ABSTRACT

Now a days, Customer has changed due to constant change in business environment. This
change in the environment demands more and more optimization of the time. Consumer
buying behaviour has changed from convenience to comfort and from buying in stores to
buying online. Online shopping or online retailing is a form of electronic commerce which
allows consumers to directly buy goods or services from a seller over the internet using a web
browser.Online shopping is a hit with working professionals.

People having high level of education, income and occupation correspond to more favourable
perception of shopping online. Increasing internet penetration has helped in expanding the
potential customer pool. In this the main aim of the study is to compare the perception of
customer towards online hopping specially in case of flipkart.com to determine which factor
influences the consumer to go for online shopping towards purchase

It is important to investigate the motivation behind consumer purchase but it is equally

important to find us how the consumers form perception and behaviours towards online
buying.

The customer perception regarding a service is framed by:-

• The value of the service.

• The quality of the service.
• The satisfaction level from the service.

However, customer’s willingness to purchase online could be affected by one’s individual

needs and these needs can be ‘Need for cognition’. Taking these aspects into account, a
survey is conducted to know the perception towards online shopping on Flipkart.com.

Hence this study aims to know the consumer perception towards online shopping on Flipkart
with sample respondents of 40.This research also aims to find out the key factors that
influence online shopping behaviour of consumers in Flipkart and to identify the
determinants of online purchase intention among customers in Flipkart.
INTRODUCTION
 Customer perception is a marketing concept that encompasses a customer's
impression, awareness and/or consciousness about a company or its offerings. Customer
perception is typically affected by advertising, reviews, public relations, social media,
personal experiences and other channels.

Consumer behaviour is the study of individuals, groups, or organizations and the

processes they use to select, secure, and dispose of products, services, experiences, or ideas to
satisfy needs and the impacts that these processes have on the consumer and society. It blends
elements from psychology, sociology, social anthropology and economics. It attempts to
understand the decision-making processes of buyers, both individually and in groups. It
studies characteristics of individual consumers such as demographics and behavioural
variables in an attempt to understand people's wants. It also tries to assess influences on the
consumer from groups such as family, friends, reference groups, and society in general.

Customer behaviour study is based on consumer buying behaviour, with the customer
playing the three distinct roles of user, payer and buyer. Research has shown that consumer
behaviour is difficult to predict, even for experts in the field. Relationship marketing is an
influential asset for customer behaviour analysis as it has a keen interest in the re-discovery
of the true meaning of marketing through the re-affirmation of the importance of the
customer or buyer. A greater importance is also placed on consumer retention, customer
relationship management, personalisation, customisation and one-to-one marketing. Social
functions can be categorized into social choice and welfare functions.

The ultimate goal of most businesses is to increase sales and income. Ideally, you want to
attract new customers to your products and encourage repeat purchases.

Brand awareness refers to how aware customers and potential customers are of your
business and its products. Brand Awareness is the extent to which a brand is recognized by
potential customers, and is correctly associated with a particular product. Expressed usually
as a percentage of target market, brand awareness is the primary goal of advertising in the
early months or years of a product's introduction.

Brand awareness is the extent to which the consumer associates the brand with the product he
desires to buy. It is the brand recall and the brand recognition of the company to the
consumers. Brand recall is the ability of the consumer to recollect the brand with reference to
the product whereas brand recognition is the potential of the consumer to retrieve the past

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knowledge of the brand when enquired about the brand or shown an image of the brand logo.
Brand awareness is an essential part of brand development which helps the brand to stand out
from the others in this monopolistically competitive market.

Digital marketing involves the promotion of products and services using digital distribution
channels that reach consumers in a timely, relevant, personal, and cost effective manner. At a
high level, digital channels can have many categories, such as the internet, mobile, digital
outdoors, and any form of interactive digital media. Each category has multiple digital tools/
sub-channels that can support digital marketing. These include:

 Internet- Email banner ads, dedicated websites, pop-up ads, sponsored content, paid
keyword search, podcasts, etc… Newer channels comprise social networks, blogs,
wikis, widgets, virtual words, online gaming etc…

 Mobile- SMS,MMS, mobile Web, mobile application and mobile video

 Digital outdoors – Stills,/ video digital display, interactive kiosks

 Interactive digital medium – interactive television channels

Any combination of the above channels can be used to gain maximum visibility with utmost
impact among targeted customers, thereby enabling more business at a reasonable cost. While
digital channels empower marketers with a tremendous advantage in terms of their extensive
reach, leveraging their potential requires effective management of multiple channels with
complex variables to realize optimal value.

NEED OF THE STUDY

Now-a-days, people instead of shopping from stores or malls prefer to shop from
online. There are many options from which they can choose their desired product.

There are also many online shopping sites like flipkart, amazon, ebay etc... from
which people shop. The need of this particular research is to know about consumer
perception towards flipkart. How flipkart attracts customers and satisfy their needs without
going to other shopping sites.

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OBJECTIVE OF STUDY

 To discover the key factors that influence online buying behaviour of consumers in
India
 To understand the customer perception on Flipkart.com
 To determine the factors affecting customer satisfaction

SCOPE OF THE STUDY

The topic chosen for this particular study is to analyze the customer perception towards
online shopping on Flipkart.com. The sample size 40 respondents chosen was according to
the convenience and the objectives of the study. To know about various aspects of Flipkart in
market, the improvements needed in case of features and process, and the effect of factors on
the buying behavior of online customers. The geographical area that this study covers is
vijayawada.

METHODOLOGY OF THE STUDY

Research Design

“Research means different things to different people” and the intention behind it are to
investigate innumerable data, theories, experiences, concepts and law. “The procedural
framework within which the research is conducted” is the definition of research
methodology. The researcher design of the study is present as follow :

 Sources of data
 Data analysis
 Selection of sample

SOURCES OF DATA

The data required for the study consisting of both primary as well as secondary data in nature

PRIMARY DATA:

“Data collected specifically for the research project undertaken” is the defined as primary
data.

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In this study, the primary data is collected through well-formed questionnaire with the help of
a survey. The questionnaire consists of quantitative and qualitative multiple choice questions
and the respondents are asked to choose the one choice which suits them the best amongst the
multiple choices.

SECONDARY DATA:

The Data that is collected from existing journals, reports and statistics from private and
public institutions are called Secondary data. For this specific study the collection of
secondary data was done primarily from marketing journals already available on this topic.
Secondary data helps the author to comprehend the perception of Indian consumers on online
shopping.

Thus the study carried out has analyzed the primary data with the rationale and validation of
the present secondary data.

SELECTION OF SAMPLE

The study is confined to Vijayawada. The size of the sample selected is 40 respondents.
Sampling allows us to concentrate our attention upon relatively small number of people and
hence more energy to ensure that the information collected from them is accurate

DATA ANALYSIS:

A random sampling method is used for the present study to collect the primary data. Cross
tables and tables were drawn for analyzing data.

SAMPLE SIZE:

The sample size is 40 respondents

Data Collection:

The data collection would be:

PRIMARY DATA: Questionnaire

SECONDARY DATA: Journals, Internet, newspaper etc.

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Sample design

Online customers of Vijayawada city are included under this research and tell their
satisfaction level.

LIMITATIONS OF THE STUDY

No research is complete without admitting the limitations that was faced while conducting a
study which will contribute to present learning. This study too like the others have certain
constrains which has been discussed below.

