80% shoppers chose regional, local brands during festive sale: Snapdeal

A private security gurad stands at a gate of Snapdeal headquarters in Gurugram on the outskirts of New Delhi, India. (Photo: Reuters)

Value-focused e-commerce marketplace Snapdeal on Wednesday said 80 per cent shoppers chose regional or local brands for their Diwali purchases during its just-ended festive sale.

The remaining 20 per cent opted for national and international brands, Snapdeal said in a statement.

The comparable percentage was 65 per cent (regional or local brands) and 35 per cent (national and international brands) in the last festive season, it added.

Snapdeal's first sale of the festival season ran between October 16-20.

"The strong growth of lesser-known brands relative to national/international brands was because of two key reasons: increased choice and a substantial price difference," the statement said.

"As part of sale preparations, Snapdeal had conducted a survey of nearly 1.25 lakh users and one of the key insights was user unwillingness to pay for brand premiums this year and instead focus on the functional value of their purchases," it added.

Snapdeal said at the end of its sale, nearly 70 per cent of the orders were received by sellers located beyond the top 5 metropolitan areas of the country.

These include sellers in major non-metro commercial hubs like Jaipur, Surat, Ahmedabad, Coimbatore who receive a large volume of orders every year, including in the festive season, it added.

Also, more than 90 per cent of Snapdeal's orders were placed from non-metro cities. At the conclusion of the sale, buyers from over 3,700 towns across India had shopped on Snapdeal.

Snapdeal said 4 out of every 10 orders placed on Snapdeal were by first-time users, which is consistent with the fast adoption of e-commerce by new users.

During the pandemic, the platform added over 6 million new users on its platform, a trend that accelerated in the festive season, it added.

Cities like Nagpur, Vijayawada, Surat, Bhopal, Chandigarh, Visakhapatnam, Ranchi, Patna, Guwahati and others continued to drive orders on Snapdeal.

Smaller cities like Sagar (Madhya Pradesh), Raniganj and Durgapur (West Bengal), Patiala and Gurdaspur (Punjab), Anand, Bharuch, Una, (Gujarat), Miryalaguda (Andhra Pradesh) and Bhimavaram (Telangana) also clocked impressive order volumes, the company said.

Home products category grew by 30 per cent over last year. With this, it became the largest category on Snapdeal this year, overtaking the fashion category which has traditionally been the top-performer.

The growth in home category was propelled by popular products like food processors, kitchen tools, pressure cookers, kitchenware, bed covers, quilts and comforters, home decor items, home cleaning equipment, LED lights, among others.

Gift cards have also been hugely popular with a 3X surge in orders as compared to the festive sale last year, the statement said, adding that it included gift cards for travel, entertainment, food and retail brands.


(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)


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