Research - Snapdeal
Online Shopping Behaviour Mens Apparel
Vaibhav Pahuja
Priyank Aggarwal
Ria Rochlani
Pankaj Kaushal
Table of Contents
About Snapdeal ....................................................................................................................................... 3
Research Objectives ................................................................................................................................ 4
Project Methodology .............................................................................................................................. 4
Research Approach ................................................................................................................................. 5
Game Plot................................................................................................................................................ 5
Options Available to Customers in the 5 Levels.................................................................................. 6
Game Visuals ....................................................................................................................................... 6
Information about men's apparel available on Ecommerce sites .......................................................... 8
Categories ........................................................................................................................................... 8
Price Range ......................................................................................................................................... 9
Top Brands .......................................................................................................................................... 9
Segmentation ........................................................................................................................................ 10
Demographic Factors ........................................................................................................................ 10
Psychological Characteristics ............................................................................................................ 10
Research Insights .................................................................................................................................. 12
Medium of Purchase ......................................................................................................................... 12
Product Preference ........................................................................................................................... 13
Discount Preferences ........................................................................................................................ 14
Compare Prices or Close the deal ..................................................................................................... 15
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Acknowledgement
Generally, individuals set aims, but more often they are not, their conquest are
by the efforts of not one but many determined people.
In performing this assignment, we had to take the help and guideline of some
respected persons, who deserve our greatest gratitude. The completion of this
assignment gives us much Pleasure. We would like to show our gratitude to the
marketing faculty at MDI for giving us guidance for assignment throughout
numerous consultations. We would also like to expand our deepest gratitude to
all those who have directly and indirectly guided us in writing this assignment.
Many people, especially the Illumina team members, have made valuable
comment suggestions on this research assignment which gave us an inspiration
to improve our assignment.
In addition we thank Snapdeal for providing us this opportunity to carry out the
market research in area of E-commerce.
We thank all the people for their help directly and indirectly to complete our
assignment.
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About Snapdeal
Snapdeal is an online marketplace, New Delhi, India. Snapdeal set a niche for
itself in the sphere of e-commerce in India. In 2010, when Kunal Bahl and Rohit
Bansal wanted to start their own business, they chose an offline couponing
business and named it MoneySaver. 15000 coupons were sold in three months
and it was time to take the business to the next level.
Initially started as an offline business, Sneapdeal went online in 2010. It was a
bumpy ride in the first few months. However, the biggest decision of the
founders came in November 2011. Inspired by the success of Alibaba.com, Rohit
and Kunal wanted to create something on similar lines. The deals business was
shut down and an online marketplace was launched instead.
Snapdeal is now one of the fastest growing e-commerce companies in India
today with the largest online market place. In just two years, the company went
from scrapping their group coupon business and starting an online marketplace
to become a billion dollar company. Its year on year growth is almost 600%.The
average age of the workforce at Snapdeal is 25. Their values Innovation,
Change, Openness, Honesty and Ownership drive them to press for greater
success. The companys growth had been phenomenal but it is their continued
effort to bring the best to the market and their zeal to succeed as the best B2C
(Business to customer) marketplace is what sets them apart.
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Research Objectives
Primary Objective:
How does the customer navigate to mens clothing on Snapdeal- Search bar,
navigation bar, banners, Google etc.? How does this behaviour differ on web,
app and M-site.
Secondary Objectives:
If they compare prices on other portals before buying from mens clothing
Process of comparing prices on other portals
If they buy non-branded product if the product is at a cheaper price
If during sale days min 50% is a good communication or upto 70%
Project Methodology
The objective for market research was set as conveyed by Snapdeal and
subsequently methodology was designed keeping in mind the above
mentioned objectives.