 The study was restricted to Vijayawada city only

 The study is mainly concentrated on Flipkart.com

 The sample of the size will be limited to time and resources

 The information will be collected valid until there is no any technical change or any
innovation

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INDUSTRY PROFILE
RETAIL INDUSTRY
The Indian retail industry has emerged as one of the most dynamic and fast-growing
industries due to the entry of several new players in the recent times along with rising income
levels, growing aspirations, favourable demographics and easy credit availability. It
constitutes over 10% of the country’s Gross Domestic Product (GDP) and around 8% of the
employment and is valued at USD 672 billion. Globally, India is fifth-largest global
destination in the retail space and is growing at a rate of 12% per annum.

Over the last two decades, the size, scope and complexity of retailing has undergone
considerable change. The retail industry can broadly be classified into two categories:
Organized and Unorganized.

Organised Retail is characterised by high investment requirements, large premises, trained

staff where retailers are licensed and are registered to pay taxes to the government.

Unorganized Retail refers to the traditional form of retail often situated near residential
areas. It is generally characterized by low rentals, low tax payouts with a majority of it being
owner-managed and employing personal capital. It includes formidable mix of conventional
Kirana shops, general stores, mom-&-pop stores, paan-beedi shops and other small retail
outlets.

Currently, organised retail market is valued at about USD 60 billion, only about 9% of the
sector, where as unorganized retail market holds the rest. India's organised retail penetration
is much lower compared with other countries, such as the United States which has organised
retail sector penetration of 85%.

OVERVIEW

The word 'Retail' has been derived from the French word 'retailer' which means 'to cut a piece
off' or 'to break bulk'. Retailing can be defined as procurement of varied products in large
quantities from various sources/manufacturers and their sale in small lots, for direct
consumption to the purchaser. Retailing is one of the biggest sectors in India and has
witnessed multi fold growth post liberalization of the Indian Economy. The evolution of retail
trade in India can be traced to the times when majority of trade was routed through formats
such as Haats, Mandis and Melas. Mostly organised on a periodical basis and limited to a
particular locality/village, such formats gained prominence. Almost everything from
vegetables, household necessities to cattle’s were bought and sold, either through monetary
means or the barter system.

Contemporary organised retail industry evolution in India can be broadly classified in four
phases;

Initiation phase (Pre 1990)

 Migration of people from villages to urban areas

 Opening up of small stores for necessity items

 Advantage of acquaintance with the customers thereby resulting in repeat sales

 However, limited customer base within locality

 During the period 1960s to 1980s, domestic textile majors ventured into retailing via
company-owned outlets.

 Few manufactures opened their own outlets such as Vimal, Bombay Dyeing,
Raymond’s, etc. Footwear makers such as Bata and Metro also established their own
chains of retail stores.

Conceputulization(1990-2005)
 With liberalisation and opening up of Indian economy during the early 1990s, many
corporates and first generation entrepreneurs entered retail business and investments
by international retail firms increased in India.

 For e.g. the RPG group launched Spencer’s in Bangalore in 1991. During the same
year, The Raheja’s, launched Shoppers Stop in Mumbai.

 In 1998, Tata group entered the retail business with the brand Westside. Brands like
McDonalds, Adidas, Reebok, Nike, Levi Strauss, Lee, Wrangler, Louis Philippe, Pepe
Jeans, etc. entered Indian retail market.

 Growth in apparel retail format was the most significant during this period.

Expansion(2005-2010)

 This period was marked by the growing share of organised retail in the total Indian
retail sales pie with substantial investments by large Indian corporates.
  Pantaloons retail (now Future retail) opened ‘Home town’ and ‘E-zone’ in 2006.
Reliance entered the retail business with ‘Reliance fresh’ in 2006.

 Besides the above, in the year 2006, government changed the FDI policy by allowing
foreign retailers to acquire 51% stake in JV with an Indian firm. This saw several
premium brands such as Armani, Versace etc entering the Indian market.

 During the period 2008-2009, due to recessionary impact seen in the Indian economy,
many over-leveraged retail stores had to shut down.

Consolidation & Growth(2010 onwards)

 With intense competition in the urban market, retailer started to setup shops in the
smaller cities and rural areas. Also, India witnessed emergence of many online brands
such as Flipkart, Myntra, Homeshop18 etc.

 In 2012, GoI made major changes in retail FDI policy by allowing FDI upto 100% in
single brand and upto 51% for multi brand.

 E-commerce emerged as one of the major segments

TOP RETAIL COMPANIES IN INDIA

Reliance Retail Reliance Fresh has over 500 stores in India selling fresh fruit and
vegetables while Reliance Smart is a range of supermarkets located in various Indian cities.

Reliance Market operates over 40 neighborhood grocery stores. The company also owns
Reliance Digital, that has some 2,000 stores selling electronics and mobile phones across
India, Jio Stores has operations in 700 cities of this country, lifestyle retail chain Reliance
Trends has 419 stores, a specialized brand store for women, Project Eve operates about 10
outlets, Reliance Jewels has over 60 showrooms.

Tata Group is a very highly respected and oldest indigenous corporate giant founded in
1868. The group’s company, Trent Ltd operates Westside which is billed as India’s fastest
growing lifestyle store. Trent Ltd also owns and operates Star Bazaar in Joint Venture with
British retail giant, Tesco.

Additionally, Tata Group owns several retail stores that includes showrooms for its passenger
and commercial vehicles, Croma brand of electronic and home appliance outlets, Poltrona
Frau Group Design Center for luxury furnishings, World of Titan- watch retailer, Titan Eye+
and two exclusive gems and jewelry boutiques branded Tanishq and Zoya. Additionally,
there are a few retail outlets that operate under Fastrack brand for watches, belts, sunglasses
and other accessories and Sonata, for an eponymous brand of watches.

Raymond Group is one of the oldest retail industry in India and was established in 1925.

Raymond Ltd Group is well reputed for its eponymous brand of clothing and superior quality
fabrics. The parent company is the world’s largest manufacturer of integrated fabrics.

Raymond Group owns over 1,100 showrooms in nearly 400 cities of India under this flagship
brand.

Additionally, the company operates showrooms under the popular Park Avenue brand of
clothing and men’s requirements. And also manufactures Fast Moving Consumer Goods
under Park Avenue, JK Helen Curtis, JK Ansell and KamaSutra brands.

Further, there are retail stores and retail booths of the Raymond brand in some 50 countries
worldwide.

Kurl-on Bangalore-based Kurl-on ranks as India’s fourth largest retail company.

Launched in 1962 as Karnataka Consumer Products Ltd, Kurl-on manufactures 126 different
types of mattresses. The company specializes in coir and foam based products. Kurl-on
operates some 500 stores in India under three brands- Kurl-on Home Komforts, Kurl-on
Mattress Xpress, and Kurl-on Corner.

Additionally, the company also makes pillows and cushion, sofas, furniture, furnishings and
foam products. Its products are sold by more than 10,000 dealers and stores in more than
1,000 locations in India.

Aditya Birla Fashion & Retail Ltd (ABFRL) became one topmost India’s retail companies
in May 2015 following the consolidation of several fashion brands owned by India’s
corporate giant, Aditya Birla Group.

The company owns nearly 700 stores across India. ABFRL has also franchisees abroad.

ABFRL’s brands include Madura Fashion division, Pantaloons Fashion and Retail and
Madura Fashion & Lifestyle , Louise Philippe, Van Heusen, Allen Solly and Peter England.
It also includes India’s first fast-fashion youth brand, People; India’s largest fully integrated
fashion multi-brand outlet chain, Planet Fashion; India’s largest premium international
brand retailer.

Kewal Kiran Clothing Ltd More than 330 stores located in 200 cities and towns across 25
states of India make Kewal Kiran Clothing Ltd a formidable player in India’s retail industry.

