DATA ANALYSIS AND INTERPRETATION 1) MAKE THE PRODUCT’S COST LESS PAINFUL TO THE THE CUSTOMER The value of a rupee to each consumer is different, i.e in economics terms it is said that marginal utility of money for each consumer is different. Therefore it makes it difficult for the marketer to make consumers part with their money. Before Flipkart, e-commerce was done by credit /debit cards, where the payment had to be done on the time of placing the order. Offering high discounts (which is a common in e-commerce) many considered this risky and a potential fraud. Well, it's in the Indian mentality. No one likes to pay the entire payment in advance! Here retailers should know that delaying payments can dramatically increase consumer’s willingness to buy. Flipkart was the first to introduce the 'Cash on Delivery' system in e-commerce. It simply means that you have to pay by cash only when you receive the ordered product. Flipkart just understood the Indian mentality, which worked out wonders for them. Cash on delivery vreated trust in the minds of people who were weary of making payments online by disclosing card numbers. The cash or card on delivery accounts for 60 per cent of the Flipkart sales. Offering a varied inventory of titles like a 30-day replacement guarantee, cash or card on delivery option, delivery at door step, made online shopping more comfortable and reliable for consumers. 2) POWER of the word "FREE":- Consumers may not understand why retailers offer buy-one-get-one free promotions even though it’s no better for the consumers. Economist Alex Tabarrok has argued that “the success of this promotion lies in the fact that the price actually takes into account the fact that two items are being sold.” This strategy ... ... middle of paper ... ...rmined to provide great customer service. Flipkart customers are happier than with some of their competitors like Tradus.in, Indiaplaza.com. Therefore the learning experience for other sites could be build amazing experiences for their customers. This will enhance their customer retention rate and create a brand loyalty in the minds of the customers. 3. Another success mantra is continuously innovate products. Initially Flipkart had only started selling with books and since then it has just been adding huge range of titles to its product range. 4. The consignment model and its robust logistics have set Flipkart apart from other e-commerce sites. Therefore other e-portals should focus on procurement based on demand and its logistics very well. The best things e-portals need to understand is that to be successful in India, they need to be the gods of distribution.
As a result, the customer will most likely come back to the store they are already familiar with. To this extent, the retailers can also send out gift cards, reward cards to customers rewarding them for loyalty to the store. Some people think it is manipulating people into buying goods, but it is not true. The customer always has to choose whether to buy or not. No one is forcing them to buy anything.
...ntries and deep understanding of various cultures has enabled the company to soar to success and continued to help it grow while serving its customers with satisfaction.
In order for James White to survive and generate revenue in Malaysia they need to offer what the competitors do not or cannot offer. We live in a world of constantly changing products. New features are added. Prices are changed. Competitive products are enhanced. New alternatives are introduced. All of these events affect the customer value proposition. For this reason, customer value propositions are associated with a specific timeframe. Customer value propositions can be created for newly available products where none previously existed. They can be developed as a strategic planning mechanism for products that are in the formative stages. They can be updated for an upcoming product release. Before a customer value proposition can be created, the key target user must be identified and profiled. Key target user profiles help the entire organization understand who are the key target users, where can they be found, what issues do they face, and how would they use the product. Before we can separate these value experiences, we must expand the information about the “how” events we’ve identified for the key target user. We do this by adding the following
Customer can get the same amount of product in lesser prices due to products are more and transaction is high so the customer enjoys higher discounts in respect to the customer who buys less (R. P Bagozzi, 2002).
Flipkart basically used B2C Model, a consumer goes to the website, selects a catalog, orders the catalog and an email is sent to the business organization. After receiving the order, goods would be dispatched to the customer. This is a definition of B2C model.
However, in the long run it’ll be a different story as E commerce in India has just reached less than 1/10th of its potential. Out of 120 Crore Indian population not more than 1.5 crores use E Commerce frequently. Looking at burgeoning internet users the market should reach at least 15 ...
