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The online Megastore 
Submitted By 
Piyush Kapoor 2K14G065 
Shreya 2K14G091 
Bragadesh 2K14G025 
Shalvika 2K14G087 
Jobin 2K14G045 
Submitted to: 
Dr. Surabhi Goyal
 Introduction 
 Overview of the company 
About the company 
History 
Current status of the company 
 Environmental analysis 
Internal environment 
Macro 
Micro 
 Current and marketing strategy 
STP Analysis 
4 P’s of Flipkart 
PLC of Flipkart 
 Conclusion
• Flipkart- Worlds top 10 most visited E-commerce website in 
India with regards to traffic. 
• Multiple payment methods available for customers to make 
payment more easy. 
• Also know as the Indian Amazon 
• Fastest growing e-commerce website in India 
• It sells nearly 30 products per minute.
History 
 Founded in 2007 by Binny Bansal & Sachin Bansal. 
 Started with selling of Books, 
 Operation exclusive to India, with HQ at Bangalore, Karnataka 
 First book sold- “Leaving Microsoft to change the world” by john Wood 
 Later expanded business in other products like 
• Electronic goods 
• Apparels 
• Home and kitchen appliances etc.
We Read 
2010 
2010 
2012
The Great Bansal Wedding (2014)
• 22nd May2014 
• Flipkart acquired Myntra for 2000 crore. 
• Future investment of 600 crore in the fashion 
industry by Flipkart
The vision Working 
• To become the global 
leader in the fashion 
industry 
• To eradicate the 
competition because to the 
other competitor in the 
market like Snapdeal 
Amazon etc. 
• Myntra will operates as 
other entity of Flipkart 
under the umbrella brand 
• The CEO of Myntra Mukesh 
Bansal will join the Flipkart 
board and head the fashion 
division of Flipkart
• Started with a funding of INR 4,00,000 by the owners 
and now a billion dollar company. 
• Flipkart is operating online since the beginning of the 
company 
In 2013: 
• Flipkart Raised USD 160 Million from private equity 
investor 
• First offline store opened in Bangalore named fliptomania 
• Company is going ahead with more offline store in Metro cities 
like Delhi, Kolkata, etc.
• Internal Environment 
• Micro analysis 
• Macro analysis
• On time product delivery by its own logistic company 
• Attractive payment modes 
• Attractive & Hourly discount Coupons 
• Advance search engine optimization 
• Customer database management 
Mobile app availability for 
mobility customer
• Founders had a prior working 
experience with Amazon. 
• Used their work experience in 
their own company 
• With a better strategy 
• A broader vision 
• A need to become CEO’s 
• EMI Option availability 
• 24*7 customer support 
• Customer satisfaction 
• Major focus on packaging 
• Customer reviews 
Capabilities Company policy
Company 
Name 
Industry type Started Employees Alexa 
rank 
Slogan 
Flipkart Online market 
place 
(Private) 
2007 10000 110;7 
India 
The online 
megastore 
Snapdeal Online market 
place 
(Private) 
2010 2000+ 291;15: 
India 
Bachate 
raho! 
Amazon Online market 
place 
(Public) 
1995 132600 
(July 2014) 
10 We sell stuff 
Myntra Online 
(Private) 
2007 201-500 258 India’s 
largest 
online 
fashion 
store 
Shopclues Online Market 
place 
(Private) 
July 2011 500-1000 730 
India: 
57 
India’s first 
and largest 
managed 
market 
place
Supplier or merchants What merchant gets!!! 
Open platform for everyone to 
become merchant 
Required a product portfolio to get 
registered as a merchant on 
Flipkart 
Product is placed depending on the 
category of the product. 
Product undergoes a Quality check 
by the company itself before 
getting live 
• Brand name visibility 
• Quick and easy access by the 
customers 
• Increase in the sales by reaching 
out customers. 
• Also brand presence on social 
networking sites.
