Flipkart Coupon Impact Study
Flipkart Coupon Impact Study
PROJECT REPORT
On
Submitted To-
Submitted by
Prof.Auti.M. N
THROUGH
Gramonnati Mandal’s
Arts, Commerce, Science College Narayangaon
(Department Of BBA)
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CERTIFICATE
This is to certify that Mr. HAGAWANE TANMAY RAJESH of SY BBA Roll No. 02
having specialization in Marketing Management has successfully completed his project titled
“THE STUDY ON CONSUMER PREFRENCES ON COUPON CODE BASED
PROMOTIONAL ACTIVITIES“ as per the norms of Savitribai Phule Pune University
under the guidance Prof. Auti M.N for the academic year
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DECLARATION
I hereby declare that the information, Photographs, Data etc. Gathered during the internship
period of research report study shall be strictly utilized only for the purpose of project report
is a part of the partial fulfilment of Degree of Bachelor in Business Administration at Arts
Commerce & Science College, Narayangaon for the academic year 2021-22 under Savitribai
Phule Pune University, Pune.
I honestly state that the intention of collection of the information in my research report is
solely for the purpose of study, not for commercial purpose or any means my sole and sincere
motive to learn the procedure practically and express my views by preparing Project Report.
Thus, the sole and honest objective for collecting the information is only for the academic
purpose and I assure that collected information shall be restricted only for Project Report.
Place: Narayangaon
Date: / /
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ACKNOWLEDGEMENT
I would like to sincere thanks to Prof. Auti M.N. for their valuable cooperation and support,
without whom it was difficult to complete this project work.
I am also thankful to all employee of MEESHO INC. for extending their support during the
internship. Due to their support only, I was able to collect primary and secondary data.
I also pay my sincere thanks to all those who have directly or indirectly supported me to
complete this project.
Place: Narayangaon
Date: / /
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Sr. No. Content Page No.
1 Chapter 1
1.3 Importance
1.6 Limitations
2 Chapter 2
3 Chapter 3
4 Chapter 4
5 Chapter 5
1. Finding 34
6 Chapter 6
6.1 Suggestion 36
6.2 Conclusion 38
6.3 Bibliography 40
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1.1 INTRODUCTION
Coupon has been widely used by marketers as an important promotional tool in many
consumer product categories. In the past few years, consumers increased their use of coupon
as a cost-saving measure in a turbulent economic environment In 2009, the coupon use in the
U.S. set a new record, as consumers redeemed $ 3.3 billion worth of coupons, a 27% leap
from 2008 We can hardly overemphasize the importance of coupons as a medium of
advertising/marketing and the role it plays in our everyday lives. Retailers and manufacturers
issue coupons with the main intention of boosting sales either through higher purchase by
existing customers or enticing non-customers into trial purchase or both. In recent years,
coupon has also been used as an important tool in marketing campaigns, and promotional
campaigns featuring retailer-customized coupons has been increasingly used to build
customer loyalty. Venkatesan & Farris suggested that the customized coupons increase the
effectiveness of marketing promotion and lead to positive financial performance. The topic of
‘coupons’ has been investigated extensively by marketing scholars over the years, and from
very divergent perspectives. While some studies have investigated topics such as attitude
towards coupon, coupon enjoyment, embarrassment from using coupons etc. as antecedent
variables, others studies have considered outcome variables such as coupons redemption,
redemption frequency, brand loyalty, brand competitiveness, purchase intention, perceived
purchase risk, total amount spent etc.
Such divergent perspectives present us with a rich repository of data and complex
relationships among several antecedent and dependent variables in studies spanning across
several decades. The relationship among the variables is made even more complicated by the
diversity and range of moderating factors that the researchers have investigated. However, the
widespread use of coupons in marketing practice notwithstanding, there has been no
systematic attempt to review, analyze and take stock of extant literature to comprehend the
nature of relationship among the plethora of antecedents and outcomes of coupon usage. To
address this gap, we conduct a meta-analysis to evaluate the findings from previous published
research and seek for trends and patterns in the data that might be invisible from a cursory
look at the literature. We are especially interested in investigating how coupon characteristics
and research methodology might influence the relationship between coupon perceptions and
coupon usage. In the following section, we discuss the relevance of meta-analysis in the
present context. Then we review the coupons literature to define our analytical domain, and
follow it up with a discussion of the methodology. After we present our findings, we
conclude the article with discussions of our results and managerial implications emanating
from the research.
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1.2 Objectives of the study
The main objective of the study is examine the impact of coupon code based promotional
activities on buying behaviour of customer related to flipkart app.
1. To analysis how coupon code has influenced the buying behaviour of Flipkart
customers.
