Jabong was a top-rated Indian fashion and lifestyle e-commerce platform. Rocket Internet was the parent company of Jabong, who was funding this company also. It was founded by Manu Kumar Jain(former Vice President, Xiaomi and Managing Director, Xiaomi India), Praveen Sinha, Lakshmi Potluri, and Arun Chandra. The company was having a big it's the biggest rival, i.e., Myntra.
The Jabong e-commerce platform consists of many different products in the category footwear, fashion accessories, and other fashion and lifestyle products. They were one of the best sellers in their market after Myntra.
The e-commerce giant Flipkart acquired Jabong for $70 million acquisition cost in the year 2016. This was one of the best deals for the Flipkart at that moment of time. In February 2020, Flipkart formally shut down Jabong. The primary reason behind this shutdown was to shift focus entirely on its premium clothing platform Myntra, which India's biggest fashion and lifestyle e-commerce platform.
The company had many rise and falls which led this situation some of them are:-
1) NO DIFFERENTIATION FACTOR
The fashion portal Jabong, has no differentiation factor. The company was doing the same things which were done by other companies like Myntra, Flipkart fashions, and Amazon fashions. These companies have a large amount of funding, which helped them to survive in the loss in this market, but Jabong did not have enough funding because of which they were not able to give more bigger discounts.
2) LEADERSHIP PROBLEMS
The founders of the company Manu Kumar Jain,Arun... (More)