(KKCL) is one of India’s largest branded apparel manufacturers, engaged in the designing,
manufacturing, and marketing of branded jeans and a wide range of western wear, since
1992,” states its corporate website. The company’s flagship is Killer brand of denim wear.

Other brands include integrity, K-Lounge, and Easies. The company also offers a franchise
for its stores in foreign countries.

Future Retail Ltd ranks among the largest retail sector companies of India. It serves some
330 million customers in 290 cities across the country. Future Retail’s stores in India occupy
a combined 12 million square feet of space.

Brands include Big Bazar hypermarkets, FBB fashion garments stores, EasyDay Club, the
neighbourhood grocery chain, HyperCity malls, eZone stores for electronics, home
appliances, computers and mobile phones and Foodhall, a premium lifestyle food store.

Avenue Supermarts Ltd owns DMart stores in several states of India, including
Maharashtra, Karnataka, Gujarat, Telangana, Andhra Pradesh, Madhya Pradesh and
Chattisgarh.

Avenue Supermarts runs stores at multiple locations in major cities of India, especially
Mumbai, Bangalore, Hyderabad, Ahmedabad, Pune and Surat to name a few.

Avenue Supermarts Ltd runs over 110 stores in India as well as DMart shopping website.

Godrej India Ltd is one of the oldest business houses in India, established in 1897.Godrej
India Ltd is also one of the largest producers of Fast Moving Consumer Goods in this
country.

Its retail outlets include Godrej Nature’s Basket- stores that sell high-quality food products
and Godrej Interio showrooms that offer furniture, furnishings, electronics and electrical
appliances and other home and office requirements.
Godrej India Ltd has a global presence, with its products exported around the world.

ELECTRONIC RETAILING - E-tailing

Electronic retailing is the sale of goods and services through the internet. Electronic retailing,
or e-tailing, can include business-to-business (B2B) and business-to-consumer (B2C) sales of
products and services, through subscriptions to website content, or through advertising. E-
tailing requires businesses to tailor traditional business models to the internet and its users.
Characteristics of Successful Electronic Retailing

Successful e-tailing requires strong branding. Websites must be engaging, easily navigable
and regularly updated to meet consumers' changing demands. Products and services need to
stand out from competitors' offerings and add value to consumers' lives. In addition, a
company's offerings must be competitively priced so consumers do not favor one business
over another based on cost alone.

E-tailers need strong distribution efficiency so consumers are not waiting long periods of
time for the products or services they purchase. Transparency in business practices is also
important so consumers trust and stay loyal to a company. As consumers continue buying
from the business, revenue increases.

Advantages of Electronic Retailing

E-tailing helps traditional brick-and-mortar stores reach more consumers worldwide and
increase sales. Individual and startup e-tailers may be launched from a single room with one
computer and expand rapidly rather than pay for an entire building with expensive overhead.

E-tailers may trace consumers' shopping behavior while gaining valuable insights into their
spending habits, which may lead to increased revenue. In addition, customers shop from the
comfort of their homes at any time rather than being physically present in the store during
specific hours.

Many brick-and-mortar retailers have chosen to expand their offerings online because it saves
cost. Automated sales and checkout cut down on the need for personnel and websites cost
less than physical stores. It also reduces advertising and marketing expenses as customers can
find the stores through search engines or social media.
Disadvantages of Electronic Retailing

However, creating and maintaining an e-tailing website may be

expensive. Infrastructure costs for order fulfillment, warehousing goods, dealing with returns
and other issues add up quickly. Also, consumers may not trust a company that is not well-
established and may not buy from it as frequently as a brick-and-mortar store.

In addition, e-tailing does not provide the emotional shopping experience encouraging
consumer spending the way being physically present in stores does. E-tailing does not let
consumers hold, smell, feel or try products or services for the sensory support of buying
them. It also does not provide the personal service many consumers are accustomed to when
shopping.

Consumers may be concerned about providing credit card information online and having their
personal details jeopardized. Also, operating with an unproven business model increases the
odds of an e-tailer failing. Consumers may have no recourse if the company becomes
insolvent and cannot refund product or service payments as requested.

FEW E-COMMERCE COMPANIES IN INDIA

Flipkart It is one of the best e-commerce companies in India. Flipkart is founded in 2007 by
Sachin Bansal and Binny Bansal. The company is registered in Singapore, but has its
headquarters in Bangalore. Flipkart has launched its own product range under the name
“DigiFlip” with products including tablets, USBs, and laptop bags. The company is leading e-
commerce Industry with several product categories. It has also launched several in house
products.

Amazon is an American electronic commerce and cloud computing company with

headquarters in Seattle Washington. It is the largest Internet-based retailer in the world by
total sales and market capitalization. Amazon.com started as an online bookstore, later
diversifying to sell DVDs, Blu-rays CDs, video downloads/streaming,
MP3downloads/streamingetc.
Snapdeal.com website claims to offer 50-90 per cent off daily discount deals in major
cities of India. It is touted to be the one-stop-shop for availing discount
coupons/vouchers for restaurants, spa, gyms, travel/holiday packages and other cool
things in your city.
Paytm is an Indian e-commerce website headquartered in Noida, India. It was launched in
2010 and is owned by One97 Communications. The firm started with offering mobile
recharge, adding bill payment and e-commerce, with products similar to businesses such as
Flipkart, Amazon.com, Snapdeal. In 2015, it further added booking bus travel. Paytm also
launched movie ticket booking by partnering with Cinepolis in the year 2016.

eBay India It comes into the list of best e-commerce companies in India. Ebay is
headquarted in San Jose, California. The ecommerce giant Ebay is american mnc firm. It is
an e-commerce company. It is involved into B2C and B2B business model. The foundation of
company taken place in 1995 by Pierre Omidyar. It is among the top 10 e-commerce
companies in India.

Shopclues.com was founded in 2011 by Sandeep Agarwal, Sanjay Sethi and Radhika
Agarwal. Sanjay Sethi is the CEO of shop clues. Presently shop clues is headquartered in
Gurgoan. It is India’s leading e-commerce company.
COMPANY PROFILE
HISTORY OF FLIPKART

Flipkart is an Indian company serving in the electronic commerce sector and

headquartered in Bengaluru, India. It was founded in 2007 by Sachin Bansal and Binny
Bansal. Both alumni of the Indian institute of technology Delhi. They worked for
amazon.com and left to create their new company incorporated in October 2007, as flipkart
online service pvt.ltd. The first product they sold was the book “leaving Microsoft change the
world to customer from Hyderabad”.

Flipkart now employees more than 33,000 people. Flipkart allows payment methods
such as cash on delivery, credit on debit card transaction, net banking, e-gift voucher,card
swipe on delivery and recently they updated the mode of payment for paylater. Flipkart Pay
Later is a customer-centric innovation from Flipkart. It operates just like your
khaatha (register) at a grocery store.

Flipkart Pay Later is a revolutionary customer-focused initiative from Flipkart to make

shopping convenient and worry-free. While Flipkart’s Debit Card EMI, No Cost EMI and
Buyback Guarantee make shopping affordable, Pay Later makes online shopping easy and
convenient for you. Loyal Flipkart customers have been shortlisted to enjoy this service, and
the list of eligible customers is growing month on month. How does Flipkart Pay Later work?
It’s all about your convenience — pick your product, check out quickly and seamlessly
without having to scramble for payment details or OTPs, receive the product, experience it
and, when it’s convenient for you, pay for your products all in one go.