2. To identify the factors that motivated consumers to shop on flipkart through the use
of coupon codes,
The scope of the study covers the general public, the study will help us to understand the
impact of coupon code on consumer buying of flipkart app.
Flipkart comes up with various coupon codes from time to time. You can avail yourself of the
best coupon from Flipkart and use it whenever you are up for your next shopping spree. In
this way, you can save extra and get the best styles and products at the best products.
Manufacturers and stores benefit from the coupons they offer to consumers. Loyalty cards are
a form of coupon that allows stores to keep a record of scanned purchases. Offering coupons
is a way to market products and engage consumers. Coupons can entice customers to build
loyalty with a specific company or product.
Research methodology is a process used to collect information and data for the purpose of
making decisions. The methodology may include publication research, interviews, surveys
and other research techniques.
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Data Collection
The data is collected from both primary and secondary sources.
Primary Data
The source of primary data is through questionnaire based on the objectives.
Secondary Data
The secondary data were collected from books, journals, websites and other published
sources.
Sample Design
A self- designed questionnaire was developed and given to general public. The
questionnaire is related to impact of coupon code on consumer behavior of Flipkart.
Sample Population
The population of the study is general public.
Sample Size
The sample size of the study is 50.
Sampling Technique
The technique used for selecting the sample is non-random or non-probability
sampling techniques. Convenient sampling is used for collecting data in this study.
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1.6 Limitations of the study
• The study faced a lack of face to face interaction with the respondents.
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CHAPTER NO. 2
INTRODUCTION
TO THE
ORGANISATION
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2.1 Introduction
The service competes primarily with Amazon’s Indian subsidiary and domestic rival
Snapdeal. As of March 2017, Flipkart held a 39.5% market share of India’s e-commerce
industry. Flipkart has a dominant position in the apparel segments, bolstered by its
acquisition of Myntra and was described as being “neck and neck” with Amazon in the sale
of electronics and smart phones. Flipkart also owns PhonePe a mobile payment services
based on the UPI.
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2.2 Company Profile
Microsoft (1.46%)
QIA (1.43%)
Accel (1.32%)
Other (0.47%)
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THEORETICAL FRAMEWORK
Most coupon codes offer discounts for online purchases such as a fixed discount, a
percentage off the entire purchase, free shipping or other discount as advertised by the
merchant. There are as number of phrases used to mean coupon code, including the
following: promotional or promo code, discount code, offer code, gift code, digital coupon
and similar variations.
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3.3 CONSUMER BEHAVIOUR
Consumer behavior is the study of individuals, groups, or organizations and all the activities
associated with the purchase, use and disposal of goods and services, and how the consumer's
emotions, attitudes and preferences affect buying behaviour. The study of consumer
behaviour formally investigates individual qualities such as demographics, personality
lifestyles, and behavioural variables (such as usage rates, usage occasion, loyalty, brand
advocacy, and willingness to provide referrals), in an attempt to understand people's wants
and consumption. Also investigated are the influences on the consumer, from groups such as
family, friends, sports, and reference groups, to society in general, including brand
influencers and opinion leaders.
The study of consumer behaviour assumes that the consumers are actors in the marketplace.
The perspective of role theory assumes that consumers play various roles in the marketplace.
Starting from the information provider, from the user to the payer and to the disposer,
consumers play these roles in the decision process. Consumer behaviour entails "all activities
associated with the purchase, use and disposal of goods and services, including the
consumer's emotional, mental and behavioural responses that precede or follow these
activities.
❖ According to Engel, Blackwell, and Mansard, ‘consumer behaviour is the actions and
decision processes of people who purchase goods and services for personal consumption’.
❖ According to Louden and Bitta, ‘consumer behaviour is the decision process and physical
activity, which individuals engage in when evaluating, acquiring, using or disposing of goods
and services.’
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3.5 COUSTEMR PREFRNCES BASED ON COUPONS
Very few shoppers expect to pay full price for products and services when purchased online.
With so many retailers now offering new customer discounts and digital coupons, it’s likely a
coupon code exists to apply towards your next online purchase.
Retailers regularly add coupons and discounts into their marketing strategies to boost sales
conversion rates and increase customer loyalty.
While discounts are certainly attractive to shoppers, digital coupons can also be a successful
means of growing a social media following and email marketing list or encouraging mobile
website usage.
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3.6 DIGITAL COUPONS
Digital coupons are discounts and promotions offered by retailers to current or prospective
customers. Digital coupons are most often aimed at enticing a consumer to make a purchase
at the retailer’s website by offering a certain percentage discount, free shipping, or other
discount.
