Flipkart Vs Amazon:

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Flipkart Vs Amazon: a case study in e-retailing By: Sumit Lokhande SIEMENS Nashik Works 1

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E-Commerce in India IT Act, 2000 Explosive Growth Access to Internet: 11% Indians Growth: > 50% Annually Sales by 2016: $8.3 billion* Contribution to India’s GDP by 2020: 4%** Source: *Crisil (Credit Rating Information Services of India Limited ) **KPMG 2

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Challenges in E-Commerce Industry: High return ratio > Reverse Logistics High Failure Rate for most Payment Gateways Low Internet penetration Low Smartphone penetration No Touch and feel experience. Logistics 3

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Amazon: An Introduction American International Headquartered at Seattle Started as online bookstore Soon diversified selling CDs, DVDs, software, electronics, furniture, toys, etc Mission: To be world’s largest Customer Centric Company 4

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Amazon Business: Platforms for Merchants & Associates Many acquisition from 1998 till date 5

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Amazon.in Home Page 6

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Flipkart: An Introduction Indian e-commerce company headquartered in Bangalore, Karnataka. Founded by Sachin Bansal and Binny Bansal in 2007. Initial focus on online sales of books, but later it expanded to electronic goods etc Multiple Payment Methods 7

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Innovation Delivery within 2 Days 30 Days return policy Card Swipe on delivery Comparison of products made easy Browsing made easy Exclusive Launch at aggressive prices. (Eg., Moto E) 8

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Flipkart: Home Page 9

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Sales Promotion: Flipkart Apart from Television Commercial, Flipkart relies more on word of mouth publicity. Other Promotional Techniques include: Rebate & Discounts Refunds Quantity Deals/ Gifts Full Finance @ 0% 10

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The Road Ahead For Flipkart: Glowing Reviews Niche Product: DigiFlip Value Added Differentiation: Focus on customer & Providing Customization of Products. Aggressive marketing for the Mobile App 11

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SWOT Analysis: Flipkart 12

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Business Level Strategies: Flipkart Word of mouth advertising Customer satisfaction Wise Use of Search Engine Optimization (SEO) and Ad Words Social Media Ekart 13

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Strategic Evaluation: Flipkart 14

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Flipkart Journey First Mover Benefit Pioneering innovation: Sales of Motorola, Xiaomi Excellent Service and Product Quality Ease of use Market leader despite offering relatively high prices Discounts and free shipping Successful WOM marketing 15

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Flipkart’s Big Billion Day Sale: 16

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Marketing Tactic: Special Mailers Target Sales: Rs. 1 Billion Achieved Sales: Rs. 6.14 Billion 17

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Business Model/ Marketing Mix Flipkart is a Marketplace model Sub Brand ‘DigiFlip’ Ekart Logistics for competitors Hand to Hand Exchange via Myntra Logistics 19

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Marketing Innovation FlipKARDs for Brand Loyal Reward coupons for Product Reviews Expert Advice from Tech Bloggers Modeled Clothes as per Size Chart Flipkard Loyalty Programme Discounts. Coupons. Sale. 20

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Retaining Leadership Position Customized Products Develop IT Infrastructure Complement Product Purchase Renovate & Expand Business Increase No. of Sellers More features on Mobile App 21

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