consist of marketing analysis of flipkart which includes
History
environmental analysis of flipkart
pest analysis of flipkart
marketing mix of flipkart
Inbound Marekting 2.0 - The Paradigm Shift in Marketing | Axon Garside
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.
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.
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
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
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
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