for them or what they did wrong are

- The first issue Snapdeal didn't have its own USP (unique selling point) as they always copied what their competitors did and they didn't had a differentiating factor for their site.

- Snapdeal also tried to do collaboration with other companies like freecharge and they failed to monopolize on how to use those company for their advantage."


In India there is no prize for distant third or fourth players, as snapdeal eventually lost control over quality of products which bought down trust of customers on it. And many other e-com platforms like Amazon and Flipkart etc raise/maintain their standard towards quality control which eventually led snapdeal to downfall. Earlier Snapdeal was the best alternative for people after Flipkart but emergence and rapid growth of amazon and other platforms gave people a better alternative.

Lakshminarasimman V Rao

Lakshminarasimman V Rao | DM103 E Commerce |Digital Marketing| Study notes | Study Material | MBA | Corporate Neeti Consulting | Mysuru

All data above is a combination of data from Internet, purpose of this doc is for research and education only and responses received from Class students and interaction.

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1 Comment

1.Less focus on quality

2.Lack of a unique value proposition

3.While its counterparts realised the market trends and focussed on growing categories such as mobiles, consumer electronics and fashion that dominate online retail, Snapdeal failed to meaningfully differentiate itself

4.Snapdeal also couldn’t leverage on the high-margin, fast-growing fashion segment as it couldn’t offer the level of product assortment and quality offered by market leaders Flipkart (along with Myntra and Jabong) and Amazon.

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