It launched its own product range under the name “DIGFLIP” with products including
tablets, USB and laptop bags. In may 2014, flipkart received $210 million from DST global,
in July 2014 it raised $1 billion led by existing investors tiger global and south African’s
media group Naspers and in may 2015 it raised $550 million from some of its existing
investors. Flipkart last fund raising round in may 2015 has pegged its valuation at $15 billion
in february2016, merger Staley, marked down its investors value to $11 billion.On 10 August
2017, Softbank Vision Fund invested $2.5 billion in Flipkart

DETAIL ABOUT FLIPKART

 Type :- private

 Industry :- internet
  Founded :- 2007

 Founder :- Sachin Bansal, Binny Bansal

 Headquarter :- Bangalore, Karnataka, india

 Key people :- Sachin Bansal(chairman), Kalyan Krishnamurthy(CEO)

 Service :- E-commerce(online shopping)

 Revenue :- 19,854crores (US $3.0 billion) in gross merchandise value ‘17

 No of employees :- 33,000(2016)

 Subsidiaries :- myntra, jabong.com , PhonePe, eBay.in(india), Ekart, Jeeves.co.in.

 Slogan :- ab har wish hogi puri

 Website :-flipkart.com

AWARDS AND RECOGNITION

 In September 2015, sachin bansal and binny bansal entered forbs India rich list
debuting at the 86th position with a net worth of $1.3 billion each.
 Co-founder of flipkart, sachin bansal got entrepreneur of the year award 2012-2013
from economic times, leading Indian economic daily.
 Flipkart.com was awarded Young Turk of the year at CNBC TV 18th Indian business
leader awards 2012(IBLA).
 Flipkart.com got nominated for India mart leaders of tomorrow awards 2011.
 In April 2016, Sachin Bansal and Binny Bansal were named to Time Magazine's list
of The 100 Most Influential People

PRODUCT LIST PROVIDED BY FLIPKART

 Electronics = Mobiles, Mobile Accessories, Laptops, Home

Entertainment, Desktop Pc’s etc…
 TV’s& Appliances = Smart& ultra TV models, Kitchen Appliances, Small home
Appliances etc…..
 Men = Footwear, Men’s Grooming, Sports wear, watches etc……
 Women = Clothing, sandals, Beauty & Grooming etc….
  Baby & Kids = Clothing, Toys, Footwear , Baby care etc…
 Home & Furniture = Kitchen & Dining, Furniture, Home Décor etc….
 Sports, Books &More = Books, Stationery, Gaming, Car & Bike Accessories
etc….

EVOLUTION OF LOGOS

FUNDING

 Initially funded by the Bansals themselves with 4 Lakhs (INR).

 Flipkart has since then raised two rounds of funding from venture capital funds Accel
India (in 2009) and Tiger Global Management (up to the tune of US$10 million) (in
2010).

 Private equity firms Carlyle and General Atlantic are in talks to jointly invest about
$150 million to $200 million in Flipkart, according to sources.

TEAMS AT FLIPKART

Category Management

All this requires an extremely efficient supply chain and this is where Category Management
comes in. The folks at Category Management are responsible for vendor relations and supply
management – without which online shopping wouldn’t be what it is at Flipkart.

* Developing Vendor Network across Country

* P&L Responsibility for various Product Categories

* Building Relations with Leading Brands and Manufacturers

* Market Research

* Managing Supply Chain for efficient sourcing

* Using Technology to Solve Problems

Catalogue

These guys build the look of every catalogue that is launched on the website. From defining
product specifications to ensuring all product related content appears correctly on the site –
the team is constantly working to ensure the customer can make an informed purchase from
us atall times.

Warehouse &Fulfillment Center

Procurement in Flipkart is all about obtaining products that are the best in “Quality”, from the
right “Source” and in the shortest possible “Time” to ensure “Customer Delight”.
Warehousing inFlipkart, on the other hand, is where these products are inspected with a fine
tooth-comb. Afterall, we have a promise to keep - original products with original warranty.
And this is all done withthe highest level of automation because for us, technology is
everything.

Logistics

Flipkart ship 30,000 items every day. That’s 20 items a minute, to nearly every single pin
code in this country. At least 80% of these orders are shipped by our very own, one-and-a-
half year old delivery team, Flipkart Logistics.

Today Flipkart is in 300 cities and soon we intend to expand all over the country. A huge
(and growing) team of delivery executives with a ‘customer first’ approach – this is what
FKL is all about.

Customer Support

‘Customer delight’ is one of the USP of Flipkart. Flipkart want their customer to have the
best ever online shopping experience when they are with them – and will do everything in our
power to ensure it. Though every employee at Flipkart is responsible for giving the customer
a great experience at all touch points, it is our 24X 7 customer support team that has
succeeded in setting unbeatable standards in the service industry.
Finance

Flipkart is a company that has gone from being a start-up to the largest online retailer in the
country – clocking revenues of Rs 2.5 cores per day and well on its way to achieve a target of
$1 billion in revenue by 2014. So can there be any doubt that Finance plays a really important
role in their development.

Talent Acquisition

Growing by leaps and bounds is not an exaggeration when it comes to Flipkart. What was
started by two people in 2007 has today become a 4500 strong company – and counting! In
the last year alone we have added 4000 people to the team. With the demand for high quality
talent across departments showing no signs of slowing down, the Talent Acquisition Group,
or TAG as Flipkart like to call them, have their hands full.

Human Resource

Today Flipkart attracts highly talented professionals from across the industry and campuses
alike - the opportunity to innovate and exposure to a high-growth business environment being
our main attraction. Being a de-centralized function, the team constantly interacts with
various business departments at all times in order to better understand and cater to their HR
needs. The team also builds strategic relationships with the corporate functions to drive pan-
organization initiatives.

The Human Resources team is responsible for the end to end HR life cycle of an employee
once they come on board. It is the HR team that ensures that employees across departments
and from various backgrounds get to know and understand the Flipkart culture. Creating a
high level of employee engagement and helping them develop as professionals is what keeps
the HR team at Flipkart busy.

FLIPKART SUCCESS FACTORS

The site is very easy to navigate, which helps users to easily search for the contents or
products online, it even allows users to search by using various filters like by price range,
search by brands, by age group, by hot-selling etc. If a certain product is not available or is
out of stock it even ask users to input its details & then when the products is available the
desired users are informed, this really helps one connected to the products they are seeking &
leads to repeat & frequent purchases.
The Flipkart site is fast & powerful, i.e if you Search any products in the Flipkart search bar
and you’ll find exactly what you looking in likes no time & it’s very quick to process the
payments & transactions by a very efficient & flexible payment mechanisms of the portals.
Approximately 60% of orders are placed in cash on delivery system. So there is high
possibility scams & frauds, so users have to have their email account linked & with verified
details & receives a confirmation code message on their cell phones or email, after which the
users confirms the unique code& the transaction is processed & usually get delivered in 2-3
business days on the confirmed mailing address.

Flipkart manages to deliver the item in 2-3 business days. If the order placed is not delivered
in the specified time, immediate enquiry goes to nearest supplier and the item becomes
available. It will then be delivered within 24 hour depending on the cause of delay.

Flipkart is continuously aiming to bring down the delivery time of regular orders, in doing so
it is investing in its own delivery system & network, as the time to delivery is one of the
important aspects of selling products online as users want a fast turn around time. An
excellent marketing strategy by Flipkart marketing team is to increase the sales revenues & to
optimize the user shopping experience & increasing loyalty by repeat purchases.

