The e-commerce battle is getting fierce day by day. New deals are signed, some are forgone, new friends are made and new rivals surface!
Just a few days back Amazon formed a strategic alliance with the Future Group, Flipkart is still recovering from the Bigbillion Flop sale with show cause notices and now it’s Snapdeal’s turn to be in news!
The market is aloft with news that Snapdeal is planning to raise 650 million dollars by the end of this year. The present year saw Flipkart raise $1 billion in July followed by Bezos confirming to invest twice as much as Flipkart’s and looks like Tata backed Snapdeal doesn’t wish to be left behind. With Japan’s Softbank being the biggest investor, including others such as eBay Inc, Temasek Holdings Pvt Ltd and Ratan Tata having stake in Kunal Bahl led Snapdeal, it is sure to exceed to it’s expectations from the capital market.
This independence day, PM Modi emphasized on the importance of public and private sector synchronization for the welfare of public and two months hence we have our first duly signed MoU (Memorandum of Understanding)! This Delhi based company has finally finalized a MoU with the India Post for faster and reliable delivery. Known for it’s wider reach where private courier services refuse to go, India Post is the world’s largest postal service network.
John Samuel, member of Postal Services Board said, “India Post is ready to tap into the opportunities arising out of e-commerce as the decade’s old postal department has the manpower to deliver the goods even to the last corner of the country. Our delivery system is based on pin code system with 100 per cent accuracy, while courier services active in the country are limited to certain pockets only.’
As of now, Snapdeal and Shopclues has embraced India Post to help them give an “on-time-delivery” of goods to any nook and corner in the country. Though there are 1.50 lakh post offices with a huge workforce, India Post’s lethargic logistics was private logistic provider’s gain. But Samuel seems optimistic of fixing the damaged image of India Post by working with the biggies of the e-commerce space. Taking a dig at the Chinese postal services, he mentioned, “Most of the logistics part of Chinese e-commerce major Alibaba is being handled by the Chinese Postal department. India Post can also act as the largest logistics partner for e-tail majors in the coming days.”
On occasion of business development day on Oct 14th, India Post initiated the move and seems to be happy with the results. Snapdeal had earlier tied up with India Post to offer stamps including stamp collections for philatelists priced between Rs. 300 –Rs. 5,500.
Last year, even Amazon was piloting the India Post’s COD options. Amazon still uses US post, the official postal service of the USA for deliveries in it’s home country. Cash on delivery accounts to almost 2/3rds of the total e-commerce transactions. So a good logistics and money recovery systems are the need of the hour.
With each person owing more than 2 Sims and easy access to emails, the major transformation in connectivity put India Post out of business for almost a decade now. Eyeing the recent e-changes, Raghuram Rajan, RBI Governor has given the India Post a green signal for a banking license which means that doing COD transactions with the E-commerce portals will be further easy. The long severed public image of the India Post will get it’s big break by tying up with the e-commerce giants.
In return to the services given to the e-commerce companies, India Post will and is “in the process of inducting new-age technology through an enterprise wide IT Project, at an approximate cost of Rs. 4909 crores, which will bring in electronic connectivity and capability across 1.5 lakhs Post Offices for seamless delivery of all mail & financial services.”
A reasonable deal and a great timing for India Post to emerge from it’s cocoon. We hope to see India Post surprise us!
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Infact I use India Post extensively and they have given me excellent service…much better than pvt courier . I just dont get it, if these people who commented have used it even once, will know the difference. I guess it is just fashionable to say bad things about India Post or may be they own pvt courier companies
same feeling
India post service is 7 star, but image is poor
I went to post a consignment at main post office. I was told the charge will be 320 rupees for registered post and 60 rupees for Parcel (unregistered). I came out and had to send the consignment through a courier service that cost me 220 rupees. There is no tracking facility with the India Post’s Parcel service so I did not want to use that. And just for a registered parcel, it charges a hefty premium. There is always a long queue at its parcel counter. Its website does not give detail on charges and looks like the site was last updated in 2009. There is no postal or courier service suitable for individual sellers. The consignment that I sent should not have cost more than 60-100 rupees.
at this juncture it is not a proper decision-taken by the indian postal department which has also entered with the sale of philatelic items just leads to misguiding the public. the proposal that has been taken by the government department for the sale of philatelic items at huge price and if there is a product deficiency and if the product is not as per the order in the snapdeal site then who is to take the responsibility is a million dollar question it is due to my personal experience which i faced for a philatelic product which i placed order for a sum of rs.300/- +50 as delivery or postal charges but still i am to get the product ordered which was not as per the item displayed or as viewed or specified and i tried my level best to make several contacts but in vain and no one is there to solve in the deficiency of service which they made. and it is a great question mark that arises as a public that whom to be contacted for the problem that has arisen and later was instructed to approach court for the deficiency of service but against whom still there is a question mark.so by this it is clearly understood at this beginning stage itself e-commerce business is not an advisable business for india and only the customers are the sufferers if there is a product or service deficiency that arises. no wonder you may be surprised only the product may be received without any content inside in accordance with the specification that is to say the box will be opened only after delivery which is in tact and receipt of the product according to the postal department the product is delivered safely without knowing what is inside so for department it is safely delivered and you cannot question them in deficiency of service for the said product the same thing was sited in my order and found shortage after receipt and opening of the product which i was disappointed so at this point snapdeal has to compensate but they are silent and yet to compensate or take the responsibility to solve the problem. this is the position as on date it is almost one month over.
Its really interesting to know largest ecommerce companies are planning to utilize INDIA post vast network to reach out to the corner of India.
As many are aware, India Rural Market is huge and it is only with INDIA post, ecommerce companies can reach corners of India and delivers can happen though India post.
Awesome business deal!!!
God save the customers. Snapdeal’s service was already pathetic when it used Bluedart. Now it will take months for the products to reach a customer through India Post.
Please do not abuse India Post. They have the most reliable service per se. Please remember your passports are delivered to you via India Post.
I doubt u have ever used India Post, I dont know about snap deal, but I can vouch for India Post coz I use them extensively for the 6 years, never once have they given reason to complain….
Dear Sir
No doubt India Post services are good for documents but when we talk about Parcel specially for COD shipments then we face some delivery issues because of COD delivery process or technical issue (Speed net 4.2 version)