Flipkart.com Acquiring LetsBuy.com - What Went Wrong With LetsBuy?
@thebigk
•
Oct 26, 2024
Oct 26, 2024
1.5K
According to #-Link-Snipped-# flipkart.com is ready to acquire the direct ecommerce competitor letsbuy.com. This acquisition, is going to make the Indian e-shopping scene more interesting as the world online retailer heavyweight Amazon is also entering India and has already launched the Junglee.com service. But what really made letsbuy drop its weapons and sell itself off to the competition? Well, I think the major reason is their pathetic (yes!) customer service and flawed delivery model. E-commerce operators in India need to understand that people buy online for the 'experience', not just for the heck of buying online. LetsBuy was pretty aggressive on advertising and had brands like Samsung trust them for the launch of smartphones and tablets (remember - the original samsung galaxy tab was only available with letsbuy?).
I think letsbuy was too quick to raise lot of money from the top brand VCs (Accel invested over 6mn in the company). Once you've lot of VC money and don't really have a plan how to utilize it; you are motivated to bring in more customers; without really making your current customers happy. That's one point, I believe Flipkart did very well. I still go to flipkart to buy stuff online because my first impression with them was more than amazing! I ordered a book online with them and it was delivered within two days while the website said they'll deliver it in 3-4 days. I was impressed and Flipkart has not failed me yet. No wonder I turned a Flipkart evangelist and started talking about the website to every online buyer I met.
LetsBuy, on the other side was a bummer! If anyone's interested, read my experience of shopping online with letsbuy here: #-Link-Snipped-#. That page ranked very high on the search engines whenever people searched for letsbuy customer care and I had letsbuy team wanting to 'talk to me' about it.
It now looks almost clear that the Letsbuy investing companies are forcing the sale. I'm not aware of the price Flipkart's paying; but they've scored high on killing the competition; without really doing a thing about it!
Flipkart's surely getting ready for the big boss Amazon (aka Junglee). What do you think about this acquisition? If anyone knows the details of the deal, please share it here.
I think letsbuy was too quick to raise lot of money from the top brand VCs (Accel invested over 6mn in the company). Once you've lot of VC money and don't really have a plan how to utilize it; you are motivated to bring in more customers; without really making your current customers happy. That's one point, I believe Flipkart did very well. I still go to flipkart to buy stuff online because my first impression with them was more than amazing! I ordered a book online with them and it was delivered within two days while the website said they'll deliver it in 3-4 days. I was impressed and Flipkart has not failed me yet. No wonder I turned a Flipkart evangelist and started talking about the website to every online buyer I met.
LetsBuy, on the other side was a bummer! If anyone's interested, read my experience of shopping online with letsbuy here: #-Link-Snipped-#. That page ranked very high on the search engines whenever people searched for letsbuy customer care and I had letsbuy team wanting to 'talk to me' about it.
It now looks almost clear that the Letsbuy investing companies are forcing the sale. I'm not aware of the price Flipkart's paying; but they've scored high on killing the competition; without really doing a thing about it!
Flipkart's surely getting ready for the big boss Amazon (aka Junglee). What do you think about this acquisition? If anyone knows the details of the deal, please share it here.
