Marketing Strategy:

Flipkart
Introduction
Started as a book vendor in 2007 and has now expanded into 14
categories
Indias largest bookseller with 17 million titles offered
Sells 20 products every minute
Has its own delivery network spread across almost 40 cities
It has given stores a run for their money with their discounts and
hassle free purchases and returns
To convince apprehensive customers to buy online, they introduced
the concept of cash-on-delivery
Introduction
Everything they do revolves around giving their customers the
complete shopping experience
They have more than 4 million users on the website
By the end of 2013, they had almost 10000 employees
They broke even in 3 years and claim 100% growth every quarter
Recently, it launched its own Tablet priced at Rs 9,999/-


Segmentation
With over 7o
categories of
products, they have
something for
everybody
So their segment is
anyone in the urban
cities with an
internet connection

People who surf the net
People too lazy to go to the
stores
People to busy to go to the
market
People wanting hassle free
shopping
Gender neutral
Currently urban population
Flipkart targets using
psychographics where
ads are displayed
depending on User
Searches
Targeting
Positioning
One Stop Solution

Online Mega store

Shop on the go

Low price/ Free shipping

Replacement if faulty


E-business Marketing mix
Product
It is the 8
th
most frequented website in the world and 110
th
world wide. An
average visitor spends 8.47 minutes on flipkart daily.
Special Features.
Core Features - Cash/Card on delivery & EMI Options / 30 day replacement
policy / Free shipping above 500 rs (60% revenue from Cash on delivery)
Quality Books are of same quality as purchased at Crossword or landmark
Packaging Tamper proof, weather proof and breakage proof
Unique features Pre-order / E- wallet / E gift voucher / Wishlist
You can make an informed decision with the help of Reviews and Ratings
Price
Price of the product taking account of various expenses such as Supplier
expenses, Transportation expenses, Packaging expenses, Shipping
expenses, Courier expenses, inventory maintenance expense, office and
stationery expenses, sales and advertisement expenses, taxes,
depreciation, discount allowances and many more expenses.
Roughly about 5-7% profit per book orders which indicates that generation
of revenue is on volume basis.
Differentiated themselves by giving best selections, best services at lowest
best possible prices.
Discounts upto 35% across all categories.
Upper edge in competitive pricing.

Place
The delivery of flipkart depends on 3 things
Whether the seller ships to that location
Legal restrictions
Availability of reliable courier partner
Warehouses are located in major cities like Bangalore, Chennai, Delhi,
Hyderabad, Mumbai, Noida, Pune and Kolkata. All are near the airports
Shipping to Tier 1 cities is faster and usually has Express delivery option
When an order is placed, the product is delivered either from the inventory
or is procured on demand. But in case of popular products like Moto G, they
are stored in the warehouses of metro cities so as to give faster delivery
As of yet they do not deliver internationally and 95% of their internet traffic
comes from India






Promotion
Flipkart indulges in heavy social media promotions, specially over
Facebook
They send frequent emails to customers with new products being
introduced or new discounts and offers
The social media and email experience is personalized based on user
searches and preferences in the past
Their advertisement campaigns are quirky and interesting and
generate interest. Initially they concentrated on clearing the
apprehensions of people and now they concentrate on positioning
Flipkart as an online mega store by fulfilling peoples fashion fantasies
Ad Campaigns
No Kidding, No worries Campaign
Apprehensions regarding online payment
Risk involved in online shopping

Shop From Anywhere Series
To promote their mobile App
Tried to capitalize on the convenience factor and had kept prizes
initially

Your Fashion Fantasy Come True
To address the fact that people are apprehensive to buy without
touching or seeing the product

Happy creative services
Stated in 2007 by Praveen Das and Kartik Iyer. They were both
associate creative directors at Ogilvy



People Process Physical evidence
This includes the look
and feel of the site
and the mobile app
Security, which is one
of the major concerns
while shopping online
is taken care of by
using secure payment
gateways
Getting in touch with
the staff and getting
reviews and ratings
about the products
listed on the website
An active customer
support system
consisting of
prompt staff helping
in purchasing or
payments apart
from assistance over
chat and email
An easy buying process
has been set up for the
website and the mobile
app along with a hassle
free return policy with
easy deliveries and pick
ups
A major part of the
process is intelligence
gathering wherein user
data is gathered to see
their choices and
preferences to come up
with suggestions and
offers
Marketing Strategies

Word of mouth (initial marketing even now they want to satisfy customer
so they come back for more)
Good use of SEO and SEM
Ads at proper places and use pay per click to pay for ads
Flipkart First 500/year subscription
Flipkart Student Additional discounts only for students
Customer conversion rate is so high more than 70%
Personalisation of the user page
Product recommendation with your previous purchases
Exclusive product launches

In the News
The Modi Govt has joined hands with Flipkart to promote the handloom
sector and provide weavers with an online platform and boost the sector.
The Ministry of Textiles has signed an MoU with Flipkart in this regard
Flipkart and OLX are coming up with a joint marketing campaign urging
consumers to upgrade their products by selling their used products on OLX
before buying the new products on Flipkart
eBook retailer and distributor Smashwords will distribute its entire
catalogue via flipkart. Flipkart holds 80% market share in online book sales
in India
40,000 units of Redmi were sold today in the flash sale on Flipkart like the
Mi3 from Xiaomi being sold through such sales
Fliptomania Brick and motor store in Bangalore