Flipkart 
Stakeholders 
MIH & 
ICONIQ 
Capital 
Tiger 
Global 
Accel 
India 
Initial 
by 
owners 
INR. 400000 
US $1 Million 
US $10 Million 
US $ 20 Million 
US $ 150 Million
2009 2010 2011 2012 
13- 
Jul 
13- 
Oct 
14- 
May 
14- 
Jul 
1200 
1000 
800 
600 
400 
200 
0 
Investment 1 10 20 150 200 160 210 1000 
Funding in USD Million 
Investment
PEST
Political Economical 
• More focus by the government in 
increasing computer literacy. 
• Penetration of government official in 
the digital world for their 
promotional activities. 
• Increase in income level and 
standard of living 
• Busy life schedule result in increase 
in online purchase 
• Better internet excess through 
mobiles 
• Less taxes in online purchase. 
Social & Culture Technological 
• Word of mouth promotion. 
• Better use of social media platform 
for promotion of other product 
• Increase in computer literacy 
• Better customer feedback. 
• Increase in the security levels for 
making online purchase. 
• Best search engine optimization 
• Proper placement of advertisement 
of products 
• Increase in the use of internet 
• Mobile App for different platform 
• Integration of various payment 
gateways like PayPal, bill desk etc.
Political Economical 
• Strictness in rules by the 
government (earlier) 
• RBI for making online payment more 
complex for security 
• Better deals available with the 
competitors in less price. 
Social & Culture Technological 
• Negative feedback by the customers 
on the social media front 
• Various type of same products 
effecting selection of product by 
customer. 
• More promotion done by the 
competitors at the social & Digital 
front. 
• Less internet knowledge in rural 
areas 
• Security issues with the online 
payment methods 
• Long payment methods for making 
online payments
STP analysis and 4 P’s of Flipkart
160000000 
140000000 
120000000 
100000000 
80000000 
60000000 
40000000 
20000000 
0 
Internet user growth rate 
2005 2006 2007 2009 2010 2012 
Internet user growth 
rate 
Source: 
http://www.internetworldstats.co 
m/asia/in.htm
Flipkart segments market on the basis of 
◦ Internet users 
◦ Shoppers 
◦ Young generation 
◦ Educational institutes 
34% 
6% 
39% 
18% 
3% Internet user w.r.t age 
15-24 
25-34 
35-44 
45-54 
55+
Whom to target? 
Youth generation 
Current buyer 
Educational institutes 
Socially connected people 
Internet friendly people 
Shopaholic (discount keen 
people) 
How to differentiate? 
Different section for men 
Different section for women 
Different section for kids 
wear depending upon the 
age like 
◦ 0-2 yrs. 
◦ 2-4 yrs. 
◦ 4-8 yrs. 
◦ 8-12 yrs. 
◦ 12 and above 
Psychographic Demographic
More focus in metro cities 
near to airports. 
Much focus on tier-1 cities 
Only focus in India 
Maximum contribution of 
sales from tier -1 cities. 
Less contribution by rural 
area due to lack of internet 
knowledge 
Sales 
55% 
16% 
21% 
8% 
Geographic Contribution 
Tier 1 
Tier2 
Tier 3 
Rural
Cash on delivery 
EMI option 
30- Days replacement 
policy 
E wallet and e Vouchers 
User friendly interface 
Marketing campaign like 
no kidding no worrying 
Using Google Ad Choices 
Promo coupons 
SEO 
One hour sale 
Value added services Advertising
4 P’s of Flipkart
Wide range of products 
categories: 
Electronic good 
Apparels 
Home and kitchen 
appliances 
Men’s and women’s 
accessories 
Computer peripherals 
◦ Software's 
◦ Hardware's 
Books and media 
Sports store 
Baby and kids section 
◦ Wear outs differentiated 
on the basis of age. 
Girls 
Boys 
◦ Foot wares 
Girls 
Boys 
◦ Baby care 
Various products in all the categories have given a chance to all other brand 
to compete with each other for there brand and customer attraction
All major inventory are located near to the airports. 
Major warehouses are located in Bengaluru(headquarters), 
Chennai , Delhi, Hyderabad, Mumbai, Noida, Pune, Kolkata 
Biggest advantage- Nationwide reach to all sellers of different 
sizes 
Covers all tier-1 tier-2 tier-3 cities.