Although their purpose is primarily the same, there are a few minor differences between
physical coupons and digital versions.
Physical coupons are much more expensive to incorporate into your marketing strategy.
Physical coupons incur printing, insertion, and distribution costs, whilst digital coupons can
be sent by text, email, and automatically generated communications.
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Digital coupons are incredibly easy to send but can get lost in the sea of emails most inboxes
now face daily.
There doesn’t seem to be any slowdown in the inclusion of digital incentives from retailers.
We can expect it to peak during the holiday shopping period, with more incentives selectively
offered well into the new year.
More and more, consumers expect coupons along with product and promotional messaging.
Retailers that don’t offer them risk being overlooked or losing to a competitor.
Consumers love to feel as if they received a ‘deal.’ It’s a positive feeling and
reassuring (even if it’s not as profitable for the consumer) to complete a transaction
with some discount or incentive applied.
There’s considerable effort put into making coupon redemption easier and
faster today. Giving consumers an excellent user experience is paramount for
retailers. Reputation and recognition as a trustworthy retailer depend on it.
With the advancements in user interface design for mobile devices, this number
should only continue to rise as more and more consumers grow comfortable using
their phones for mobile shopping transactions.
Retailers who offer coupons regularly see repeat business from customers that may have
been costly to acquire and have become accustomed to receiving such treatment — in the
form of discounts and privileged incentives.
Tying a coupon to such an offer could increase its effectiveness significantly if the recipient,
offer, timing, and product mix is right.
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3.8 TYPES OF COUPONS
1) DOWNLOADABLE COUPONS:
These types of coupons are accessible to consumers from a number of different locations.
Customers download coupons from a company’s website, directly from an email, or via
social media. Most of the time, these coupons are accessible from mobile devices as well.
2) MOBILE COUPONS:
Ecommerce platforms that have integrated mobile applications into their operations offer
mobile-only coupons to drive further sales in this channel.
3) AUTOMATIC DISCOUNTS:
Discounts that are automatically applied at checkout are increasing in popularity because the
consumer doesn’t have to do anything to receive a discount. These work well for ecommerce
companies because online retailers are enticing customers with an offer for a discount,
therefore reducing shopping cart abandonment and churn rate.
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3.9 MARKETING OF COUPONS
The online promotion of a company through coupon marketing is usually accomplished
by sending emails to recipients who signed up for a newsletter from the company, Social
media, Advertisements, SMS, Affiliate links, Influencer coupon codes, physical events etc.
It’s always cheaper to keep an existing customer than to get a new one. But, coupons are an
efficient and affordable to way to get new people in your doors or on your website. Many of
them will be one-time shoppers but even getting a few new regulars is great for business. A
great way to particularly attract newbies is to promote some of your new products.
With new customers comes a boost in brand awareness. Your coupons will also reach many
more people who don’t come into your store during this promotion but may do so on the next.
At the very least, you’re on their radar. Such recognition is huge for new businesses or those
that don’t have a strong presence.
When it comes to discussing retail, nothing gets people chatting more than a great discount.
With the advent of social media, some deals can even go viral. There are also sites wholly
devoted to users sharing various coupons they’ve stumbled upon.
Word of mouth advertising is great, but even if it doesn’t go viral, you can still easily reach
thousands of eyes and ears. Digital coupons can be emailed to a mass audience with a single
click. If you’ve kept up with your customer database, this will be even easier.
Coupons can easily target the exact customer you want to reach, especially if you use a third
party site. Most offer tools that filter recipients by location and interest. This minimizes your
waste of time and money. Figure out different strategies for attracting new customers versus
thanking your most loyal. You need to reach both audiences but in very different ways and
with different offers.
Coupons are another form of advertising. But rather than pay a lot up front for a campaign
that you’re not sure about, the cost of coupons comes from a diminished profit at the end the
of the sale. Just be very careful to minimize losses: limit the number of redeemable coupons,
couple the deal with minimum spends, offer only one per customer, etc.
Like any promotion, it’s an opportunity to encourage customers to purchase products that
they normally wouldn’t buy. You can also select products with a higher profit margin in order
to minimize your losses during the promotion. Overstocked items of slow movers work well,
too. Promos will get these out the door and help you better manage your inventory.
Coupons also allow you to control how long the deal lasts. Depending on the industry and
products, some deals are best as quick, short-term offers while others are better left available
for a longer period of time. Make it specific and somewhat urgent; broad sales that last for a
too long don’t encourage repeat shoppers.
