Shopclues, the latest startup unicorn of the hugely booming Indian e-commerce industry has set itself apart from the competition and soared high.
The online shopping company valued at over a billion dollars has ticked all boxes right and is on a drive towards turning profitable in the second quarter of 2017.
Tracing back the success story of Shopclues, there are 5 defying factors that contributed to the company’s rising.
1. Affordable Products & Widest Range
There are over 5 lakh merchants on the Shopclues platform which has over 3500 categories under which millions of products are listed. The advantage that Shopclues offers over rivals like Amazon India, Flipkart, and Snapdeal is that it focuses mainly on the distribution of non-premium and non-branded products.
The affordable price point combined with a humongous product selection gives Shopclues an edge over the competition.
2. Brand Positioning
Shopclues positions itself as a market rather than a mall. The ad campaigns of the company reiterate this statement of positioning itself as a huge online market.
Shopclues follows a pure marketplace model and has no plans of sporting a business-to-consumer (B2C) arm like Flipkart’s WS Retail. The average basket size in Shopclues is Rs 800 and it markets itself to a wider and unknown audience primarily in Tier-II and Tier-III cities.
3. Great Shopping Campaigns
Shopclues is one retailer which has regular shopping campaigns that drive directed sales week after week. The e-commerce company, apart from special sales during festival seasons, runs weekly sales that generate a lot of interest among shoppers.
The Shopclues Wednesday Super Saver Bazaar and Shopclues Sunday Flea Market are regular sales that happen every Wednesday and Sunday.
The prices start as low as Rs 20 and there are thousands of products spread across various categories such as electronics, fashion, home and kitchen, accessories and sports. At times there are Shopclues mobile offers as well which give good discounts on mobile phones.Shopclues mobile offers as well which give good discounts on mobile phones.
With these regular campaigns, Shopclues has captured a largely untapped user base from non-metro cities which looks to buy products at nominal prices.
4. Flexible Payment Modes
While Cash on Delivery (COD) is still the most used mode of payment across retailers, online payment modes are catching up and Shopclues has made major headway in this.
Retailers like Flipkart, Amazon, and Snapdeal accept only Cards, Gift Voucher, and Net Banking as online payment modes. Meanwhile, Shopclues has flexible payment options which include a huge selection of mobile wallets like MobiKwik, Ola Money, ICICI Pockets, Airtel Money, and Oxigen wallet.
The bigger the selection the better it is. Users can avail additional offers from these mobile wallets from time to time that saves more money.
5. Value Additions
Similar to its competitors, Shopclues has always had a focus on value additions and giving customers the best experience. The shopping site has since inception launched a slew of customer-centric programs that enhance the user experience.
Recently, Shopclues launched the ‘Shopclues Surety’ program by which it tackles quality issues for products listed on the website. With this, Shopclues classifies products into 4 categories – Best Buy, Great Buy, Value Buy, and Brand Authorized that allows customers to make optimal purchase decisions.
The Shopclues juggernaut continues as the company takes leaps and bounds towards a possible IPO in the later part of 2017.