The portals offers a good pricing offers & deals to its users by the means of cash rewards,
loyalty points, discounts, coupons, Frequent buyer rewards points. It even offers goods
relatively cheaper pricing points than it is available in the physical market which in total
helps users save money & at the same time get benefited by the means of rewards points.

FLIPKART WALMART DEAL

It's official. Walmart has wrapped up Flipkart acquisition for $16 billion, a valuation of over
$20 billion, which makes it the world's biggest ecommerce deal. Walmart will own around 77
percent of the Bengaluru-based company in what is also being seen as the largest buyout for
the US firm. The deal, which will see founder Sachin Bansal exit completely, will now pit
US-based giants Walmart and Amazon in the Indian market. The deal is going to shake things
up. The world’s biggest retail deal will impact the whole segment, the competitors and the
consumers.Here’s how it pans out.

Online sellers nervous:Online sellers on Flipkart are jittery because Walmart can wipe them
off. Walmart, a $500 billion American behemoth, has a reputation of killing small businesses
with ultra-low prices. They fear that Walmart might bring in its own private labels via
Flipkart to the Indian consumers, adding to competitive pressures. "These products would be
brought in at hyper-competitive prices, which will cannibalise the market and make it
difficult for other sellers to operate. We are studying the situation and will take appropriate
action, including the legal route, if necessary," a spokesperson of the All India Online
Vendors' Association (AIOVA), which has 3,500 sellers on large platforms like Flipkart and
Amazon.
FLIPKART SWOT ANALYSIS

If there was a list of top Indian online companies, then Flipkart will surely be on top. There
are very few Indian companies worth more then 2 billion dollars and Flipkart as on date is
worth more then 11 billion dollars. The company was started in 2007 by the brothers Sachin
and Binny bansal who took it to staggering heights. The SWOT analysis of flipkart.

1. India’s Largest E-commerce Retailer: Flipkart is the India’s largest E-commerce

company & had sold GMV (gross merchandising value) of $1 billion till now.

2. Experienced founders: The Founders of Flipkart,Sachin & Binny bansal are Ex-
Amazon employees. Having prior experience in the E-commerce industry helped the
founders to work strategically and differentiate their business in a highly competitive
market.

3. Acquisition: With its series of acquisitions like Letsbuy.co,chakpak.com,

weread.com, Mine360 & the recent one Myntra in 2014 has helped the company to
expand in the E-commerce space & used the capabilities and existing resources of
acquired companies.

4. High Brand recall: Flipkart has established itself as a renowned E-commerce

company in India through TV ads, online branding and through its presence on social
media. Brand activities like the “Big billion day” have really increased the brand
recall of the company.

5. Own Payment gateway & Logistic arm: Having its own Logistics arm E-kart &
payment gateway Payzippy has helped the company to control its Expenses. Thereby
passing the benefits to the end customers.
 6. Exclusive & broad range of products: From having Exclusive rights to launch some
products like MotoG, MotoX, Xiaomi Mi3 as well as personal designers segments in
garments category, has helped the company to differentiate and localize its offerings.

WEAKNESSES IN THE SWOT ANALYSIS OF FLIPKART

1. Limited Distribution channel reach: Although its logistics arm has kept cost’s low,
the reach has been affected which is a weakness for Flipkart. Due to use of
outsourcing, Global giants like Amazon & eBay can deliver the product anywhere in
the country. However, Flipkart is still struggling in this field.
2. Cost of Acquisition: Due to stiff competition in the market & low customer
retention, the cost of Acquisition is high because Flipkart acquires a lot of
customers through online advertising. As per Flipkart data, the company spends
R.s 400/- on acquiring a new customer on an average.
3. Power in the hand of buyers: Since this industry is flooded with many players,
buyers have a lot of options to choose. Switching costs are also less for
customers since they can easily switch a service from one online retail company
to another. Same products will be displayed in several online retail
websites. Product differentiation is almost absent and the fight then begins on
the basis of price only.

OPPORTUNITIES IN THE SWOT ANALYSIS OF FLIPKART

1. Expansion of business: By targeting other emerging markets company can increase

their revenues as well as it can have Economies of scale.

2. Expanding their Product categories: This will increase their customer base & at the
same time will reduce the cost of acquisition and customer switch.

3. Changing mentality of Indian customers: With increasing numbers of customers

getting comfortable with online shopping & increase in numbers of Internet users in
India, there is huge potential in this Industry.
 4. Supply chain: By optimizing their supply chain they can compete with the other
players & can manage the loosing sales on account of not making the product
available due to delivery constraints.

5. Establishing in other developing economies: Like Amazon, Flipkart can slowly

start expanding out of India and establish operations in other countries as well which
will help improve revenues.

THREATS IN THE SWOT ANALYSIS OF FLIPKART

 Competition: Stiff competition from the global players like Amazon, eBay as well
as local player like Snapdeal, Tolexo and Shopclues who are continuously trying to
eat each other’s market share.
 Government regulations on the issues related to FDI in multi branding retail has
been a big hurdle in the success of the E-commerce industry in India.
THEORITICAL FRAMEWORK
Human psyche is a very complex process because it involves not only the economic factors
but also the emotional and social factors (Clark and Goldsmith, 2006). Thus, it is really very
difficult to provide an adequate concept of consumer perception. It has been observed by the
various researchers that the success or failure of the product or service is directly related to
the human psyche and their preference (Kauffman, 1996).

Hence, an understanding of the human psychology helps marketers to come up with the
innovative product mixes (Peter and Donnelly, 2002). Consumers are the base of the business
of the business organizations. All the consumers are not similar with each other according to
their perception and behavior (Zhang and Neelankavil, 1997).

In the words of Foxall (1998), Consumer buying behavior is the study of intrinsic qualities of
consumers, such as, motivators, perceptions, personality and learning patterns. According to
various theorists, it is the branch of knowledge, which studies behavior of an individual and
its mental state (Hausman, 2000). According to Sheth and Parvatiyar (1995), evaluation of
various factors related to the consumer perception and behavior allows the business firms to
strengthen the relationship between business and consumers. There are many factors which
influence the perception of a human being and the buying process, which essentially begins
from early childhood, remains through the teen years and adult life also (Lal et al, 1996). The
evaluation of perception comprises many factors to understand the psychology of consumers.
These factors belong to culture, values, family, society, feelings, thinking, attitude,
personality, etc. These factors also vary from consumer to consumer and shape their buying
behavior.

According to Byron McCann (2011), correlation between behavior, experience and

perception of consumer can help an organization to understand in real time what customers
really think, experience and do. He stated:

Behavior + Perception +Experience= the whole real picture.

Consumer Perception

Perception is the process by which individuals select, organise and interpret stimuli, to form a
meaningful and clear picture of the world. Perception has strategy implications for marketers,
because consumers make decisions based on what they perceive, rather on the basis of
objective reality.
The three main components through which all information must flow in the frame of
reference are the cognitive, affective and behavioural components.

* Cognitive component The cognitive component consists of the total configuration of

beliefs and knowledge about a certain object, as well as previously gained experience.

* Affective component The affective component involves emotions, feelings and prejudices.
Prejudices refer to faulty interpretations made previously, and such prejudices cannot be
changed easily.

* Behavioural component The behavioural component has to do with habits, reactions and
intentions. Any information contradicting one's habits and intentions will not be accepted
easily.

