Myntra is an ecommerce portal operating via the app only mode, b2c shopping portal, only for customers ordering the merchandise for delivering in india. The procurement model is at the heart of flipkarts success, as most delays or troubles occur in this part of business. It is the robust logistics at flipkart that sets it apart from other wannabe ecommerce sites. Source a single product type from wholesalers and publishers and sell it directly to consumers on the then fledgling internet. This case aims at examining the business model of flipkart which has specially been. How flipkart website works and how to start a flipkart. The eretailing form of market was fairly something unheard of to the indian consumer in 2007. Flipkart is an online shopping destination for india founded in 2007 by sachin bansal and binny bansal. May 29, 2019 flipkart is one of the top 3 ecommerce companies of india. The online platform of the flipkart is a b2c buyer to consumer model which provides ample shopping opportunities to the indian consumers in an effective manner. It is the second most preferred websites by the people who look for shopping online in india.
Because of cut throughout competition flipkart faces losses many times. Flipkart is one of the top 3 ecommerce companies of india. An insight into business model of flipkart indias ecommerce giant. The company started with an inventory based model, but it was in 20 that it moved to a market place model, which is how even operates. App list sellers who sell the various apparel from the list of products that myntra sells get customers to view the. Flipkart strategic business management retail e commerce.
Although amazon had their backoffice operations in india, they came in as powerful competitors in the marketplace for flipkart in 20. Business models in emerging markets flipkart vs amazon vs. Flipkart strategic business management free download as powerpoint presentation. How flipkart and amazon makes money ecommerce business. Nov 24, 2017 business model flipkart started as a bookselling website, but later went on to operate as a complete online retail site. Working as a bridge between restaurants and customers, swiggy utilizes an innovative technology platform that works as a single point of contact their app allows urban foodies to order food from nearby restaurants and get it delivered at their doorstep. The ecommerce player recently announced the launch of flipkart marketplace, wherein it will provide a platform for buyers and sellers to deal. Here is the marketing strategy of flipkart analysing its bcg, swot, competitive analysis. Under this model flipkart plans to operate as a marketplace and aims to earn its revenue from advertising and various other services such as. Researcher can identify different factors on which the sustainability and growth of the business is dependent on.
Mar 11, 2016 flipkart was initially an online book selling website just like the way amazon started in usa. An overview the electronic commerce, or ecommerce, marketplace continues to grow, as more consumers prefer the convenience of purchasing goods online. Flipkart has taken lead over amazon in terms of brand recall and popularity in tier 1 and 2 towns in the july to september quarter, a recent study by redseer consulting suggests. As a popular online marketplace, flipkart also allows the various sellers from across the country to sell their products under different categories on the online platform. The volume introduces and examines the business environment model and presents methods of appraisal to examine the model, allowing students to view the business environment both internally and externally.
As a popular online marketplace, flipkart also allows the various sellers from across the country to sell their products under different categories on the. Flipkart is a company founded in the year 2007 by sachin bansal and binny bansal. It not only aggregates restaurants but also organises a fleet of delivery partners which deliver the food in less than 30 minutes ondemand. Apr 01, 2017 all the three major ecommerce websites.
They have acquired companies like myntra, jabong, appiterate, letsbuy, mine360, weread and the latest one being upibased payments startup phonepe. Business model of flipkart how does flipkart make money. Just like grubhub in the usa, swiggy operates on a hyperlocal ondemand food delivery business model. Mar, 2020 the business model canvas of swiggy is based on a hyperlocal ondemand food delivery business operation. This clearly indicates that the fate of the country lies in the hands of its youth. Flipkart devised a business model for the same offering, in some cases even better shopping choices with unique benefits to shop from anywhere and at any time and sometimes at better prices. The marketplace model allows b2c retailers to rapidly introduce and test products and sellers, providing deeper knowledge of their customers expectations. An attempt has been made to critically examine various corporate and business level strategies of two big etailers and those are flipkart and amazon. Business model flipkart started as a bookselling website, but later went on to operate as a complete online retail site. Jul 11, 2016 the online retail store, flipkart, is a singaporebased company that has conceived a complex network of much interconnected and few allegedly independent companies accumulating a huge amount of money to develop an interspersed ecommerce business. Flipkart is one of the top 3 unicorns from india in the online selling space. The strategy of flipkart is to invest around 600 crore in its fashion business in coming years to combat with global rivals like amazon and ebay inc. Pdf indian online retail ecosystem a study on flipkart.
