Presentation of MOS
MBA 2nd year
Topic- Analysis Of Flipkart Case Study
Guided By: Dr. Ajit Dwarika Sao
Submitted By:
Vaishnavi Agrawal
Narendra Singh
Priyanshi Gupta
Shrutima Srishvastava
Shrashti
Introduction:
Flipkart:
Flipkart was founded in 2007 by Sachin and Binny Bansal, initially focusing on books
to address trust issues around online shopping in India.
Early obstacles included low initial sales, securing a reliable payment gateway,
and dealing with customer concerns about online security.
Journey of an Indian E-commerce Start-up,” covers Flipkart’s evolution from its
founding in 2007 by Sachin Bansal and Binny Bansal to becoming a leading e-
commerce player in India.
Both Sachin and binny were Alumini of IIT Delhi and previously worked at Amazon,
which gave them insights into e-commerce and customer behaviour. They
leveraged this experience to build Flipkart.
Flipkart Business Model:
Product Diversification: It expanded Innovative Payment Solutions: Flipkart
product categories from books to introduced the “Pay zippy” payment
electronics, apparel, and more, gateway for better transaction
eventually offering a full range of retail experiences and offered options like
goods. cash-on-delivery to attract customers
without credit or debit cards.
Marketplace Model: Flipkart adopted a
marketplace approach, allowing third- Logistics and Distribution Network: To
party sellers to list their products on its ensure fast delivery, Flipkart built its
platform, which broadened product distribution centers across major cities in
variety without holding inventory for India and acquired supply chain and
every item. logistics services.
Competitive landscape:
Customer Trust through Innovation: Advertising and Brand Building:
Flipkart implemented customer- Flipkart heavily invested in
friendly practices like cash-on- advertising through traditional
delivery, return policies, and prepaid media and social platforms,
wallets to build trust in online especially focusing on Tier II and Tier
shopping in India(Flipkart MOS). III cities to broaden its
reach(Flipkart_MOS).
Strategic Acquisitions: Flipkart
acquired companies such as Myntra Technological Advancements:
and Lets buy to strengthen its Introduction of a marketplace
position in fashion and electronics, model, mobile apps, and voice
expanding its market search to stay competitive with
footprint(Flipkart_MOS). global players like
Amazon(Flipkart_MOS)
Strategic Decision:
1. Pricing Strategies: 2. Acquisitions and Partnerships:
Low-Pricing Model: Flipkart leveraged a low- Acquisition of we Read and Lets buy: Flipkart
pricing strategy by offering significant acquired were ad (a social book discovery
discounts compared to brick-and-mortar tool) to enhance its book market
stores, particularly in its early years, to drive dominance categories.
online adoption.
Free Shipping on Books: To gain customer
trust, Flipkart offered free shipping on books, Partnerships with Major Brands: Partnering
an unconventional decision at that time for with prominent brands like Nokia, Samsung,
an e-commerce platform in India. and Apple allowed Flipkart to expand its
catalog and gain customer trust.
3. Technological Innovations: 4. Marketing and Customer
Acquisition Strategies:
Website Optimization: Flipkart focused
on optimizing its website for ease of Word of Mouth and Social Media
use.. Engagement: In its early years, Flipkart
relied heavily on word-of-mouth
Introduction of Mobile App and Voice
marketing, which was crucial in driving
Search: Flipkart launched its mobile
organic growth.
app and voice search features,
enhancing accessibility and Promotional Campaigns: Flipkart’s
convenience. campaigns often included discounts,
seasonal sales, and teaser ads
Challenges Flipkart faced by:
1 Building trust in online 2 Logistical changes- 3 Competition- Flipkart
shopping- Indian In the early days, faced stiff competition
customers were initially Flipkart had difficulty from Amazon, which
hesitant to shop online convincing courier entered the Indian
due to concerns about services to pick up market with significant
payment security small orders from its resources. Competing
(credit card details) home office. with Amazon's global
and timely delivery of supply chain,
products. technology, and
funding put pressure on
Flipkart to maintain its
leadership position.
Recommendation:
Enhances customer trust Strengthen logistics and Strengthen technology
and experience- supply chain* - Invest in and AI capabilities-
Provide excellent post- advanced logistics Continue investing in AI
purchase support technologies such as AI- and machine learning
through various driven inventory to improve
channels such as management, route recommendation
chatbots, social media, optimization, and real- engines, automate
and call centers. time tracking to improve customer support, and
delivery efficiency and provide a personalized
reduce operational shopping experience.
costs..
Conclusion:
Flipkart's growth from a small online bookstore into India's leading e-commerce
platform was driven by its strategic focus on customer service, an innovative
cash-on-delivery model, and aggressive market expansion across multiple
product categories.
Flipkart faced significant challenges, including operational costs associated
with customer acquisition and cash-on-delivery, as well as complex regulatory
landscapes around foreign direct investment.