Therefore, it can be said that if it is stated that a message was perceived, it means that the
stimuli have passed through all three components of the individual's frame of reference in
such a way that the person is ultimately able to come to a decision. The fact that stimuli are
passing through a person's frame of reference does not mean that the message was perceived
correctly or that the decision that flows from it will be positive.
ONLINE PURCHASING

This is the most substantial step in online shopping activities, with most empirical research
using measures of frequency (or number) of purchases and value of online purchases as
measures of online purchasing; other less commonly used measures are unplanned purchases
Online purchasing is reported to be strongly associated with the factors of personal
characteristics, vendor/service/product characteristics, website quality, attitudes toward
online shopping, intention to shop online, and decision making (Andrade 2000; Bellman et al.
1999)

FACTORS INFULENCING CUSTOMER TO SHOP ONLINE

Though there are several factors that influence consumers to shop online, but as mentioned
above researchers have selected four factors after reading literature in the field on consumer
attitudes towards online shopping and these factors are discussed below in the light of
previous literature.

 Convenience =Convenience factor refers that it is easy to browse or search the

information through online is easier than the traditional retail shopping. Through
online, consumers can easily search product catalogue but if the consumer look
generally for the same product or item in a traditional store manually it is difficult to
visit physically and time consuming also. Convenience has always been a prime
factor for consumers to shop online. Rohm and Swaminathan’s (2004) claims in
“typology of online shoppers into”: Convenience shoppers, balanced buyers, variety
seekers and store-oriented shoppers, based upon their preset shopping motivation.
Through online purchase consumers can easily compare the price than the traditional
purchase. So price comparison is also another convenience factor of online shopping
 Time saving =Time savings is one of most influencing factors of online shopping.
Browse or search an online catalogue can save time and patience. People can save
time and can reduce effort by shopping online. According to Rohm and
Swaminathan’s (2004), one possible explanation that online shopping saves time
during the purchasing of goods and it can eliminate the travelling time required to go
to the traditional store. On the other side, some respondent think that it is also time
taken for delivery of goods or services over online shopping. Unexpectedly time
saving is not the motivating factor for the consumers to shop online (Corbett, 2001)
because it takes time receiving goods or delivery. But time saving factor can be seen
 through different dimensions i.e. “person living in India can shop at Harold’s in
London (through the web) in less time than it takes to visit the local Burdines
department store”.
 Website design/features = Website design and online shopping activity is one of the
vital influencing factors of online shopping. Website design, website
reliability/fulfilment, website customer service and website security/privacy are the
most attractive features which influence the perception of the consumer of online
buying .Kamariah and Salwani (2005) claims the higher website quality, the higher
consumer intends to shop from internet. Website design one of the important factor
motivating consumers for online shopping. Almost 100,000 on-line shopper’s
surveyed by (Reibstein, 2000) shows that web site design was rated as important
factor for online shopping. Website design features can be considered as a
motivational factor that can create positive or negative feelings with a website . if
website is designed with quality features it can guide the customers for successful
transactions and attract the customers to revisit the website again. However, worse
quality website features can also hamper online shopping.
 Security = Security is another dominant factor which affects consumers to shop
online. However many internet users avoid online shopping because of credit card
fraud, privacy factors, non-delivery risk, post purchase service and so on. But
transaction security on the online shopping has received attention. Safe and secured
transaction of money and credit card information increases trust and decreases
transaction risk. In 1995, UK has introduced Fraud free electronic shopping and later
on Europe and Singapore introduced secured electronic transaction (SET).

ONLINE SHOPPERS IN TERMS OF DEMOGRAPHY

Online shoppers in terms of demography are another important aspect. We would like to
study demography in terms of age, gender, income and education as are there any differences
while consumers shop online, differences within the age groups such as does online shopping
attracts elder people or younger people. Studies have shown that online shoppers mainly
consist of people with Higher education and income and working in middle to senior
management or professionals (Kehoe et al., 1998; Hoffman et al., 1996). Locally, a report in
the Business Times and an online survey showed that demographically, a typical Net shopper
is mainly male, aged between 18 and 40, had attended at least secondary school and belongs
to a family with average income of at least $5000. The online survey also showed that cyber-
buyers were also mainly Chinese below 36 years old with diplomas or degrees and drawing a
monthly salary of less than $3500. Another study by Miller (1996) claims cyberspace is the
domain of young people Bhatnagar and Goose (2004). Sim and Kio, (2002) states as main
discriminating factors appeared to be gender and income. Customer segmentation is
important for electronic commerce success, Berry (1999). Miller (1996) has focused on
demographics to show the profile of Internet users, Bhatnagar and Ghose (2004).

RESEARCH MODEL

The research model shown in below Figure is constructed by the writers on the basis of
number of researches done in the area of consumer attitudes towards online shopping
specifically and broadly on online shopping behaviour. The diagram shown in figure depicts
the factors influencing consumer to shop online.

ID 1

ID 2

ID 3 & ID 4

DV

Figure A Schematic diagram of research model.

ID1:IndependentVariable:Convenience
ID2:IndependentVariable:TimeSaving
ID3:IndependentVariable:WebsiteDesign/Features
ID 4: Independent Variable :Security

DV: Dependent Variable: Consumer perception towards online shopping

Source: Developed by the writers for the purpose of study.
The above model shows a relationship between dependent variable (DV) and independent
variables (IDV). Consumer attitudes towards online shopping are perceived as dependent
variable whereas convenience, time saving, website design/features and security are the
independent variables that influence the consumers to shop online. The research model
developed by the writers will serve as a basis for this research and it will help in analyzing
and interpreting the empirical results.

CONSUMER BUYING BEHAVIOR PROCESS

In the field of Consumer behaviour research the classical model of consumer buying
behaviour is of utmost important. We as persons take actions in purchasing and using
products and services and actions are derived by mental and social process. Behavioural
science helps us to better understand why we go for a certain product and why not, why we
set priories while making decision.

Consumer decision process carries five stages, starting with Problem recognition and
following Information search, Evaluation of alternatives Purchase decision and finally Post
Purchase behaviour. Problem recognition starts with the perception of need and moves
towards information search where consumer uses internal and external sources to analyze
given information and use that information in the next step of evaluation of alternatives.
While 19 evaluating alternatives one assessing values of the products by giving weights.
Once you have successfully evaluated alternatives you will move towards purchase decision
where you may encounter three possibilities, from whom to buy, when to buy and do not buy.
Once you have actually made the purchase now it comes to Post purchase behaviour, whether
you are satisfied or dissatisfied with your purchase, Solomon, bamossy, askegaard and Hogg
(2006).
DATA ANALYSIS AND INTERPRETATION
1. Do you shop Online?

Tableno 5.1 : Customer online shopping preference.

S.No
Response No of Respondents Percentage %
1 Yes 35 88
2 No 5 12
Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.1 : Customer online shopping preference.

100
90
80
No of Respondets

70
60
50
No of Respondents
40
Percentage
30
20
10
0
Yes No
Options

INTERPRETATION

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that 88% of respondents do online shopping
whereas only 12% of respondents do not prefer online shopping.
2. How often do you shop/purchase products from online?

Tableno 5.2 : Online shopping usage.

S.no Response No Of Respondents Percentage %

1 Always 12 30
2 Often 10 25
3 Sometimes 18 45
4 Never 0 0
Total 40 100
SOURCE : Primary data collected through the questionnaire

Graph 5.2:Online shopping usage.

50
45
No of Respondants

40
35
30
25
No of Respondents
20
15 Percentage

10
5
0
Always Often Sometimes Never
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that, 30% of respondents prefer to always do
online shopping, 25% of respondents said for doing Often, 45% of respondents said
Sometimes they do online shopping.
3. Which Platform do you prefer for your Online Shopping?

Tableno 5.3 : Platform Preference for online shopping.