Jun 30, 2014 flipkart went live in 2007 with the objective of making books easily available to anyone who had internet access. Oct 15, 20 business model of jabong jabong, backed by berlinbased rocket internet gmbh a venture arm of the samwer brothers which is known for cloning several successful online business models of the us in other markets, is reverseengineering the success formula of flipkart in india. Business model analysis for online social shopping companies. Flipkart crossed the 100 million mark in registered customers in 2016. Business model of flipkart website direct via website. Flipkart s technology has enabled them to deliver 5 million shipments per month. With a marketplace model, flipkart will no longer have an inventory of its own, rather. Today, were present across various categories including movies, music, games, mobiles, cameras, computers, healthcare and personal products, home appliances and electronics, stationery, perfumes, toys, apparels, shoes and still counting. Flipkart addressed this issue by launching their own supply chain management system to deliver orders in a timely fashion. Case analysis of business model and evolution is by far the worlds largest ecommerce player in world and had been at the forefront of innovation, adding and refining technology and changing the way customers shopped. It offers various products on online like books, mobile phones, digital cameras, laptops, watches etc. The announcement means a change in the way flipkart does business.
There are many internet commerce based companies in different locations. Flipkart went live in 2007 with the objective of making books easily available to anyone who had internet access. Flipkart business plan latest news, articles on flipkart. Flipkart was initially an online book selling website just like the way amazon started in usa. The research framework is adapted from osterwalders business model framework. Comparison have been done considering ecommerce challenges, their business model, funding, revenue generation, growth, survival strategies, shoppers online shopping experience. For example, flipkart internet, the marketplace business, in fy16 reported a revenue of rs 1,951. Binny bansal, cofounder and ceo, flipkart said, at flipkart, we have come a long way in our eight year journey. How flipkart works and how to start a flipkart like. Additionally, flipkart invests in a lot of advertisement to improve and sustain its brand awareness, which is costly pandey, 2017. Business model of flipkart website how does flipkart work. Article pdf available in international journal of advanced research 58.
Internet commerce has increasingly become popular over time, especially due to the simplicity of selling and buying. Flipkart business plan 11 major companies that have returned millions of dollars acquired through a government relief program meant. Flipkart style icon model for flipkart talenthouse business. Well, let me talk about the homegrown, indian, ecommerce site flipkart, also considered as the amazon of india. Flipkart, started by a team of 2 is currently 20000 people strong and has 26 million registered users clocking over 8 million daily visits.
Ltd, is looking to reinvent its fashion retailing business, cofounder and chief executive officer kunal bahl said on monday at the indian institute of management, calcutta. Why walmart bought flipkart ecommerce business model. According to comscore and amazon claims, flipkart lost its number one position to amazon. Case study of an emerging giant in the online world flipkart. Flipkart has devised a complicated maze of interconnected and purportedly independent entities that receive massive amounts of money it raises to build an integrated ecommerce business. Flipkart competes with usbased online retail giant amazon and delhibased snapdeal, both of whom have their own logistic units. Flipkarts technology has enabled them to deliver 5 million shipments per month. Here is a comprehensive analysis of the ecommerce giant flipkarts business model for the aspiring entrepreneurs. The company operates a business model with three primary units that in 2018 comprise walmart u. History of flipkart flipkart was founded in 2007 by sachin bansal and binny bansal, both alumni of the indian institute of technology delhi. Innovation brings with itself a new set of challenges. Founder jeff bezoss initial business model was fairly simple. Founded in 2007, with the ambitious dream of becoming indias, started out selling books and quickly expanded its product portfolio to include laptops, computer peripherals, consumer durables, consumer electronics, fashion accessories, media and games.
Both companies were, however, tied as indias most trusted brand in metros. Myntra has about 100 sellers on board and plans to increase this number to 1,000 by fiscal end. Flipkart which has carved a niche for itself in terms of market share. An insight into business model of flipkart indias e. Business models in emerging markets flipkart vs amazon. Flipkart shifts to the amazons marketplace model inc42. Pdf us retail giant walmart acquisition of 77% controlling stake in flipkart in may 2018 has set a new chapter in the indian online retail market. The current case discusses innovation in business model of amazon and how it evolved from just an online bookstore into one of the largest ecommerce platforms in the world where customers could find and discover anything they wanted to buy online in a more convenient way.