Much less price then other e-commerce 
websites 
Availability of E wallets and E-Gifts 
EMI option for specific 
products 
Discounted coupons 
Free shipping facility 
Special discount and 
promotional codes for the loyal 
customers. 
Above the line promotion: 
◦ TV Advertisement 
◦ Radio jingles 
◦ Print ads 
Below the line promotion: 
◦ Word of mouth 
◦ Bulk mailing 
◦ In app push notification 
Through the line 
promotion: 
◦ Social media marketing/ 
campaign 
In promotion Flipkart uses a new tool know as AFFILIATE 
MARKETING in which it earns revenue from different brand for 
placing their ads in the hot deal section for better presence.
Flipkart
• Flipkart is currently in growth stage 
• Sales revenue is increasing every year 
• Sooner there will be a cut throat competition in the market after a huge 
success of Flipkart as certain foreign players are also coming into the 
market like amazon, Yebhi etc. 
2008 
- 
2009 
2009 
- 
2010 
2010 
- 
2011 
2011 
- 
2012 
2012 
- 
2013 
2013 
- 
2014 
2015 
6000 
5000 
4000 
3000 
2000 
1000 
Revenue (in 
millions) 
4 20 75 500 1000 2000 5000 
0 
Axis Title 
Revenue (in millions)
• 24*7 Customer support service . 
• Price reduction or discounted price. 
• Better Search Engine Optimization 
• Advance advertising and promotion. 
• Multiple payment method. 
• EMI option availability 
• E voucher and e-gifts 
• Less internet knowledge in the small cities 
• Less penetration in the small cities 
• No delivery to remote areas. 
• Negative perception about online transaction.
 Penetration of new players in the market like: 
 Amazon 
 Snapdeal 
 EBay 
 Shopclues 
• Global availability & accessibility. 
• More lucrative discounts to attract customers. 
• Provide mobile application which can run without 
or minimum usage of internet connection
One of the leading E-commerce 
portals of India. 
Customer satisfaction is the 
major concern 
“God of distribution” 
As e-commerce market is 
booming up rapidly we all are 
going to see some more 
companies like Flipkart in the 
near future 
Provide more higher discounts 
on products than competitors 
Enter into the global market and 
have global reach 
Provide more brick and mortar 
outlets like FLIPTOMANIA 
Increase reach in rural area 
Educate people about online 
purchase & security 
Increase umbrella selling of 
products
www.flipkart.com 
www.wikipedia.com 
www.economicsonline.org 
www.medianama.com 
www.techcirlce.vcircle.com
The Rise of India's Online Megastore Flipkart

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The Rise of India's Online Megastore Flipkart

  • 1. The online Megastore Submitted By Piyush Kapoor 2K14G065 Shreya 2K14G091 Bragadesh 2K14G025 Shalvika 2K14G087 Jobin 2K14G045 Submitted to: Dr. Surabhi Goyal
  • 2.  Introduction  Overview of the company About the company History Current status of the company  Environmental analysis Internal environment Macro Micro  Current and marketing strategy STP Analysis 4 P’s of Flipkart PLC of Flipkart  Conclusion
  • 3. • Flipkart- Worlds top 10 most visited E-commerce website in India with regards to traffic. • Multiple payment methods available for customers to make payment more easy. • Also know as the Indian Amazon • Fastest growing e-commerce website in India • It sells nearly 30 products per minute.
  • 4.
  • 5. History  Founded in 2007 by Binny Bansal & Sachin Bansal.  Started with selling of Books,  Operation exclusive to India, with HQ at Bangalore, Karnataka  First book sold- “Leaving Microsoft to change the world” by john Wood  Later expanded business in other products like • Electronic goods • Apparels • Home and kitchen appliances etc.
