If we want, we could turn profitable tomorrow…we are here for the long term, at least two to three decades, and we have to keep building infrastructure for higher growth…If I care only about profits, I could flip the switch and turn profitable. But we choose not to and instead, invest ahead of time.Snapdeal which recently bought the luxury fashion portal exclusively.com, to compete with Flipkart's Myntra, is now chalking plans to expand its electronics goods segment. With a big budget of $1 billion and a good eye for detail, there might be some game-changing acquisitions from Snapdeal this year. As you wait for it, we will keep you updated, as and when they happen!
Snapdeal, one of India's biggest online retail giants is planning to get bigger, with more acquisitions this year. The New Delhi based company is exploring options to invest $1 billion to beef up its product line-up - mainly electronics. Rohit Bansal, the Co-founder and Chief Operating Officer of Snapdeal, confirmed reports saying, "We are looking to close five to six deals this calendar year." The IIT-Delhi alumnus also hinted that a partnership with Alibaba - the Chinese e-commerce giant, is on cards. Snapdeal, founded in 2010 by Rohit Bansal and Kunal Bahl, has grown rapidly since, becoming a major player in the Indian e-commerce industry. An industry once dominated by Flipkart, has come to life, with Snapdeal and Amazon joining the fray. Though, the customer is the ultimate beneficiary of this intense battle where the profit margins are very small for companies - they seem okay with it, as for now. It is not the temporary gain that they are interested in. They want to build a brand loyalty among customers. They know that, it is the customer's trust and belief, that will make their business stable, for years to come. So, they don't mind a few losses for now. This is echoed in the COO's words