Flipkart an e-commerce website has grown to be India’s most valuable e-commerce company. A company that started with a mere investment of Rs.4,00,000 has now earned it self a valuation of more than USD $1billion. Flipkart was founded by Mr. Sachin Bansal and Binny Bansal, alumni of Indian Institute of Technology Delhi, in October 2007 who quit working for Amazon and started their own journey into the e-commerce field by starting India’s very online retail website. Both Sachin & Binny were techies and found their jobs unsatisfactory, and being tech experts they didn’t want to deal in marketing and sales. So they decided to create e-commerce website engine comparators and found that there weren’t many websites that could provide everything to the Indian customer and that is how they found their opening in the e-commerce platform market. They wanted to name their website something which indicated
Data analysis is one of the most crucial aspects for any market research firm. Without data analysis, it is very difficult for the firm to understand the market or develop a strategic plan without proper marketing research. For complete market research, a company must understand the exact nature of business and the output that the firm might get. The firm must understand the effectiveness of the tools and the strategy that they are implementing so that the firm can make changes if needed (What is the importance of data analysis?.n.d.) From time to time. The basic reason being, as the business environment has become very dynamic, it highly essential to keep the track of the environment and should understand the behavior of business movements, that are possible only because of market research . As Bernard Loomis says, “The trouble with research is that it tells you what people where thinking about yesterday, not tomorrow. It’s like driving a car using a rearview mirror.” Hence it is very crucial to understand the need of people and capturing their mind set.
Thirdly, the company is committed to delivering superior quality of products and services. It earned a reputation of a convenient and reliable brand that offers the lowest prices, one of the fastest and lowest shipping, widest selection of goods, and many additional features with its services.
In this scenario consumers typically see thresholds above and below the products price and then either do not notice or ignore the rest. For example, the textbook author’s noted automobile companies often use this tactic by offering free financing compared to a fixed dollar rebate. Consumers wil...
The e–tailing business sector is described as “the selling of retail goods electronically over the internet” (DMS Retail, 2011, p.2). Information technology in the e-tail business sector is developing with ” the emergence of standardized Web 2.0 technology and open source software packages, shopping cart and e-tail e-commerce tools have become cheaper, more powerful, standardized and chock-full of all kinds of interactive, multichannel and multimedia features” (E-Commerce Times, 2007, p.1). Major companies such as Dell, Amazon, eBay and Canadian Tire have identified themselves as e-tailing successes because of their understanding of the customer interface and their use of customer information in managing their e supply chain.
Yet, the unexpected growth of the Internet took a further step in changing trading by breaking down the barriers of brick-and-mortars stores. Today, e-commerce is the new platform for developing new storefronts. The importance of E-Commerce goes far beyond the transactions because the Internet appeals to a worldwide population.
Electronic Commerce as popularly as E-commerce has become a big deal in our growing economy due to the increase use of online systems. E-commerce now of the fastest growing business in the world. The technology has change the way of business. Business that have physical location have now made it an effort to focus their online business. It is the new sort of business platform where you can make use of different technologies like electronic data interchange or transfer document electronically. Online business is an effective of sales.
According to Svensson (2003), e-business can reduce the costs of materials, improve profitability and increase the overall supply chain’s performance by reducing its variability. And therefore Internet plays an important role in improving organizations inbound logistics just by allowing them to click from one website to another, search in different parts of the world and expand the number from which they can choose their suppliers. In the case of KFC, the company has different suppliers in many different countries: from the UK, Australia, Thailand, Brazil and so many other countries in Europe. By KFC using internet and online websites, it makes a profit of many online markets by evaluating the abilities of the suppliers and selecting them according to the quality of the product they offer, their costs and the profitability.
Cash On Delivery bridges the gap between online retail and brick-and –mortar retail as it allows the customer now to feel the actual product before they make the final purchase. Cash On Delivery has helped unlock the huge demand. Trust is a driver for Cash On Delivery.