A study on

Flipkart
A mini project report submitted to JNTU , KAKINADA

MASTER OF BUSINESS ADMINISTRATION

Submitted By
B.GANGA BHAVANI
Regd . no 18B81E0001

Under the Esteemed Guidance of

Dr. K. KRISHNAIAH CHOUDARY
Asst. Professor.

Department of Management Studies

SIR C R REDDY COLLEGE OF ENGINEERING
Affiliated to JNTU, Kakinada, Approved by AICTE, New Delhi)
Vatluru, Eluru, W.G.Dt- A.P
2017-2019

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 DECLARATION

I, hereby declare that this project report with reference to the to FLIPKART, is a benefited work
done and submitted to the JNTU, KAKINADA, DEPARTMENT OF MANAGEMENT
STUDIES, SIR. C.R.REDDY COLLEGE OF ENGINEERING is an original work carried out by
me and is not to submitted to any other purposes are published any time before. The information
and findings of this report are based upon the information collected by me during the study
period.

Place: ELURU

Date B.GANGA BHAVANI

Regd. No. 18B81E0001

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 CERTIFICATE

This is to certify that the project titled “A PROJECT report FLIPKART is a work done
by B.GANGA BHAVANI Regd. No.18B81E00301 submitted in partial fulfillment of Master of
Business Administration in our Institution under the guidance and supervision of Faculty of
Department of Management Studies, SIR. C.R. Reddy College of Engineering

Place : ELURU

Date :

Dr. K.K. CHOWDARY, MBA, Ph.D. Dr.K.K. CHOWDARY sir

Professor & Head of the Department Asst. Professor & Project Guide

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 ACKNOWLEDGEMENT

I sincerely express my humble thanks to DR. G. SAMBA SIVA RAO, Principal, Sir
C.R. Reddy College of Engineering, for his blessing and encouragement throughout my course
of study.

I express my sincere gratitude and thanks to Assoc. Prof. Dr. K. KRISHNAIAH

CHOUDARY, HOD. Department of Management Studies, Sir C.R. Reddy College of
Engineering, Eluru, for his encouragement, continuous support and timely, valuable suggestions.

I would like to extend my sincere thanks to Dr. K. KRISHNAIAH CHOUDARY

Department of MBA in Sir C.R. Reddy College of Engineering for his cooperation and
completion of this project work.

B.GANGA BHAVANI

Regd. No.18B81E0001

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 TABLE OF CONTENTS

CHAPTER CONTENT PG NO

CHAPTER-1 INDUSTRY PROFILE 6-8

CHAPTER-2 COMPETITION 9-10

CHAPTER-3 DATA ANALYSIS 11-12

CHAPTER-4 COMPANY PROFILE 13-14

CHAPTER-5 CONCLUSION 15-16

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 INDUSTRY PROFILE

Flipkart an e-Commerce company founded in the year 2007, by Mr.

SachinBansal and BinnyBansalboth alumni of the Indian Institute of Technology. Delhi. They
had been working for Amazon.com previously. It operates exclusively in India, where it
is headquartered in Bangalore, Karnataka it is registered in Singapore, and owned by a
Singapore based holding company. Started with an initial capital of four lakhs it now aims for annual
turnover of around Rs.4500 mores. Flipkart has launched its own product range under the name
“DigiFlip",Flipkart also recently launched its own range of personal healthcare and home appliances
under the brand -Citron". During its initial years flipkart focused only on books, and soon as it
expanded, it started offering other products like electronic goods, air conditioners, air coolers,
stationery supplies and life style product; and e-book

HI S TO RY AND G ROW TH O F EMH ART: -

Flipkart is not an Indian company since it is registered in Singapore and

majority of its shareholders are foreigners. Because foreign companies are not allowed to do multi-
brand e-retailing in India. Flipkart sells goods in India through a company called WS Retail. Other
third-party sellers or companies can also sell goods through the Flipkart platform. Flipkart now
employs more than 15000 people. Flipkart allows payment methods such as cash on delivery,
credit or debit card transactions, net banking, e-gift voucher and card swipe on delivery.

Flipkart is presently one of the largest online retailers in India, present across more than 14
product categories & with a reach in around 150 cities. Flipkart is currently a 10,000 member strong
team, with 3000 sellers on its platform and delivering 5 million shipments per month. Flipkart's 'Big
Billion Day' sale helped the company to achieve record single day sales of Rs. 600 Crores on

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Monday It made its presence felt in online retailing by offering path breaking services like Cash
on Delivery (COD), 30 Day replacement Guarantee, EMI options, Flipkart mobile app etc.,

FLIPKART OBJECTIVES :-
 The main objective is not just those who shop online .They want to highlight the convenience
of c- commerce to traditional offline shoppers and thus help grow the market.
 Their main aim is diversity products portfolio into home appliances. Electronics, etc. The
main target is stronger supply chain and aggressive acquisitions.

