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Snapdeal Business Model

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Submitted By bhoomi82
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Snapdeal business model:
It is pure marketplace, somewhat like eBay and alibaba.
Snapdeal’s business and platform model is anchored by an innovative system that incorporates updates from both sellers and shoppers. The platform enables sellers to list products for sale on the site, manage inventory, and make pricing changes in real-time based on what is happening in the marketplace. High volume—for example, a pair of shoes sells every 30 seconds— means that thousands of sellers are making dynamic price adjustments. This results in Snapdeal’s inventory and pricing management system processing more than 500 writes per second. Meanwhile, shoppers on Snapdeal.com review and rate sellers for customer satisfaction based on their experience with the product, including shipping, delivery and returns. With every page click, Snapdeal.com combines the updates from shoppers and sellers to display the most relevant products, as well as rankings for all the sellers that are offering the product by price, delivery time, and customer satisfaction.
As stated by the Snapdeal Vice President of Engineering Amitabh Mishra, five keys to how his company has been able to achieve its incredible success in a short amount of time with five Keys:

1. A Services Oriented Architecture: To run the business, and grow ten times in two years, has primarily been the technology that they built. Their entire technology infrastructure has been built in house. It’s custom-made. That’s a mighty feat considering that they are a full-fledged e-commerce site. The vast majority of this technology has been built in two and a half years by 120 engineers. One of the primary things that allowed them to do this is the architecture. They have a fully distributed service-oriented architecture made up of mostly standalone subsystems. 2. Engineers as Recruiters: One of the biggest challenges in building

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