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Naaptol was started by founder and CEO Manu Agarwal,[2] an IIT Kanpur alumnus in January 2008 as product research and price comparison service.[3] This website would let you compare the pricing of as many as 10 products to make an informed purchase decision. It also listed the details of local sellers. In 2009 it adapted the marketplace model and started selling products online.
Business Model
Naaptol follows the marketplace business model wherein it facilitates online and offline sales of third party products to its customer base, in addition to handling the customer service. In other words, it provides a platform for merchants and sellers to sell their products through Naaptol so that small-time merchants/sellers can reach out to a wider customer base and customers enjoy great value-for-money products.
Finances
In the initial stage, Naaptol started with a seed capital of Rs.50 lakhs. Later in 2009 it expanded as an online marketplace and started offering products to purchase online. With this slight tweak in the business model, Naaptol's turnover became Rs. 10 Crore (2009-2010) from Rs. 1 Crore in 2008-2009. In 2010, Naaptol started investing in print media.
Multimedia Operations
Naaptol has raised funding from New Enterprise Associates (NEA), Canaan Partners, and Silicon Valley Bank during its journey since 2008 and launched a niche shopping website called Naaptol Club. By 2010, Naaptol ventured into print media and increased its print media market share by 0.3% [4] securing a position of a top advertiser for two consecutive years in 2009 and 2010. It has been among the top 3 advertisers in 2011 and 2012 as per the ET TAM Adex report advertising in more than 60 print publications. In 2012 the company started showcasing its products through broadcast media and was the first home shopping company to use 60 Sec. spot advertising back then. Naaptol today advertises in around 35 broadcast publications. Naaptol with its network of delivery partners provides its services in all states and union territories across India. It is the only company in its category that uses the services of India Post for deliveries of their orders.
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