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CHAPTER NO. 4
DATA ANALYSIS
AND
INTERPRETATION
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DATA ANALYSIS AND INTERPRETATION
20 30 0
Respondents
40%
, 60%
Graph No1
Interpretation:
The above chat shows that out of 50 respondents 20 of then generally shop online more than
once in 1 month. 30 of the respondents prefer to shop once in 2-3 months and non of the
respondents never did online shopping. It is safe to say that everyone does shop online.
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Table No.2 Which of the following feature you like about Flipkart?
15 10 10 15
Respondents
10% 10%
7%
73%
Graph No 2
Interpretation:
The above chat shows that 15 people like the discounts on Flipkart.10 of them like the
customer service other 10 like the delivery time of their order and the rest 15 like the cash on
delivery facility of Flipkart. Overall Flipkart provides quit satisfying customer service.
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Table No3 Do coupons helps you to get satisfying deals on Flipkart?
Yes No
50 0
Respondents
100%
Yes No
Graph No3
Interpretation:
The above chat is about people getting satisfying deals by using coupons or not and 100% of
the respondents said they get satisfying deals by the use of coupons. Coupons helps the
consumers to get good deals online.
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Table No 4 What types of benefits you get by the use if coupons?
30 10 10
Respondents
20%
Discounts
Buy one get one free
Savings on next purchase
20% 60%
Graph No 4
Interpretation:
The above chat shows the data about what discounts people get by the use of coupons .30
people get discounts on their purchase 10 people get one product free on one buy. And the
rest 10 get the benefit of getting discount on their next purchase.
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Table No 5 Which of the following are your reasons for shopping on Flipkart?
Respondents
16%
24% Convinence
Wide range availabe
Discounts
Unavaliblity of stores nearny
30%
30%
Graph No5
Interpretation;
The above date is about why do people prefer to buy on Flipkart .12 people buy on Flipkart
because its convenient 15buy dude the wide range offered by them. 15 other buy because of
the discounts they get on Flipkart and the 8 buy dude the unavailiblity of stores nearby them.
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Table No 6 Do you want Flipkart to provide you more coupons?
Yes No
50 0
Respondents
Yes
No
100%
Graph No6
Interpretation:
The above data is about does flipkart should provide more coupons .And 100% of the
respondents wants flipkart to provide more coupons.
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Table No 7 Do Flipkart should make changes in their offers on coupons?
Yes No
35 15
Respondentes
30% Yes
No
70%
Graph No7
Interpretation:
The above date shows that how many people wants Flipkart to make changes in their offer on
coupons. Nearly 70% of people wants Flipkart to make changes on their offers on coupons.
And 30% of the people have no problem with the current offers on coupons.
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Table No 8 Is shopping through the use of coupons an easy way on online shopping on
Flipkart?
Yes No
20 30
Respondents
Yes
40% No
60%
Graph No8
Interpretation:
The above data id about is coupons an easy way for online shopping on Flipkart. And
40% people think that Is an easy way. But the rest 60% people find it is as complex process.
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Table No 9 What are your views about services on coupons provided by Flipkart?
20 25 5
Respondents
10%
Excellent
40% Average
Can be improved
50%
Graph No9
Interpretation:
The above given data is about the views of people on the coupons. 40% people think it is
excellent 50% find them average 10% people feel that Flipkart can make some improvements
on their coupons.
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Table No 10 Will you continue shopping on Flipkart?
Yes No
50 0
Respondents
Yes
No
100%
Graph No10
Interpretation:
The above date shows that how many people are willing to shop in Flipkart. All 100% people
are willing to shop on Flipkart.
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CHAPTER NO 5
FINDINGS
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Findings
Coupons provided by Flipkart are very useful for customers and are satisfactory
service provider to them (from graph no 3)
People would like more coupons from Flipkart (from graph no6)
Most number of people want to increase the offers of coupons has the use of
coupons is increasing. (from graph no7)
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CHAPTER NO 6
SUGGESTIONS
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Suggestions
Flipkart should work on new offers on coupons to increase the consumer count and
order to gain popularity.
They should also work on an easy way to apply the coupons as consumers find is
difficult to apply the coupons.
The demand of coupons is increasing day by day so they should try to increase the
offers on coupons.
Flipkart should work on to provide better service to the consumers who use coupons.
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CHAPTER NO 7
CONCLUSION
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Conclusion
I have done the survey and conclude with saying the demand for coupons on
Flipkart is good.
The study also shows that other products can be have more sale by advertising them.
Flipkart is surely on of the top companies who is dominating the Indian online
shopping market.
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CHAPTER NO 8
BIBLIOGRAPHY
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BIBLIOGRAPHY
Reffered Sites:
https://www.flipkart.com/
Flipkart: Wikipedia
Reference Books:
Digital Marketing management
Reference books provided by the Flipkart company.
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