  • 6. We Read 2010 2010 2012
  • 7. The Great Bansal Wedding (2014)
  • 8. • 22nd May2014 • Flipkart acquired Myntra for 2000 crore. • Future investment of 600 crore in the fashion industry by Flipkart
  • 9. The vision Working • To become the global leader in the fashion industry • To eradicate the competition because to the other competitor in the market like Snapdeal Amazon etc. • Myntra will operates as other entity of Flipkart under the umbrella brand • The CEO of Myntra Mukesh Bansal will join the Flipkart board and head the fashion division of Flipkart
  • 10. • Started with a funding of INR 4,00,000 by the owners and now a billion dollar company. • Flipkart is operating online since the beginning of the company In 2013: • Flipkart Raised USD 160 Million from private equity investor • First offline store opened in Bangalore named fliptomania • Company is going ahead with more offline store in Metro cities like Delhi, Kolkata, etc.
  • 11. • Internal Environment • Micro analysis • Macro analysis
  • 12. • On time product delivery by its own logistic company • Attractive payment modes • Attractive & Hourly discount Coupons • Advance search engine optimization • Customer database management Mobile app availability for mobility customer
  • 13. • Founders had a prior working experience with Amazon. • Used their work experience in their own company • With a better strategy • A broader vision • A need to become CEO’s • EMI Option availability • 24*7 customer support • Customer satisfaction • Major focus on packaging • Customer reviews Capabilities Company policy
  • 14.
  • 15. Company Name Industry type Started Employees Alexa rank Slogan Flipkart Online market place (Private) 2007 10000 110;7 India The online megastore Snapdeal Online market place (Private) 2010 2000+ 291;15: India Bachate raho! Amazon Online market place (Public) 1995 132600 (July 2014) 10 We sell stuff Myntra Online (Private) 2007 201-500 258 India’s largest online fashion store Shopclues Online Market place (Private) July 2011 500-1000 730 India: 57 India’s first and largest managed market place
  • 16. Supplier or merchants What merchant gets!!! Open platform for everyone to become merchant Required a product portfolio to get registered as a merchant on Flipkart Product is placed depending on the category of the product. Product undergoes a Quality check by the company itself before getting live • Brand name visibility • Quick and easy access by the customers • Increase in the sales by reaching out customers. • Also brand presence on social networking sites.
  • 17. Flipkart Stakeholders MIH & ICONIQ Capital Tiger Global Accel India Initial by owners INR. 400000 US $1 Million US $10 Million US $ 20 Million US $ 150 Million
  • 18. 2009 2010 2011 2012 13- Jul 13- Oct 14- May 14- Jul 1200 1000 800 600 400 200 0 Investment 1 10 20 150 200 160 210 1000 Funding in USD Million Investment
  • 19. PEST
  • 20. Political Economical • More focus by the government in increasing computer literacy. • Penetration of government official in the digital world for their promotional activities. • Increase in income level and standard of living • Busy life schedule result in increase in online purchase • Better internet excess through mobiles • Less taxes in online purchase. Social & Culture Technological • Word of mouth promotion. • Better use of social media platform for promotion of other product • Increase in computer literacy • Better customer feedback. • Increase in the security levels for making online purchase. • Best search engine optimization • Proper placement of advertisement of products • Increase in the use of internet • Mobile App for different platform • Integration of various payment gateways like PayPal, bill desk etc.