Following data sources were referred to, for the market research:
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Research Approach
Game Plot
The game was designed to extract information about the purchase behaviour of
the consumers while buying Mens clothing on E- commerce sites. The setup was
made in the Diwali Mela which was hosted at MDI. Following game was designed
to conduct the research:
The people were told to play a game where they had to select the
displayed badges on which the actual buying choices were depicted
There were five levels in the game and each level had various options for
participants to pick
There were playing cards behind each badge and the participants were
told to pick any of the playing card from the 13 playing cards behind the
each option(badge)
The scores on card of level 1 were multiplied by 1, on level 2 were
multiplied by 2 and similarly the scores were calculated
The scores of all 5 rounds were added and prizes were given based on the
final score they scored
A special prize for the highest scorer in half an hour slot was awarded a
special prize
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Website
Mobile App
App
Search bar
Navigation bar
Banner
Google
Branded Apparels
Non Branded Apparels
Evaluation of Alternatives
Evaluation of Alternatives
Compare products
Complete Shopping
Discovery of Product
Discovery of Product
Purchase Decision/Buying
Value
Game Visuals
The pictures taken during the game depicting various aspects of the game are
shown below
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Participants
Mobile App
Search bar
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M-site
Navigation bar
Website
Banner
Branded Apparels
Upto 70 % Discount
Complete Shopping
Compare Prices
Casual Shirts
Sweatshirts
Sweaters
Jackets
Jeans
Casual Trousers
Formal Shirts
Formal Trousers
Inner Wear
Track Wear
Ethnic Wear
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Price Range
Below 500
500 - 999
1000 - 1499
1500 - 1999
2000 - 2499
Above 2500
Top Brands
E-commerce portal
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Top Brands
Private Labels
Segmentation
- Based on primary research data
Demographic Factors
AGE GROUPS
31-35
13%
36-40
4%
GENDER
16-20
5%
F
35%
21-25
31%
M
65%
26-30
47%
Psychological Characteristics
Customer decision process carries five stages, starting with Problem recognition
and following Information search, Evaluation of alternatives Purchase decision
and finally Post Purchase behavior. Problem recognition starts with the
perception of need and moves towards information search where consumer
uses internal and external sources to analyze given information and use that
information in the next step of evaluation of alternatives. While evaluating
alternatives one assessing values of the products by giving weights. Once you
have successfully evaluated alternatives you will move towards purchase
decision where you may encounter three possibilities, from whom to buy, when
to buy and do not buy. Once you have actually made the purchase now it comes
to Post purchase behavior, whether you are satisfied or dissatisfied with your
purchase.
Design of questionnaire was based on the above consumer buying behaviour
process
Problem Recognition
o Given to the Customer / Player
Discovery of Product
o Medium of Purchase
o Navigation flow
Evaluation of alternatives
o Type of Products Branded vs Non Branded
o Discount Range
Purchase Decision/Buying Value of the e-commerce website
o Complete shopping vs Comparison of prices
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Research Insights
Medium of Purchase
Overall
M Site,
20%
App,
42%
Desktop,
39%
MEDIUM OF PURCHASE - FEMALE
M Site
20%
M Site
20%
App
43%
App
41%
Deskto
p
39%
Deskto
p
37%
Insight: Of the Overall customer/players, 2/3rd displayed affinity for Mobile purchasing
(Apps+ M-site). App buying dominated the three options yet Desktop was a close second.
Similar trends were visible across male and female buyers.
M Site
Desktop
25%
5%
App
25%
38%
30%
36%
48%
Banner on Websites
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20%
3%
18%
52%
Navigation Bar
Others
Search Bar
Product Preference
Non
Brande
d
24%
Branded
76%
24%
26%
20%
76%
74%
80%
App
Desktop
M Site
Branded
Non Branded
Insight: Customer/Player displayed a preference for Branded apparels with 76% opting for
it. Buying behaviour was similar across purchasing platforms.
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Discount Preferences
Upto
70% 35%
Min
50% 65%
35%
66%
65%
Female
Min 50%
Male
Upto 70%
Desktop
M-Site
31%
34%
25%
34%
App
40%
28%
60%
69%
75%
66%
60%
72%
40%
Branded
Non Branded
Branded
Min 50%
Non Branded
Upto 70%
Branded
Non Branded
Insights: 65% of the customers displayed preference for Minimum 50% discount across
the platforms reflecting that the word Minimum was more effective in inducing them to
purchase.
The discount preference trends depicted a slight deviation for non-branded apparels for
buyers on App where consumer reflected preference for Upto 70% discount.
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Male
35%
Female
29%
46%
36%
23%
31%
Complete Shopping
Insight: Around 70%of customers compare prices before closing the deal and
Men are more probable than women to complete the sale without comparing
prices. 46% of women preferred comparing prices on Aggregator that reflects
no affinity to any specific competitor for pricing
The above trends reflect that majority of female are value seekers and dont
close the deal at one go without comparing.
Complete Shopping
Compare price on Competitor Site
29%
31%
55%
26%
45%
App
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35%
28%
25%
29%
20%
36%
33%
21%
41%
Desktop
M Site
Branded
46%
Non Branded
Insight: The segment of people buying branded clothes aswell are price sensitive
and compare prices as reflected from the choice of 2/3rd customer/players.
While buying non-branded clothes aswell the price sensitivity is displayed and
majority of customer/players chose to compare on aggregator reflecting no
loyalty for any specific site.
Surprisingly 55% of people close the deal without comparing prices when they
shop through M-site which is greater than that through App and desktop. This
aberration may be due to small sample size.
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