DealShare Layoffs: What Happened & Why?

On September 21, 2023, DealShare laid off 130 employees, a significant portion of its workforce. This move reflects ongoing challenges within the company.

Headquartered in Bengaluru, DealShare operates in the retail industry. The layoffs highlight the company's efforts to streamline operations amid a competitive market landscape.

Why did DealShare have Layoffs?

DealShare decided to lay off 130 employees due to the underperformance of its business-to-business (B2B) unit and a strategic shift towards focusing on its business-to-consumer (B2C) model. The company is also undergoing a restructuring process to realign budgets and consolidate operations in specific geographies.

• Shutting down B2B unit: The B2B vertical failed to yield the desired results, prompting the company to close it down.
• Focus on B2C model: DealShare is shifting its focus to the B2C business to stay relevant to consumers and improve market presence.
• Strategic reorganization: The company is realigning its budget and consolidating operations to specific markets such as Jaipur, Delhi NCR, Lucknow, and Kolkata.

Company Statement

"DealShare has been serving Indian consumers for the last five years and the company is continuing its efforts to strengthen its offerings and deliver value to our shareholders. We took some action in this direction by moving our operations to Gurugram and consolidating our business to focus on geographies of Jaipur, Delhi NCR, Lucknow and Kolkata with clear priorities on creating an online plus offline model," a company spokesperson said.

DealShare's decision to lay off 130 employees is part of a broader strategy to streamline operations and focus on its business-to-consumer (B2C) segment. The company is realigning its budgets and reorganizing teams to prioritize key deliverables and ensure a smooth transition. This move is aimed at enhancing the company's market presence and operational efficiency in specific geographies.

Impact on Workforce and Industry

The reduction of 130 employees at DealShare has significantly impacted its workforce, particularly affecting roles within the underperforming B2B unit. This downsizing is expected to streamline operations but may also lead to increased workloads for remaining employees as the company shifts its focus to the B2C model.

In the broader retail industry, several companies have also announced layoffs recently. For instance, BigBasket and Grofers have both reduced their workforce as they navigate similar market challenges and strategic realignments.

Looking Ahead

The layoffs at DealShare signify a pivotal moment for the company's future, indicating a shift towards a more focused and efficient business model. This restructuring aims to position DealShare for sustainable growth and improved market presence.

• Enhanced B2C focus: DealShare will concentrate on strengthening its business-to-consumer operations to better serve its customer base.
• Geographical consolidation: The company plans to streamline its operations in key markets such as Jaipur, Delhi NCR, Lucknow, and Kolkata.
• Operational efficiency: By realigning budgets and reorganizing teams, DealShare aims to improve overall efficiency and effectiveness in its service delivery.

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