The Truth of Diwali Dhamaka Sale

First of all Happy diwali to all

As Diwali is on the door we can see different e-commerce companies giving heavy discounts.

But  the question is how these website provide heavy discount during festivals on their website? Whether it is Flipkart or Amazon Or Snapdeal or any other E commerce Website. They All provide discounts to gain advantage of these festivals.


Now the question arises how these websites have an advantage by providing Heavy discounts. Because they are sacrificing their profits so how sacrificing profit is an advantage

So the answer for these is that

  • The main thing for which, these e commerce websites currently fighting for Market Share. They all are fighting to get more market share than others .
  • The two dominant players in this market i.e Flipkart and Amazon they usually provide the same amount of discount. Because they can’t afford to give more discount than these
  • Apart from, these festival is one time when people do shopping like never before. They don’t think before purchasing any product so these is the time which these website see as an opportunity to gain customer loyalty because customer usually remembers from where they have purchased the products during particular festival and how these product benefited them and the next time whenever they have a need to purchase any product they turn to there favourite e-commerce website which have given them the satisfaction during the time of need.
  • And they can sacrifice little bit on their profits to get more important thing i.e Market Share and Customer Loyalty.
  • Now you might be thinking that sacrificing the profit just for Market Share and Customer Loyalty is idiotic, but actually not because now they are losing margin for short period but in future their sales turnover will increase for long time.

Thank You and have a safe and Pollution Free Diwali  


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2 Responses

  1. Najib says:

    I like this blog

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