Snapdeal Bets Big on FMCG
Writankar Mukherjee & Ratna Bhushan
Kolkata | New Delhi: Ecommerce marketplace Snapdeal is betting big on FMCG products to drive recurrent purchase from shoppers, and has started fourhour assured delivery of these products in Gurgaon as a pilot.
Snapdeal plans to enter into all household goods and consumables, except fresh produce like vegetables and fruits, and take fourhour delivery to other big cities.
“Since we have set a target of 20 million consumer transactions everyday by 2020, we have to make Snapdeal a single habit app for all consumption needs. Herein FMCG will play a big role and for this we would have to compete against the local kiranas,” said Rahul Taneja, vice-president (category management) at Snapdeal. He added that there is demand for premium FMCG products and large packs, especially in tier II and III markets with consumption power. “We are trying to expand the access of goods and not undertake any distribution arbitrage. In fact, we share data with FMCG companies on pockets of demand,” he said.
Tony Navin, senior vice president (partnerships and strategic initiatives) at Snapdeal, said a lot of companies do sampling through the platform, which attracts repeat purchases.
Snapdeal has inked direct rela- tionship with most FMCG majors including Hindustan Unilever, Nestle, P&G and Reckitt Benckiser. On Tuesday, Nestle launched its Maggi vegetable atta and oats noodles for an exclusive preview sale on Snapdeal. The company, which bought a stake in hyperlocal grocery delivery service PepperTap, said it will continue the marketplace model for FMCG.