S.no
Responses No of Respondents Percentage %
1
Mobile App 28 70
2
Website 12 30
Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.3 : Platform Preference for online shopping.

80

70

60
No of Respondents

50

40
No of Respondents
30 Percentage
20

10

0
Mobile App Website
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that,70% of respondents prefer Mobile App to
do shopping, whereas 30% of respondents prefer Websites to do online shopping.
4. Which website do you use mostly to buy products from online?

Tableno 5.4 : Customer website preference.

S.no
Options No of Respondents Percentage%
1
Amazon 11 27
2
Flipkart 13 32
3
Ebay 9 21
4
Snapdeal 8 20
Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.4: Customer website preference.

40
35
No of Respondents

30

25

20
No of Respondents
15
Percentage
10
5

0
Amazon Flipkart Ebay Snapdeal
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents the fact that 27% respondents said that they
prefer Amazon, whereas 32% of respondents responded for Flipkart, 21% of respondents
responded for Ebay, and 20% of respondents responded for Snapdeal.
5. How did you come to know about Flipkart?

Tableno 5.5 : Modes of awareness about Flipkart.

S.no Options No of Respondents Percentage %

1 Word of Mouth 17 43
2 TV 7 17
3 Internet(Blogs, links , search engines 10 25
etc..)
4 Print Media 6 15

Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.5: Modes of awareness about Flipkart.

45
40
No of Respondets

35
30
25
20
15 No of Respondents
10 Percentage
5
0
Word of TV Internet Print Media
Mouth
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents the fact that, 43% of respondents said that they
know about flipkart through word of mouth,17% of respondents said through television, 25%
of respondents said through internet and 15% of respondents said through print media.
6. What is the frequency of purchasing products from Flipkart compared to other
shopping sites?

Tableno 5.6: Frequency of using Flipkart compared to other sites.

S.no Options No of Respondents Percentage %

1
Occasionally 14 35
2
Once in a week 4 10
3
Daily 16 40
4
Once in a month 6 15
Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.6 : Frequency of using Flipkart compared to other sites.

45
40
35
No of Respondents

30
25
20 No of Respondents
15 Percentage
10
5
0
Occasionally Once in a week Daily Once in a month
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that,35% of respondents said that they shop
occasionally from flipkart, whereas 10% of respondents said for doing once in a week, 40%
of respondents said for doing daily, and 15% respondents said for doing once in a month.
7. Which is the most frequently purchased product from Flipkart ?

Table no 5.7 : Product category selection from Flipkart.

S.no Options No of Respondents Percentage%

1 Clothing 9 23
2 Electronics 11 27
Kitchen & Home appliances 8 20
3 Footwear 7 18
4
Beauty & Health care 5 12
Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.7: Product category selection from Flipkart.

40
35
No of Respondents

30
25
20
15
No of Respondents
10
Percentage
5
0
Clothing Electronics Kitchen & Footwear Beauty &
Home Healthcare
appliances
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that , 23% of respondents shop for clothing in
flipkart, 27% respondents shop for Electronics, 20% respondents shop for kitchen and
home appliances ,18% of respondents shop for footwear, 17% of respondents shop for
beauty and healthcare items through flipkart.
8. Which of the following features do you like about Flipkart?

Tableno 5.8: Customers expecting Features of Flipkart.

S.no Options No of Respondents Percentage%

1
Availability of 7 18
products
2 Easy mode of 14 35
payment
3 Fast Delivery 8 20
4 Customer Service 6 15
5 Exchange options 5 12
Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.8: Customers expecting Feature of Flipkart.

40
35
No of Respondents

30
25
20
15 No of Respondents

10 Percentage

5
0
Availability of Easy mode of Fast delivery cutomer Exchange
products payment service options
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that, 18% of respondents said that they like
availability of products, 35% of respondents like easy mode of payment,20% of respondents
like fast delivery, 15% of respondents like customer service, and 12% of respondents like
exchange options from flipkart.
9. Which of the following Issues do you face while shopping from Flipkart?

Tableno 5.9 : Issues faced by customers from Flipkart.

S.no Options No of Respondents Percentage %

1 Delayed Delivery 4 10
2 Out of Stock 9 23
3 Less Discount 6 15
4 Replacement Issues 5 13

5
Payment Issues 6 15
6
No Problem 7 17
7
Other 3 7
Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.9 : Issues faced by customers from Flipkart.

40
35
No of Respondents

30
25
20
15
10 No of Respondents
5 Percentage
0

Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that,10% of respondents said that they have
faced delayed delivery problem, 23% of respondents for out of stock problem, 15% of
respondents for less discounts compared to other sites, 13% respondents for replacement
issues ,15% of respondents for payment issues, 17% of respondents said that there is no
problem and 7% of respondents said for other issues.
10. What are the basis for you to select that particular product from the categories
given by the Flipkart?

Tableno 5.10 : Reason for Product Selection from Flipkart.

S.no Options No of Respondents Percentage%

1 Rating of the product 7 18

2 Discount and features 13 33

3 Review about the product 11 27

4 Brand of the product 9 22

Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.10: Reason for Product Selection from Flipkart.

40
35
No of Respondents

30
25
20
15 No of Respondents

10 Percentage

5
0
Rating of the Discount and Review about Brand of the
product features the product product
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that , 18% of respondents prefer to shop on the
basis of rating of the product, 33% of respondents prefer for discount and features, 27% of
respondents prefer for review about the product, 22% of respondents prefer for brand of the
product from flipkart.
11. What do you think about Flipkart’s Product display and description?

Tableno 5.11: Product display and description.

S.no
Options No of Respondents Percentage %
1
Excellent 18 45
2
Good 12 30
3
Average 7 18
4
Poor 3 7
Total 40 100
SOURCE : Primary data collected through the questionnaire.

Graph 5.11: Product display and description.

50
45
40
No of Respondents

35
30
25
No of Respondents
20
15 Percentage

10
5
0
Excellent Good Average Poor
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that , 45% of respondents said that product
display and description in flipkart was excellent, 30% of respondents said was good, 18% of
respondents said was average, 7% of respondents said was poor for product display and
description from flipkart.
12. How satisfied are you with Flipkart’s Exchange/return/replacement and/or refund
policy?

Tableno 5.12: Exchange and Return policy of Flipkart.

S.no
Options No of Respondents Percentage %
1
Highly Satisfied 21 53%
2
Satisfied 13 32%
3
DisSatisfied 6 15%
Total 40 100%
SOURCE : Primary data collected through the questionnaire.

Graph 5.12: Exchange and Return Policy of Flipkart.

60

50
No of Respondents

40

30
No of Respondents

20 Percentage

10

0
Highly Satisfied Satisfied DisSatisfied
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that 53% of respondents said as that they are
highly satisfied, 32% of respondents said that they are satisfied, 15% of respondents said
that they are dissatisfied from flipkart exchange and return policy.
13. How likely are you to recommend Flipkart to a friend /family member or colleague
in the future?

Table no5.13 : Recommending Flipkart to others.

S.no Options No of Respondents Percentage %

1 Very likely 22 55%
2 Somewhat likely 13 33%
3 Neutral 5 12%
Total 40 100%

SOURCE : Primary data collected through the questionnaire.

Graph 5.13 : Recommending Flipkart to others.

60

50
No of Respondents

40

30
No of Respondents
20 Percentage

10

0
Very likely somewhat likely Neutral
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that 55% of respondents are very likely to
recommend, 33% of respondents are somewhat likely and 12% of respondents are neutral to
recommend flipkart to friends and family.
14. What do you think about Flipkart’s After sale service/customer support?