 The main target in 2020 is entering global market.

MARKETING STRATEGY :-
 Flipkart has been mostly marketed by word of mouth.
 Customer satisfaction has been their best market medium.
 Flipkart very wisely used SEC) (Search Engine Optimization)& Google Ad-words as the
marketing tools to have a far reach in the online world.
 All in all to create a great customer experience. Kids were used to create the adverts to send
out the message -if a kid can do h, we can also do it.

BRAND AWARENESS :-
Brand Awareness is key success factor in the market. Flipkart is the industry
leading with SO% market share having a very high Brand Awareness and lowest price.

BRAND LOYALTY :-
Excellent user experience on the e-commerce website in term of usability
speed clarity will enhance the loyalty of existing customer and move a step ahead of brand

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Achievements of Flipkart:-
The company created a record by selling 1 lakh books in a single day in 2013. Flipkart crossed
the 100 million mark in registered customers in 2016.

Flipkart achieved the Young Turk of the Year Award at CNBC TV 18’s “India Business Leader
Awards 2012”.

Funding:-

Flipkart has received funds worth more than $ 4.5 billion, with the biggest funding in July 2014
worth $ 1 billion and in April 2017 worth $ 1.4 billion.

List of top investors in Flipkart includes Naspers, Steadview Capital, Tiger Global Management,
DST Global, Accel Partners, Dragoneer Investment Group, Baillie Gifford, GIC, Greenoaks
Capital, ICONIQ Capital, Microsoft, Morgan Stanley, Qatar Investment Authority, and Sofina.

Acquisitions made by Flipkart:-

There is cut-throat competition in the e-commerce market and the biggest Rival of Flipkart is
Amazon. In the recent years, many mergers and acquisitions have been witnessed in the e-
commerce market and Flipkart has also made many acquisitions to expand its business and boost
its sales and earnings.

The major acquisitions made by Flipkart include Myntra, eBay India, PhonePe, Jabong,
Letsbuy(dot)com, WeRead, Mime360, chakpak(dot)com, Appiterate, FX Mart, and ngpay. It has
recently acquired its former competitor Snapdeal. It has acquired Snapdeal at a cost of $ 950
million.

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 COPETITION

The major competitor Amazon:-

After acquiring Snapdeal the major competitive left against Flipkart is Amazon India. Still, it is
facing stiff competition from Amazon India because Amazon has really captured a larger share
of the market.

Amazon Company profile is betting big on India’s e-commerce revolution and has recently
captured an investment of $5 billion in Amazon India. The company has already received funds
of $2 billion and $3 billion more are planned. Amazon India has been consistently expanding its
customer base, which has resulted in cut-throat competition for Flipkart.

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 About the Founders of Flipkart

Sachin Bansal and Binny Bansal are the founders of Flipkart. Both of them are IIT (Indian
Institue of Technology, Delhi) graduates. Both of them are from Chandigarh. Though they share
the same last name, they are not relatives.

First, Sachin Bansal joined Amazon(dot)com and worked as a software engineer and later he got
Binny Bansal to join it. But eventually, they both quit Amazon and decided to start a venture of
their own. Thet decided to launch Flipkart.

Sachin Bansal is the Executive Chairman of Flipkart and Binny Bansal is at the post of Chief
Executive Officer (CEO) of Flipkart.

Forbes India Rich List 2015 named Binny Bansal along with Sachin Bansal, the 86th richest
person in India with a net worth of $1.3 billion

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 DATA ANALYSIS AND INTERPERTATION

The following table shows the demographic profile of the respondents

Table -1 GENDER

Basic factors Categorization No. of Respondents % of total sample

Male 26 61.90

Gender Female 16 38.10

Total 42 100

This table shows that Ratio of male consumers is very high in online shopping 61.90

Table-2 AGE

Basic factors categorization No. of Respondents % of total sample

18-30years 22 52.38

31-40years 11 26.19

Age 41-50years 7 16.67

Above 50 years 2 4.76

Total 42 100

This table analysis, the number of more participated persons are age between 18-30 years

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 Reasons for choosing online shopping

particulars No.of Respondents % of respondents

Wide Verity of products 12 28.57

Different types of payments 1 2.38

Lower prices 3 7.14

Easy buying products 22 52.38

More discounts 4 9.53

Total 42 100

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 COMPANY PROFILE

Flipkart is one of India’s leading e-commerce marketplaces. It was founded in October 2007 and
its headquarters are in Bengaluru. It was founded by Sachin Bansal and Binny Bansal. This
online venture was initially started as an online bookstore and as the popularity of the company
grew, it expanded and diversified its operations.

