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► Leading Indian E Commerce company
headquartered in Bangalore.
► Started by two IIT graduates BINNY AND SACHIN BANSAL
in year 2007, who were also ex-amazon employees.
► India’s largest online bookseller with over 11.5 million titles
in offer.
►Flipkart projects its sales to reach 10 billion by year 2014.
►Sells nearly 10 products per minute.
► First company to introduce Cash On Delivery payment
system, a 30-day replacement policy, EMI options, free
shipping - and of course the great prices.
CEOSachin Bansal
ENGINEERINGMekin
Maheshwari
OPERATIONS
Sujeet Kumar
COOBinny Bansal
“To become Amazon of India”.
Providing a delightful and memorable customer
experience
“Completely hassle free shopping experience with
best prices in India”.
VISION
MISSION
OBJEVTIVES
FLIPKART
Normal people (for gifts, etc.)
Students/Academicians and
Corporate/executives
Book lovers
► Flipkart aims to become the largest retailer of
India.
► Flipkart wants to be present across all
categories, except in groceries and automobiles,
the CEO said “Our target is not just those who
shop online. We want to highlight the
convenience of e-commerce to traditional
offline shoppers and, thus, help grow the
market.”
STRATEGIC OBJECTIVES:
• US $ 100 million revenue.
• Diversify product portfolio into home appliances, electronics, etc.
2012
• US $ 1 billion revenues.
• Aggressive acquisitions.
• Stronger supply chain.
2015
• Largest retailer in India.
• Enter global markets.
2020
FINANCIAL OBJECTIVES:
4 20 75
500
1000
2000
5000
Revenue
In INR Cr.
Evaluation of
Alternatives
Customer perceived
value
Wider range
across all categories
Purchase Decision
Faster turn around
time
Cash/Card on Delivery
Easy Return Procedure in
case DOA
Post-Purchase behavior
Feedback on Flipkart
website and other blogs
Word of Mouth
Affiliate
►Attract users to the site
►Provide selection
►Provide details to evaluate a
product
► Price well
►Provide convenient payment options
►Confirm payment
ORDER LIFECYCLE:
►Get the item
►Clean & Check for sanity
►Pack the item
►Select courier & hand-over
►Get tracking id & communicate to
customer
►Take care of returns(faulty product/users
change their mind)
• GIFTSOCCASIONS
• DISCOUNTS, FREE HOME DELIVERY
• PRICE COMPARISONBENEFITS
• POTENTIAL USER
• FIRST TIME OR SECOND TIME USERUSER STATUS
BEHAVIOURAL SEGMENTATION:
►Government support for increasing
Internet penetration in India.
► Tax benefits to corporate.
► 2012 Increase in stock holding % for
foreign investors in companies.
► Resistance against foreign retailers
POLITICAL:
►Booming Indian economy.
►Increasing spending power.
►Skyrocketing fuel prices.
►Base of internet users multiplied by 10 to
11 times in last 6 years.
ECONOMICAL:
►Better comfort level and trust in online
shopping.
►High priority on time and convenience.
►Improving usage of Broadband and high
computer literacy.
SOCIAL:
► Advent of Mobile shopping.
► Increasing penetration rate of
broadband and wireless internet.
► Better managed E commerce site for
ease, privacy and advancements in net
banking.
TECHNOLOGICAL:
2010: WeRead, a social book discovery tool.
2011: Mime360, a digital content platform company.
2011: Chakpak.com, a Bollywood news site that offers
updates, news, photos and videos.
2012: Letsbuy.com, an Indian e-retailer in electronics.
Flipkart has bought the company for an estimated US$25
million.
2014: Acquired Myntra.com in an estimated INR 2,000 crore
deal.
►Lower transaction size
►Better Shelf size
►Shipping and handling of books is easy
►To emerge as a pioneer in book retailing rather
than venturing comparison shopping engine
WHY BOOKS AS FIRST CHOICE:
Online Book Sellers (20 %
market)- Direct
FLIPKART: Market leader with 80% share.
INFIBEAM:
7% share.
BOOKADDA:
5% share.
Others (EBay, India Times):
8% share.
Traditional Book Sellers (80%
market share)-Indirect
General Book Stores/ fragmented over whole country.
Branded book chain (Crosswords, Om
Book Depot, Landmark, etc.) in
Tier 1 cities.
► In July 2014 Flipkart launched its own set of
tablet, mobile phones & Phablet. The first
among these series of tablet phones was
Digiflip Pro XT 712 Tablet.
► In July 2014 Flipkart launched it's first
networking Router, under its own brand name
named DigiFlip WR001 300 Mbit/s Wireless N
Router.
► In September 2014 Flipkart launched its in-
house home appliances and personal
healthcare brand Citron. The label includes a
wide range of cooking utilities and grooming
products.
ADVERTISEMENTS BY FLIPKART
► Membership cards and premium facilities.
► Extended range of academic books.
► Providing Sponsorships.
► Vernacular language option on websites.
► Better featured user interface.
► Cost cutting on packaging.
► Flipifts
► Liquor
Archies Indiangiftsportal.com
Red moments iFEEL Cafepres
s.com
► All consumer goods, generic gift products, customized goods.
