SWOT Analysis

Strengths

• Largest E-Commerce retailer of the India

Flipkart is the India’s largest E-Commerce retailer and it is valued at $11.6 billion.

• Experienced Founders

Its founders are the ex-employees of Amazon. Their experience in the e-commerce industry helped them to growth their business strategically and differentiate their business in this competitive market.

• Acquisitions

With the lot of acquisitions, it has expanded itself in the e-commerce industry by the resources and brand name of acquired companies.

• Own distribution and payment system

Flipkart has its own distribution network and payment system, known as E-Kart and Pay zippy.

However it helps the company to reduce their expenses and pass those benefits to the final consumers.

Role Of Marketing In Success Of A New Business Harvard Case Solution & Analysis

Weakness

• Limited distribution reach

Though they have their own distribution network that helps the company to reduce the cost yet reach has been affected. Other global giants such as EBay or Amazon, they can easily deliver their product anywhere in the country.

• Access only via internet

Though they have their own payment system yet some consumers feel unsecure to pay online and as flip kart does not have any physical shop so they do not buy anything.

Opportunities

• Expend its business

Company can expand its business and increase its revenues by entering in the emerging markets.

• Expand their product categories

This will increase the customer base of the company.

• Optimizing supply chain system

Using just-in-time inventory system, they can reduce their cost and pass those benefits to the customers. This will increase the customer base in Flipkart.

• Establishing in other developing countries

Company can slowly expand like Amazon and target the other developing countries such as Pakistan.

Threats

• Government Regulations

Issues related to FDI has been the big hurdle for the e-commerce companies in the India.

• High Competition

High competition from global giants such as Amazon and EBay and from local players such as Snap deal who istrying to occupy more market share. (Padhy, 2017)

Marketing Strategies

• Big billion Days

It is the company’s successful marketing campaign, it helps the company to grow its sales during festival season.

On the big billion days, company provides different deals and discounts on the mobile, appliances, cameras, clothing and other different products. (Khanna, 2015)

• Membership card and Premium facilities

Company provides the membership card and premium facilities toits customers. Through membership cards, consumers can get discounts and it is one of the marketing strategies of the Flipkart. Consumer can avail the membership if he/she shops anything from Flipkart.

• Provide sponsorships

Flipkart also provides sponsorships to create the positive image in the mind of consumer. Sponsorships include the event sponsorships. Sponsorships also play the role of marketing, it gives awareness to the customers about the latest products of the company.(Vidya shree DV, 2015)

Segmentation, Target and positioning

Market segmentation is the process of defining and dividing a large market into clearly identifiable segments having same wants and needs.

Demographic segmentation

Flipkart segments the market through youth generation

Most of its online users have the age between the 14-35 years.................

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