  • 21. Political Economical • Strictness in rules by the government (earlier) • RBI for making online payment more complex for security • Better deals available with the competitors in less price. Social & Culture Technological • Negative feedback by the customers on the social media front • Various type of same products effecting selection of product by customer. • More promotion done by the competitors at the social & Digital front. • Less internet knowledge in rural areas • Security issues with the online payment methods • Long payment methods for making online payments
  • 22. STP analysis and 4 P’s of Flipkart
  • 23. 160000000 140000000 120000000 100000000 80000000 60000000 40000000 20000000 0 Internet user growth rate 2005 2006 2007 2009 2010 2012 Internet user growth rate Source: http://www.internetworldstats.co m/asia/in.htm
  • 24. Flipkart segments market on the basis of ◦ Internet users ◦ Shoppers ◦ Young generation ◦ Educational institutes 34% 6% 39% 18% 3% Internet user w.r.t age 15-24 25-34 35-44 45-54 55+
  • 25. Whom to target? Youth generation Current buyer Educational institutes Socially connected people Internet friendly people Shopaholic (discount keen people) How to differentiate? Different section for men Different section for women Different section for kids wear depending upon the age like ◦ 0-2 yrs. ◦ 2-4 yrs. ◦ 4-8 yrs. ◦ 8-12 yrs. ◦ 12 and above Psychographic Demographic
  • 26. More focus in metro cities near to airports. Much focus on tier-1 cities Only focus in India Maximum contribution of sales from tier -1 cities. Less contribution by rural area due to lack of internet knowledge Sales 55% 16% 21% 8% Geographic Contribution Tier 1 Tier2 Tier 3 Rural
  • 27. Cash on delivery EMI option 30- Days replacement policy E wallet and e Vouchers User friendly interface Marketing campaign like no kidding no worrying Using Google Ad Choices Promo coupons SEO One hour sale Value added services Advertising
  • 28. 4 P’s of Flipkart
  • 29. Wide range of products categories: Electronic good Apparels Home and kitchen appliances Men’s and women’s accessories Computer peripherals ◦ Software's ◦ Hardware's Books and media Sports store Baby and kids section ◦ Wear outs differentiated on the basis of age. Girls Boys ◦ Foot wares Girls Boys ◦ Baby care Various products in all the categories have given a chance to all other brand to compete with each other for there brand and customer attraction
  • 30. All major inventory are located near to the airports. Major warehouses are located in Bengaluru(headquarters), Chennai , Delhi, Hyderabad, Mumbai, Noida, Pune, Kolkata Biggest advantage- Nationwide reach to all sellers of different sizes Covers all tier-1 tier-2 tier-3 cities.
  • 31. Much less price then other e-commerce websites Availability of E wallets and E-Gifts EMI option for specific products Discounted coupons Free shipping facility Special discount and promotional codes for the loyal customers. Above the line promotion: ◦ TV Advertisement ◦ Radio jingles ◦ Print ads Below the line promotion: ◦ Word of mouth ◦ Bulk mailing ◦ In app push notification Through the line promotion: ◦ Social media marketing/ campaign In promotion Flipkart uses a new tool know as AFFILIATE MARKETING in which it earns revenue from different brand for placing their ads in the hot deal section for better presence.
  • 33. • Flipkart is currently in growth stage • Sales revenue is increasing every year • Sooner there will be a cut throat competition in the market after a huge success of Flipkart as certain foreign players are also coming into the market like amazon, Yebhi etc. 2008 - 2009 2009 - 2010 2010 - 2011 2011 - 2012 2012 - 2013 2013 - 2014 2015 6000 5000 4000 3000 2000 1000 Revenue (in millions) 4 20 75 500 1000 2000 5000 0 Axis Title Revenue (in millions)
  • 34.
  • 35. • 24*7 Customer support service . • Price reduction or discounted price. • Better Search Engine Optimization • Advance advertising and promotion. • Multiple payment method. • EMI option availability • E voucher and e-gifts • Less internet knowledge in the small cities • Less penetration in the small cities • No delivery to remote areas. • Negative perception about online transaction.
  • 36.  Penetration of new players in the market like:  Amazon  Snapdeal  EBay  Shopclues • Global availability & accessibility. • More lucrative discounts to attract customers. • Provide mobile application which can run without or minimum usage of internet connection
  • 37.
  • 38. One of the leading E-commerce portals of India. Customer satisfaction is the major concern “God of distribution” As e-commerce market is booming up rapidly we all are going to see some more companies like Flipkart in the near future Provide more higher discounts on products than competitors Enter into the global market and have global reach Provide more brick and mortar outlets like FLIPTOMANIA Increase reach in rural area Educate people about online purchase & security Increase umbrella selling of products
  • 39. www.flipkart.com www.wikipedia.com www.economicsonline.org www.medianama.com www.techcirlce.vcircle.com

Editor's Notes

  1. Logistic company:
  2. Modi Government signed and MOU with Flipkart to provide an online marketing platform to handloom weavers
  3. Modi Government signed and MOU with Flipkart to provide an online marketing platform to handloom weavers