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Snapdeal Launches Affiliate Program; Amazon To Launch 3rd Party Logistics

Snapdeal LogoE-commerce market place, Snapdeal has launched its affiliate program, reports NextBigWhat. Snapdeal’s website says that those interested can sign up on the website and promote any product from its offer page through the affiliate’s website. Sales driven from affiliate websites would fetch them a commission of 10% on the sale amount with an upper limit of Rs 400. All the orders will be approved after 15 days of the transaction.

The company also states that the payouts will be visible as a flat percentage rate of the sale value in the current beta version. However, during the final payment, the amount would get adjusted to the maximum allowed limit per transaction, which is Rs 400.

Snapdeal’s affiliate program only offers a maximum of Rs 400 per transaction which is much lesser than its competitors like Flipkart, Amazon and in some cases, Infibeam which offer better commission fee for their affiliates. Considering that Snapdeal is already late in starting its affiliate program, it could become difficult for the company to gain traction for its program with its current program structure.

Amazon offers 5% on consumer electronics and 10% on all other categories. When Amazon had launched its website and affiliate program, Flipkart had in fact hiked its affiliate payout fees to marketers, to 10% on all categories that it offers during the month of July. The website currently offers 8% to most of the categories except electronics, gadgets, audio & video which get 3.5% commission. This is still a much better deal than Snapdeal.

Infibeam offers 1% on most of the consumer electronics categories, 5% for books and lifestyle products and 10% only on e-books. In some cases, the margin from Infibeam may be lower than Snapdeal.

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amazon-inE-commerce marketplace Amazon is close to the launch of its third-party logistics service in India starting with a pilot in Delhi-NCR region that lasts until February 2014, reports NextBigWhat. Sources speaking to the publication have said that the service will be free for sellers on Amazon until the end of the pilot. The company will offer cash on delivery service and intends to announce prices of third-party logistics services after the pilot.

The signing-up process for sellers who want to be part of the pilot is expected to end by December 15, 2013. Amazon had received government approval to set up its logistics service in India in February 2012 and is in the process of hiring people to set up this service.

In June 2013, online Marketplace Snapdeal had launched a fulfillment platform for sellers listing their products on Snapdeal.com. known as SafeShip. Courier company DTDC Couriers & Cargo had also launched a new specialized e-commerce logistics initiative called DotZot in March this year.

In December 2012, Rocket Internet-backed Jabong had launched third-party logistics service called JaVAS (Jabong Value Added Services). Other competitors in this space would include Delhivery (SSL Logistics) which had acquired offline cash collection network of Gharpay and had recently raised a round of funding, Chhotu.inHolisol andMudita, among others. Logistics companies like Bluedart and Aramex also have dedicated e-commerce divisions.

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