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The founders don't think discounts can replace the customer's satisfaction of being serviced promptly and efficiently. Therefore, they have invested heavily on building their own courier service system (70% delivery of logistics by their own system) and as a result now they deliver most of the 21 thousand pin codes of India. They also have a tie up with 12 courier services and Indian postal service to reach the farthest corners of country. They used the Cash on Delivery methodology very effectively to create trust among Indian customers (touch and feel of product) and fulfilled this trust with their fast and reliable service. Flipkart also has given the utmost importance to technology and build a website with simple interface and easy to use methodology with unique features like e-wallet. The continuous increase in the categories from books to electronics, clothing, shoes, music, baby and kids, home and kitchen, etc (up to 20) has given them the edge and provided the extreme diversity to the new customer base of India who haven’t ever seen this kind of variety on any e-store before.
With the increase of competition their focus is shifted on using data crucially to personalize shopping and predictive analytics. One of the main reasons behind the introduction of their own payment gateway”Pay Zippy” is to understand the pattern and payment habits of customer. Flipkart showed very quick responsiveness by launching a personalize mobile app which now shares 40% of their total traffic base and launching In-a-day guaranteed delivery service, just five days after …show more content…
Recently, the investment by the foreign companies has made them the allegedly violator of FDI norms which states that e-commerce companies with FDI were not permissible in India. They have to close their online music store Flyte few months back due to the low sales. Also the founders were blamed for the high cost involved in per item as compare to their competitors like Myntra, Snapdeal, etc and running company into losses consecutively for many years. But Sachin defends by saying "Out of a crore people that shop online, very few think of online as a primary medium yet. We are currently more focused on delighting the customer and getting more and more people to shop
With the increase of competition their focus is shifted on using data crucially to personalize shopping and predictive analytics. One of the main reasons behind the introduction of their own payment gateway”Pay Zippy” is to understand the pattern and payment habits of customer. Flipkart showed very quick responsiveness by launching a personalize mobile app which now shares 40% of their total traffic base and launching In-a-day guaranteed delivery service, just five days after …show more content…
Recently, the investment by the foreign companies has made them the allegedly violator of FDI norms which states that e-commerce companies with FDI were not permissible in India. They have to close their online music store Flyte few months back due to the low sales. Also the founders were blamed for the high cost involved in per item as compare to their competitors like Myntra, Snapdeal, etc and running company into losses consecutively for many years. But Sachin defends by saying "Out of a crore people that shop online, very few think of online as a primary medium yet. We are currently more focused on delighting the customer and getting more and more people to shop