Tableno 5.14 :After sale services of flipkart

S.no Options No of Respondents Percentage %

1 Excellent 19 48%
2 Good 11 27%
3 Average 8 20%
4 Poor 2 5%
Total 40 100%

SOURCE : Primary data collected through the questionnaire.

Graph 5.14: After sale services of flipkart.

50
45
40
35
No of Respondents

30
25
No of respondents
20
Percentage
15
10
5
0
Excellent Good Good Poor
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the x-axis and Percentage
of Respondents on y-axis.

The data in the above chart represents that 48% of respondents said flipkart’s after
sale services was excellent, whereas 27% said was good, 20% said was average and 5% said
was poor for after sale services of flipkart.
15. What is your overall level of satisfaction with Flipkart?

Tableno 5.15: The customers satisfaction level on Flipkart.

S.no Options No of Respondents Percentage

1 Highly satisfied 22 55%

2 Satisfied 16 40%
3 Dissatisfied 2 5%
Total 40 100%

SOURCE : Primary data collected through the questionnaire.

Graph 5.15 : The customers satisfaction level on Flipkart.

60

50
No of Respondents

40

30
No of Respondents

20 Percentage

10

0
Highly satisfied Satisfied Dissatisfied
Options

INTERPRETATION:

In the above chart, Response of the Respondents is taken on the X-axis and
Percentage of Respondents on Y-axis.

The data in the above chart represents that 55% of respondents are highly satisfied
with flipkart, 40% of respondents are satisfied, and 5% of respondents are dissatisfied with
flipkart.
FINDINGS,SUGGESTIONS & CONCLUSION
FINDINGS
After analyzing the data, which was collected through questionnaire from respondents,
following are the findings of the study are:

 88% of respondents prefer to shop from online.

 45% of respondents do online shopping only sometimes, but not daily.
 70% of respondents feel convenient to use mobile app for online shopping.
 32% of respondents always prefer to shop from flipkart only, compared to other
shopping sites.
 43% of respondents came to know about flipkart from word of mouth only.
 35% of respondents use flipkart occasionally, rather than regularly.
 27% of respondents prefer to mostly shop electronic products from flipkart.
 35% of respondents like flipkart’s easy mode of payment feature.
 23% of respondents face out-of-stock of products problem from flipkart.
 27% of respondents select the products only after reading the reviews about that
product from flipkart.
 45% of respondents said that flipkart’s product display and description as excellent.
 53% of respondents are highly satisfied with flipkart’s exchange and return policy.
 55% of respondents are very likely to recommend flipkart to their friends/family/or to
others.
 48% of respondents said that flipkart’s after sale services as excellent.
 55% of respondents are highly satisfied with flipkart and their overall services.
SUGGESTIONS:

Based on the findings of the study, following are the suggestions for improving the
effectiveness of

 27% of respondents prefer to shop electronic items from flipkart. so it is good for
flipkart to decrease their prices on electronic products and to increase number of brand
varieties to attract more users and to increase sales.
 Delivery services can be improved mainly in rural areas by selecting appropriate
courier service which has services in customer area for dispatching an item. Can make
free delivery to all priced products which are above 500, without charging extra
delivery for few products.
 23% of respondents face Out of stock problem. Because of this people go to other
shopping sites for those products, which will make flipkart to loose its sales and
customers. so items can made available as soon as possible and intimate the needed
customers.
 Price will still be a factor as amazon being a huge company will use its economies of
scale to remove their competitors from the market; therefore they need to be more
competitive on that aspect.
CONCLUSION

This thorough study is based on the consumer perception on online shopping with reference
to flipkart. In this study I found that though there are many good points for flipkart, but there
are some drawbacks respondents face like delayed delivery, out of stock problems and price
range problem. compared to other site like amazon, where there are wide range of products
and prices are extremely low, and it is one of the biggest competitior for flipkart. So flipkart
have to be more careful to increase its sale and to not to loose its faithful customers, who
always prefer to shop from flipkart.

Finally I conclude that The Overall Brand Value of Flipkart is good, but it is facing some
tough competition from its global competitors like Ebay and Amazon. Talking about
domestic market i.e India, it is the most superior E-business portal which is aggressively
expanding & planting its roots deep into the Indian market & at the same time shifting the
mind-set of the people from going & shopping from physical store to online stores, which is
magnificent!.

Be very focused on consumers and build amazing experiences for the customer.
BIBILOGRAPHY
BIBLIOGRAPHY:

 Assael, Henry. (1984.) “Behavior and Market Action”. Boston, Massachusetts: Kent
Publishing Company,
 Belch, G.E., & Belch, M.A. (2001). Advertising and Promotion: An integrated
Marketing Communications Perspective (5th ed.). Boston: Irwin/McGraw- Hill.
 Cooper, Donald R. and Schindler , Pamela S. (1999), Business Research Methods, 6
Tata McGraw-Hill Publishing Company Limited, New Delhi, India
 Arnould, E.J. and Wallendorf, M. “Market-oriented Ethnography: Interpretation
Building and Marketing Strategy Formulation,” Journal of Marketing Research, Vol.
31 (November 1994), pp. 484–504.
 Easterby-Smith, M., Thorpe, R. & Lowe, A. (2002), Management Research 2nd
edition, London: Sage.
 Remenyi, D., Williams, B., Money, A. and Swartz, E. (1998), “Doing Research in
Business and Management”, Sage Publications, London.
Websites
 www.Flipkart.com
 www.google.com

47
ANNEXURE
QUESTIONNAIRE ON “CONSUMER PERCEPTION ON ONLINE SHOPPING
WITH REFERENCE TO FLIPKART”

NAME: NUMBER:

AGE: GENDER:

1. Do you shop online?

a)Yes

b)No

2. What is your frequency of purchasing products from online?

a)Always c)Rarely

b)Sometimes d)Never

3. Which Platform do you prefer for your Online Shopping?

a)Mobile App

b)Website

4. which website do you use mostly to buy products from online?

a)Amazon c)Flipkart

b)Nykaa d)Snapdeal

5. How did you come to know about Flipkart?

a) Word of Mouth c)TV

b) Internet d)Print Media

6. How often do you visit or shop from Flipkart compared to other shopping sites?

a)Occasionally c)Once in a week

b)Daily d)Once in a month

7. Which is the most frequently purchased product from Flipkart?

a)clothing d)Footwear

b) Electronics e)Beauty & Health care

c) Kitchen & Home appliances

8. Which of the following features do you like about Flipkart

a) Availability of Products d)Easy mode of Payment

b) Delivery e)Customer Service

c) Exchange Options

9. Which of the following Issues do you face while shopping from Flipkart?

a)Delayed Delivery d) Payment Issue

b) Out of Stock e) Replacement Issues

c) Less discount as compared to other e-commerce sites

f)Other

10. What are the basis for you to select that particular product from the categories given by
the Flipkart?

a) Rating of the product c)Review about the product

b) Discount and features d)Brand of the product

11.What do you think about Flipkart’s Product display and description?

a)Excellent c)Average

b)Good d)Poor

12. How satisfied are you with Flipkart’s Exchange/return/replacement and/or refund policy?

a)Highly Satisfied c)Dissatisfied

b)Satisfied

13. How likely are you to recommended our website to a friend/family member or colleague
in the future?

a) Very likely c)Neutral

b) Somewhat likely
14. What do you think about Flipkart’s After sale service/customer support?

a)Excellent c)Average

b)Good d)Poor

15. What is your overall level of satisfaction with Flipkart

a)Highly satisfied c)Dissatisfied

b)Satisfied