It started selling other items such as music, movies, and mobile phones. As the revolution of e-
commerce gained momentum in India, Flipkart grew at an accelerated pace and added several
new product lines in its portfolio.

As of now, the company offers 80 million+ products spread across more than 80 categories such
as mobile phones & accessories, computers and accessories, laptops, books and e-books, home
appliances, electronic goods, clothes and accessories, sports and fitness, baby care, games and
toys, jewelry, footwear, and the list goes on.

Flipkart has 100 million registered users and more than a million sellers on its electronic
commerce platform. To ensure prompt delivery to its customers, the company has invested in
setting up warehouses in 21 states.

This online platform attracts ten million page hits every day and around eight million shipments
are processed every month. Flipkart has also introduced its mobile application, which has
become quite popular, with 50 million+ app users. Flipkart is a billion dollar company and its
valuation in 2016 was INR 15,129 crore (US$2.3 billion). It is also fulfilling its social
responsibility by providing huge scale employments (employs more than 33,000 people

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REVIEW OF LITERATURE :-

According to Mohanapriyas "Online shopping has grown in popularity over the years mainly
because people find it convenient from the comfort of their home or office.

One of the most enticing factor about online shopping is popularity during a holiday season, it
alleviates the need to wait in long lines or search from store to store for a particular item.

The main scope of the study is to know about customer satisfaction towards online shopping. The
present study reveals about reasons for preferring an online website and satisfaction towards
online websites".

FLIPKART'S SUCCESS MANTRA:-

 Flipkart users are most satisfied than that of their competitors great customer service has
been its hallmark.

 The user interface is sleek and easy to use.

 Cash on delivery creates trust in the mind of Indian customers who are always have feared
of making payments online.

 Flip kart focuses on providing the relevant information possible into

every single page.

 Easy understandable gateway of payment

 Clear description is there for each product

 Different angles of each pictures

FUTURE ROAD MAP :-

Everything except for groceries and automobiles will be available on flipkart in future. They will
look at bigger investments in their supply chain. To enter into various new categories and

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 Conclusion
The thesis determined computer experience and age of women to have an impact on whether they
make online purchases or not. The largest obstacle for online shopping was payment
discomfort and the largest benefit of shopping online was the conveniece factor. Several
factors that could increase the probability for women of making online purchases was
discovered, and specific recommendations for marketers which target women in this group
were developed. Furthermore, one of the models concerning consumers" intention to make
purchases" in an online environment was modified to focus the intentions of women to shop
online.

This thesis has found evidence suggesting that frequency of computer and Internet

use as well as computer experience relate to the probability of making purchases online for
women. Higher frequency of computer and Internet use as well as computer experience correlate to a
higher probability of making purchases online. The intention of women to shop online was also discovered to
relate to age even in this fairly narrow age range; women in the age category above 50 years made fewer
online purchases than women in the age group 1830 years.

The three most important obstacles regarding Internet shopping for women was in order of importance; payment
discomfort, worry about Internet fraud and worry about misuse of personal information. These three
obstacles can be perceived as intertwined and the underlying reasons for their influential roles as
difficulties are multiple. The discomfort concerning the three obstacles is derived from worries about losing
money from ones bank account and not receiving the ordered product. These fears might be overestimated
and can be a result of intense media coverage, as well as failure of banks and online companies to present
safe payment methods to their consumers.

Convenience along with an ability to save time was in this study attributed as the most important benefits
women perceived Internet shopping to entail. Other important benefits were that online stores offer lower
prices. as well as Internet allows women to make purchases from stores not available in their residential area.
The reason for convenience and time saving to be the largest benefits of online shopping is the pressed
time schedules of women.

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Several factors were discovered which could have an ability of increasing the target group's level of
Internet shopping. These were categorized into three areas,

I .The first area was „price related factors". These factors related to price level of products sold in the web
shop and marketing activities which aimed at offering lower prices.

2.The second area was analog related factors" which indicated an increase of online shopping if a
catalog would be distributed from the company managing a web shop.

3.The third area was „advertisement related factors", which brought up the imponancc of extensive
advertising to remind the women in the investigated age range of the existence and the possibilities
connected to making purchases online.

The online purchasing behavior of middle-aged women is an interesting area for research since it is a large
demographic group, with a large purchasing power and is a group which increases their amount of Internet
purchases every year. Further research could consider a different industry for the research or a wider
age group. The research could entail

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