► A different section for generic and customized products under
flipift
► Presto, customized gift manufacturer and retailer-sole provider
of customized goods
► Will also be supported by IP tracking systems to enhance
repeatability.
•Initially in Mumbai and NCR
•Mandatory registration
•Uploading Identification proof mandatory
•Minimum order of $16
BOTTOMS UP.COM:
FLIPKART RETAILERS CUSTOMER
ORDERS
PLACED WITH
FLIPKART
ALLOCATION OF ORDERS WITH
RETAILERS
RETAILER
CONFIRMS THE
AVAILABILITY OF
STOCK
RETAILER
DELIVERS
SATISFIED
CUSTOMER
Cost
Heavy discounts on books
Free shipping for purchases above Rs. 300
Consumer
Availability of products across 14 categories
Books can be ordered before they are launched
Pan India presence
Communication
Advertisements via Search Engine Optimization
Transparent Communication
Once the customer places an order, progress can be tracked
Convenience
Ease of finding the product and related information
Purchase at the click of a button
Cash/ Card on Delivery
Marketing Mix
FICTION
ACADEMIC
LITERATURE
CHILDREN
ELECTRONIC GOODS
HOUSEHOLD ELECT.
MOBILE TECHNOLOGIES
PERIPHERALS,WELLNESS
APPARELS
ACCESSORIES
Eg: Flipifts, bottoms
up, extended
range of academic
books
•Aims most
segments except
automobiles ad
groceries.
PRODUCT:
► Offers discount
► E-wallet
► E-gift vouchers
► Eg: membership
cards with points
facility
► Advertising
► Online marketing
► Media
► Word of mouth
► Suggested:
► sponsorships
► e-wallet promotion
► themes of advertisements
concentrating on different
services provided.
PRICE:
PROMOTION:
►Inventory at 4 major
centers-Mumbai,
Delhi, Bangalore,
Kolkata
►Delivery services
through e-kart and
postal services
►Covers all tier-1 cities
and major tier-2 and
tier-3 cities
► The packaging and
quality of product
► Prompt delivery
► 30 day return policy
► Suggested- Better user
interface, IP tracking
for Flipifts
PLACE:PHYSICAL
DISTRIBUTION:
Key Success factors:• brand loyalty
• User experience
• Reliability
• convenience
• delivery reach
• delivery time• mobile shopping
• availability
• product modes
(printed/ e-books)• titles
Threshold factors: Brand
awareness, price.
Competencies:• large self owned delivery
channels
• supplier network/ first to
market
• mobile shopping solution/
increased reach
• innovation in
services/payments/technolog
y
• excellent customer services
• internet strategy (search
engine optimization, platform
advancement)
• large loyal customer base.
Value proposition:
“Completely hassle free shopping
experience with best services to
everyone, everywhere and everytime in
India”. 43Prepared By:- AKASH TYAGI
STRENGHTS:
► Industry condition: very high potential► Investor’s trust► Services and warehousing► Payment options► Established brand► Customer service► Online discoverability► Inventory management► Self owned delivery network► Supplier network/relation► Innovation and technology competence► Brand► Supply Chain Management► Quick Turnaround Time► Advertisement And Promotion► Strategic Acquisitions► Huge Reach► Self owned logistics i.e. E-KART► Strong Brand value► Self owned online gateway i.e payzippy► Exclusive tie ups
WEAKNESSES:
► Entry of international on-line competitors in Indian market
► .Customers are not comfortable with online payment
► .Not profitable operationally
► .Time to build confidence among the customers
► .Middle management retention issues.
► No control over small value orders
► Free shipping built costs
► Less reach as compared to physical book stores.
► Global reach.
► Investor driven organisation
► Capital and technology intensive
► Less reach compared to physical stores
► Shipping cost for small value orders
OPPORTUNITIES:•growth in e-tail
► growth in e-book culture
► broadband penetration
► mobile apps
► development of m-commerce in the e-market
► increasing internet penetration
► target social medias to reach young population
► high interest among vc/pe.
► untapped mobile users
► coverage of all parts of india
► tie ups with book fairs/education institutes.
► enter new untapped global markets
► Self e-publishing
► Global markets
► Growing demands of e-retailers
► Increassng access to internet
► Rapid adoption of mobile platforms
THREATS:
► High competition from major international
online retailers
► Capture of alternative market by competitors
► e.g.Infibeam, amazon.in► Low internet penetration► Less usage/preference of online buying► Small value orders in remote areas with
high delivery costs► Amazon will enter soon► Economic downturns
► Price wars
► Insecure online transactions due to increased
cases of hacking
• Large supplier base.
• Decreasing popularity of printed books.
• Traditional book stores.
• Advent of E book readers like I Pad and Kindle.
• Presence of multiple players & traditional retail stores.
• Cheap old/used book vendors.
• Low capital investment.
• High technological intensive players.
Threat of new Entrants
Bargaining Power of
Buyers (High)
Bargaining power of Supplier
(Low)
Threat Of Substitutes
(Low)
Rivalry Among Competitors
(High)• Low entry
barriers •Huge market.
PRESENTED BY:
Ashwarya Chaudhary
Mamta Gupta
Shivani Singhal
Shubhita Batra
Sonvi Gupta
Sudipta Sabharwal