Today, we are in a very strong leadership position with over 60% market share of the mcommerce market, 50 million customers and clear leadership in smartphones and fashion. Today as it stands, sachin bansal is the chairman of the company and binny bansal is the ceo of flipkart. A case study on supply chain management by flipkart by neetu. It offers various products on online like books, mobile phones, digital cameras, laptops, watche. Working as a bridge between restaurants and customers, swiggy utilizes an innovative technology platform that works as a single point of contact. In this video, i have explained how ecommerce companies make money and walmart flipkart deal business model of ecommerce 1. Marketing strategy of flipkart flipkart strategic analysis. Flipkart is an ecommerce portal, b2c shopping portal, for indian customers or atthe. It is an ecommerce company that made online shopping popular in india. Our flagship company, samsung electronics, leads the global market in hightech electronics manufacturing and. Apr 23, 2017 sucess story of flipkart strategy of flipkart flipkart stories from 2007 to 2016 challenge faced business model of flipkart order life cycle of flipkart logist slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. Due to international competitor such as, flipkart has to change its strategy according to the competition. The analysis of the business model of flipkart or how does flipkart make money is of the authors himself, neither the company flipkart or its affiliates have confirmed the same to the author and the descriptions, stats, facts and figures are either obtained through secondary web research or interrogation of the users sellers. The company in the later half of last decade got funded and ventured into full fledged online retail selling almost everything.
The current case discusses innovation in business model of amazon and how it evolved from just an online bookstore into. Business model of jabong jabong, backed by berlinbased rocket internet gmbh a venture arm of the samwer brothers which is known for cloning several successful online business models of the us in other markets, is reverseengineering the success formula of flipkart in india. The case traces the evolution of flipkart as a startup and explores the context of acquisition by walmart as well as the strategic fit between the two firms. They can even determine if they should introduce these new products themselves. Three years back, amazon had no infrastructure in india, and now it dominates the indian markets. Dec 02, 2015 flipkart believes that indian market resembles closely to that of china instead of the us and also due to the success of alibabas ipo they changed the strategy to advertisingdriven revenue model. Difference between amazon and flipkart difference between. In a scientific view, flipkart is known for an ecommerce marketplace, b2c shopping portal for indian customers ordering the goods to deliver in india. Flipkart charges a commission of 510% on every sale through its site. My two year goal is that half of our business comes from external clients, added krishnamurthy, a former mckinsey consultant who joined flipkart in 2014. It will no longer have an inventory of its own, rather whereas the shipping and delivery of the products. The case is set around the acquisition of majority shares of flipkart by walmart.
The business model canvas of swiggy is based on a hyperlocal ondemand food delivery business operation. It will help students to understand how business organizations operate in political, social, technological, legal, and economic environments. Flipkarts distribution channels are limited and cannot be compared to those of its competitors such as amazon and ebay, which has been in existence for a longer kumar, 2017. The walmart business model in a nutshell fourweekmba. Today, we are in a very strong leadership position with over 60% market share of the mcommerce market, 50 million customers and clear leadership in. Amazon is an american international ecommerce company. Flipkart business plan 11 major companies that have returned millions of dollars acquired through a government relief program meant for small businesses 28 apr 2020, 03. For over 70 years, samsung has been dedicated to making a better world through diverse businesses that today span advanced technology, semiconductors, skyscraper and plant construction, petrochemicals, fashion, medicine, finance, hotels, and more. Flipkart story history, founder, founded, ceo ecommerce. Since operators can test new offerings with minimal risk, this gives merchandising. Jul 20, 2016 founder jeff bezoss initial business model was fairly simple. This case aims at examining the business model of flipkart which has specially been designed keeping the youth in mind. Flipkart achieved the young turk of the year award at cnbc tv 18s india business leader awards 2012. Our flagship company, samsung electronics, leads the global market in hightech electronics manufacturing and digital media.
50 1494 961 41 1290 326 1453 947 1414 874 546 323 463 1531 1295 1423 1294 935 72 899 766 963 387 1629 1348 1653 675 266 1367 159 85 677 631 22 1399 1368