Flipkart, is an E-Commerce company registered in Singapore headquartered in Bengaluru, India founded in 2007 by Sachin Bansal and Binny Bansal. when Flipkart was launched, Indian e-commerce industry was taking its beginner steps. Sachin Bansal and Binny Bansal, who were working for Amazon.com, had an idea to start an e-commerce company in India.
Who Started Flipkart
Sachin Bansal and Binny Bansal both alumni of the Indian Institute of Technology Delhi better known as IITs and ex-employees of Amazon.com.
How Flipkart started
Sachin Bansal and Binny Bansal employes of amazon.com with an idea to start an Indian e-commerce left their job and started Flipkart. The idea itself was not new, The thought of starting a new E-Commerce company came from the bad quality service provided by competitors. They believe the bad quality of service in Indian market is nothing but a huge opportunity to do competition in terms of service and they were very much focused on the Quality service.
They started flipkart as an online book store back in October 2007. While starting the company they were keen to choose a category that could facilitate getting started quickly, Since they belong to strong technology background, which helped them to keep the initial costs low. Once the business started picking up they started including other stuff to like mobile, electronic products, cloths and groceries etc,
Flipkart’s more than 50% revenue comes from mobile, and mobile was the core of Sachin’s plan right from the beginning.
How does Flipkart work
Flipkart is E-commerce Company which started which started their business by selling books online. The first product they sold was the book “Leaving Microsoft To Change The World” to a customer from Hyderabad. Flipkart now employs more than 33,000 people and there after that they started including other products. It works as simple as a simple online purchase. Once you book your product and they will notify you with the delivery date and will deliver you the product before the due date.
You can make payment online or through cash on delivery. If you found product not genuine or with some defect you can return the product within the given period of time and they will return your money and it is very flexible and just you need to go to flipkart site and you can click on return with a valid reason and they will come to take back your product
It is mandatory for the sellers to ship the product only through Ekart. When a customer places an order, Flipkart will immediately send the details about the order to the seller and Ekart. This process of seller to Ekart and to customer is your delivery time period.
How do flipkart so successful
Private funding and flipkart is very confident on them, flipkart didn’t registered for its IPO because they believe private funding is more reliable then public.
The reason behind flipkart being so successful is that flipkart is providing a platform for other vendors to registered their business on flipkart and sell them online.
Register yourself at Flipkart.
Few of best promotion ideas implemented
Its “Big billion days” is the most successful campaign till now that has helped the company in increasing its sales during the festival season.
Tag lines in Hindi which suits to common young people was basically the idea is to capture most of the capture most of the Indian.
Founder of flipkart used give pumplets of online book store the only people who are coming out with the books from any offline book store.
Challenges that Flipkart faced
Two major challenges
Tie-ups with the major book vendors as Flipkart didn’t have an offline book store.
Approval for the credit card payment gateway Since they won’t have any offline store.
Poor Knowledge and Awareness: Most of Indian don’t have awareness to online shopping.
Online Transaction: People in India are to very scared of the online transaction.
Online Security: people are really scared about the frauds on online purchase
Logistics and Shipment Services: India is lagging far behind in this sector as most of the town and small villages are still not covered under serviceable area of many of the courier and logistic companies
Fear factor: Fear of making online payment is a universal psychological factor of Indian customers
‘Touch and Feel’ factors: Indian are more incline towards touch and feel then buy the product
Few more Details about Flipkart
Type of business Private
Founded 2007; 10 years ago
Area served India
Founder(s) Sachin Bansal & Binny Bansal
CEO Kalyan Krishnamurthy
Services Online shopping
Revenue US$2.4 billion till 2016
Employees 30,000 (2016)
Subsidiaries Myntra, Jabong.com, PhonePe, eBay.in (India), EKart.
Competitors for Flipkart:
Amazon.com – Amazon, is an American electronic commerce and cloud computing company based in Seattle, Washington that was founded by Jeff Bezos on July 5, 1994.
Snapdeal.com– Online shopping site in India to shop Electronics, Mobile, Men & Women Clothing, Shoes, Home & Kitchen appliances online on Snapdeal in India.