Snapdeal has shipped products worth $300 million (R1,800 crore) until Sunday, since its Diwali Sale started on Tuesday last week. A source in the company confirmed that 6 million products with an average ticket size of Rs 3,000 were sold during that time frame.
Flipkart also registered transactions worth $300 million during its marquee sale. This is not the first time e-commerce giants are fighting over consumers during a festive season. Last year, traffic for e-commerce sites went up five to ten times, and this year is no different. This festive season, analysts expect goods worth $8 billion to be sold online.
Snapdeal witnessed ten times growth in electronics and four times growth in other categories. It sold mobile phones worth Rs 500 crore. Two sarees and two pairs of footwear was sold every second, sale of cameras and accessories grew 22 times and sale of furniture grew 7.5 times. Overall, there was a 700% growth in sales compared to what the site saw last year.
However, analysts also said that the differentiating factor this festive season will be consumer experience, and on-time delivery of products. Flipkart faced technology glitches on the day it started sale. Snapdeal and Amazon has not faced any such problems so far.
In fact, Snapdeal has made it a point that it ships 98.6% of its products within 24 hours of the orders being placed. In metros, most of the orders were delivered within 12 to 24 hours, and in three days time to far flung towns like Aizwal, Dibrugargh and Agartala in the North East, and also in smaller towns like Cooch Bihar and Anantnag.
Two-third of Snapdeal’s orders came from tier-II and tier-III cities. Growth in smaller towns also resulted in increasing number of app downloads— five million during the festive season.