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Email Marketing: One Reason For Success Of Snapdeal

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About Snapdeal:

Snapdeal is India’s biggest online market places with 20 million plus users (February 2013); they ship to 4000+ towns and cities; and they feature 6000+ brands across 500+ categories. Snapdeal sells a saree and a mobile every 2 minutes and is India’s 1st website to sell automobiles online.

Snapdeal is one of the fastest growing e-commerce companies in India today with the largest online market place. In just two years, the company went from scrapping their group coupon business and starting an online marketplace to become a billion dollar company. Its year on year growth is almost 600%

Snapdeal set a niche for itself in the sphere of e-commerce in India. In 2010, when Kunal Bahl and Rohit Bansal wanted to start their own business, they chose an offline couponing business and named it MoneySaver. 15000 coupons were sold in three months and it was time to take the business to the next level.

Currently, more than 50,000 sellers sell around 5 million products on Snapdeal. The company’s phenomenal growth in a short span has been a remarkable journey. The company began to concentrate on building scale and improving speed. When eBay invested in Snapdeal, they brought immense experience to the table.

Business objective:

The objective behind Snapdeal to also focus on email marketing apart from its other campaigns were:

Building a List/ Relationship
  • Having an email list of thousands of people allows the company to easily send message to a lot of people instantly. This beats going to each and everyone directly and giving them message.
Increasing Sales Conversion
  • Basically, the more emails company captures, the higher chance it will have with increasing sales conversations because the consumer might have a second, third or fourth opportunity to come back and buy the product selling on the website.
Repeating Sales
  • Email marketing also allows repeat sales of the products as the emails sent to the person can be tailored to the individuals choice depending upon past purchasing trend.
Getting Feedback from Customers
  • The most important aspect to a business is its customers. Customers may not always tell you about what they like or don’t like face-to-face. But with emails, they can be honest about their feelings. In order to constantly improve your business, one way is to ask your customers for feedback on the products that they have bought. What are some ways to improve it? What did they like about it? Sending out these questions to your email list allows you to get feedback from your customers, so you will know what business actions you need to perform next and how you can go on to improve your online business.

Approach/Strategy:

With the Octane Premium Platform, Snapdeal is powering up its successful email campaigns including segmentation, advanced targeting, automatic responses and email marketing analytic functions. Delivering hundreds of email campaigns every month reaching out to millions of opt-in subscribers, the Snapdeal team is leveraging the flexibility and massive scalability of Octane’s cloud computing platform to successfully leverage the power of email marketing.

Snapdeal sends over 6 to 7 million emails a day, making their data valuable and data security very critical. Keeping this is mind with various factors like geographical reach, product categories, types of audiences and much more; Octane devised an elaborate plan to deploy its services for Snapdeal.

The Snapdeal team needed to rapidly deploy an email marketing solution that would massively scale and integrate with their core systems. They were looking for an email marketing platform that’s flexible, agile and would integrate with their IT systems. This integration was critical to deliver advanced segmentation and hyper personalized customization based on sophisticated analytics including subscriber preferences, location, purchase history and other recent activity. Speed, scale and cost were key factors in the Snapdeal team’s decision to choose the enterprise email marketing leaders, Octane.in.

Now, the Octane Premium platform helps power these mission critical needs of Snapdeal’s email marketing campaigns:

1. Integration and customization: Octane Premium provides the much needed flexibility of onsite deployment of an advanced email marketing platform with the ease of integrating with Snapdeal’s core IT systems. Onsite systems like Octane Premium can deliver a higher level of customization and integration which was integral to Snapdeal’s exacting requirements. This automation is directly contributing to the efficiency of campaign execution.

2. Local support: Snapdeal’s team relies on email marketing as one of the top drivers for its demand generation activities and customer engagement. India based priority support played a key role in delivering the project integration and execution on time and within budgets.

3. Online Monitoring: Octane Premium combines a hybrid onsite-online mode of deployment which combines advantages of ‘on-premise’ (customization, integration, security, privacy and audit) with ‘online’ (email marketing domain know how, scale, availability, monitoring) to power up the high volume mission critical email marketing needs of a high growth enterprise like Snapdeal.com.

The result was the Best email campaign: Snapdeal and Octane did a series of campaigns under the category of ‘Similar Product Campaigns’, which are basically re-targeted campaigns. When a user visits a PDP i.e. Product Display Page, s/he has full intention of a purchase; still many users either do cart abandonment or after looking at the product details don’t purchase it. The ‘Similar Product Campaigns’ gives a subscriber an option to buy the product they like in addition to other similar products. These campaigns also give time-bound discounts on these products to push the subscriber more towards the buy button and score a transaction.

Results:

Incredible results were seen after the best email campaign. 1. The average open rate is 6%, for this particular campaign its 20% 2. When it comes to conversion rate, it is 2x times the average conversion rate, i.e. 100% growth. 3. The average click through rate is 20%, for this particular campaign it goes up to 35% 4. Data Analysis – Octane’s support team helps Snapdeal analyse the behaviour of every subscriber they have. In-return Snapdeal sends better targeted campaigns as per every individual subscriber’s interest.

As per Rohit Bansal, Co-founder and COO, Snapdeal.com , there was an increase on email marketing investments by 30%.”

Learning:

  • Email marketing tailors the products as per customers preferences as todays customer seeks personal attention.
  • Email campaigns are central to 1:1 relationship program with millions of subscribers.

Photo credits: website of Snapdeal

Avatar of maninder kaur
Maninder Kaur

1 thought on “Email Marketing: One Reason For Success Of Snapdeal”

  1. Yes, all step by step points’ are explain great to understand the Marketing people.
    Email Marketing is the way to attract more and more people, with the help of offers, Discounts and people will follow the Email template and will convert it into Lead.

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