Snapdeal yet to settle Rs 1.2-crore dues: Vendors


BENGALURU: It’s not just falling daily volumes and online merchants abandoning their platform that online marketplace Snapdeal has to face these days. An online vendors association, which conducted a survey, has claimed that close to Rs 1.2 crore in outstanding dues have not been settled by Snapdeal to merchants.

The All India Online Vendors Association (AIOVA), which reached out to its 2,100 members through e-mail on March 10, asked sellers to provide details on payments pending, stock pending in Snapdeal-Plus which allows sellers to stock their products at the nearest Snapdeal fulfilment centre and the ticket number for the complaint registered with Snapdeal.

various sellers who alleged that payments were held up due to multiple reasons such as fake products sold by them, penalty for returned orders which did not reach the sellers and inaccurate charges for packaging and logistics. The due amounts ranged from Rs 2,878 to as high as Rs 56 lakh. The value of the stock pending at the Snapdeal fulfilment centres was not considered to arrive at the figure of Rs 1.21 crore.

Snapdeal usually pays its sellers within 5 to 15 days of delivery of the product after deducting logistics and packaging fee (where applicable), marketplace fee and commission.

An AIOVA spokesperson said some sellers will be meeting the Snapdeal team to air their grievances this week and raise the issue of clearance of payment dues.

A Snapdeal spokesman  denied that such a meeting was scheduled with the AIOVA members.

“The response was as per expectation with majority members coming out and telling us that they have stopped selling on Snapdeal. We also collected data of disputes ranging fromRs 1,000 to Rs 1.5 crore which are stuck since the past 6-8 months due to which sellers have stopped selling.

We hope (that) either the Snapdeal management or government takes these cases and clears the pending dues,” said an AIOVA spokesperson.

Regarding selling on Snapdeal, we require assurance from Snapdeal or government that our money will remain in safe hands,” the spokesperson said, adding that dues of up to Rs 300 crore were stuck with the marketplace.

Snapdeal, however, denied the allegation in an emailed statement in response. “Seller dues are processed and settled as per predefined payments cycles, information of which is available with the sellers.

There are no outstanding payments to sellers. In fact, earlier this week we have further reduced the payment cycle for SD+ sellers, which will enable them to receive their payments 40% faster,” the statement said.