From a start-up with an investment of just four lakhs rupees, Flipkart has grown into a $100 million-revenue online retail giant in just five years. The Flipkart story is not just about phenomenal success and mind numbing
numbers but much more than that. It is about redefining customers'
shopping experience.
Sachin and Binny Bansal found themselves stuck in boring tech jobs after graduating from IIT Delhi. Amazon.com, the world's largest online book retailer was the first chapter in their startup story. Inspired by Amazon they began flipkart.com in 2007. What started as an online book store with just Rs 4 lakh and 50,000 titles, today it is India's online megastore selling 17500 items everyday.
Sachin and Binny are now looking at grossing revenues of Rs 2500 crore this financial year that bear a question mark on sustainability and profitability and the kind of cash the venture will need to burn over the next few years.Today, as per Alexa traffic rankings, Flipkart is amongst the top 20 Indian Web sites and has been credited with being India's largest online bookseller with over 11 million titles on offer. The store started with selling books and in 2010 branched out to selling CDs, DVDs, mobile phones and accessories, cameras, computers, computer accessories and peripherals, and in 2011, pens & stationery, other electronic items such as home appliances, kitchen appliances, personal care gadgets, health care products etc. Further in 2012, Flipkart added A.C, air coolers, school supplies, office supplies, art supplies & life style products to its product portfolio. As of today, Flipkart employs more than 4,500 people.
Sachin and Binny Bansal found themselves stuck in boring tech jobs after graduating from IIT Delhi. Amazon.com, the world's largest online book retailer was the first chapter in their startup story. Inspired by Amazon they began flipkart.com in 2007. What started as an online book store with just Rs 4 lakh and 50,000 titles, today it is India's online megastore selling 17500 items everyday.
Sachin and Binny are now looking at grossing revenues of Rs 2500 crore this financial year that bear a question mark on sustainability and profitability and the kind of cash the venture will need to burn over the next few years.Today, as per Alexa traffic rankings, Flipkart is amongst the top 20 Indian Web sites and has been credited with being India's largest online bookseller with over 11 million titles on offer. The store started with selling books and in 2010 branched out to selling CDs, DVDs, mobile phones and accessories, cameras, computers, computer accessories and peripherals, and in 2011, pens & stationery, other electronic items such as home appliances, kitchen appliances, personal care gadgets, health care products etc. Further in 2012, Flipkart added A.C, air coolers, school supplies, office supplies, art supplies & life style products to its product portfolio. As of today, Flipkart employs more than 4,500 people.
Initially funded by the Bansals themselves with 
400,000,Flipkart has raised funding from venture capital funds Accel India (US$1 million in 2009) and Tiger Global (US$10 million in 2010 and US$20 million in June 2011). Flipkart.com, on 24 August 2012 announced the completion of its 4th
round of $150 million funding from MIH (part of Naspers Group) and
ICONIQ Capital
400,000,Flipkart has raised funding from venture capital funds Accel India (US$1 million in 2009) and Tiger Global (US$10 million in 2010 and US$20 million in June 2011). Flipkart.com, on 24 August 2012 announced the completion of its 4th
round of $150 million funding from MIH (part of Naspers Group) and
ICONIQ Capital
Flipkart’s
initial success can be pegged down to the experience of its founders,
both of whom had worked with Amazon. They also successfully used word of
mouth marketing and social media to get word out. But there are
literally millions of retail websites. And not many have achieved even a
fraction of the attention that Flipkart has. So what is it that makes
Flipkart stand out? For one, they offer a huge range of titles (more
than 7 million) which really sets them apart from the rest of the crowd.
But is simply offering so many titles enough? I don’t think so. I mean, how difficult is it for someone with deep pockets to simply replicate this? Not very. In fact, the Bansals started their venture with just Rs. 5 lakhs. So what does Flipkart have that makes its model so robust? An amazingly well-oiled warehousing and delivery system. This ensures that deliveries occur within promised times all over India. And with a business volume of nearly 2 lakh books every year, one can imagine how important logistics is to this business.
- See more at: http://mediapanther.co.in/marketing/the-flipkart-success-story/#sthash.449Bts37.dpuf
But is simply offering so many titles enough? I don’t think so. I mean, how difficult is it for someone with deep pockets to simply replicate this? Not very. In fact, the Bansals started their venture with just Rs. 5 lakhs. So what does Flipkart have that makes its model so robust? An amazingly well-oiled warehousing and delivery system. This ensures that deliveries occur within promised times all over India. And with a business volume of nearly 2 lakh books every year, one can imagine how important logistics is to this business.
- See more at: http://mediapanther.co.in/marketing/the-flipkart-success-story/#sthash.449Bts37.dpuf
Flipkart’s
initial success can be pegged down to the experience of its founders,
both of whom had worked with Amazon. They also successfully used word of
mouth marketing and social media to get word out. But there are
literally millions of retail websites. And not many have achieved even a
fraction of the attention that Flipkart has. So what is it that makes
Flipkart stand out? For one, they offer a huge range of titles (more
than 7 million) which really sets them apart from the rest of the crowd.
But is simply offering so many titles enough? I don’t think so. I mean, how difficult is it for someone with deep pockets to simply replicate this? Not very. In fact, the Bansals started their venture with just Rs. 5 lakhs. So what does Flipkart have that makes its model so robust? An amazingly well-oiled warehousing and delivery system. This ensures that deliveries occur within promised times all over India. And with a business volume of nearly 2 lakh books every year, one can imagine how important logistics is to this business.
- See more at: http://mediapanther.co.in/marketing/the-flipkart-success-story/#sthash.449Bts37.dpuf
But is simply offering so many titles enough? I don’t think so. I mean, how difficult is it for someone with deep pockets to simply replicate this? Not very. In fact, the Bansals started their venture with just Rs. 5 lakhs. So what does Flipkart have that makes its model so robust? An amazingly well-oiled warehousing and delivery system. This ensures that deliveries occur within promised times all over India. And with a business volume of nearly 2 lakh books every year, one can imagine how important logistics is to this business.
- See more at: http://mediapanther.co.in/marketing/the-flipkart-success-story/#sthash.449Bts37.dpuf
Flipkart’s
initial success can be pegged down to the experience of its founders,
both of whom had worked with Amazon. They also successfully used word of
mouth marketing and social media to get word out. But there are
literally millions of retail websites. And not many have achieved even a
fraction of the attention that Flipkart has. So what is it that makes
Flipkart stand out? For one, they offer a huge range of titles (more
than 7 million) which really sets them apart from the rest of the crowd.
But is simply offering so many titles enough? I don’t think so. I mean, how difficult is it for someone with deep pockets to simply replicate this? Not very. In fact, the Bansals started their venture with just Rs. 5 lakhs. So what does Flipkart have that makes its model so robust? An amazingly well-oiled warehousing and delivery system. This ensures that deliveries occur within promised times all over India. And with a business volume of nearly 2 lakh books every year, one can imagine how important logistics is to this business.
- See more at: http://mediapanther.co.in/marketing/the-flipkart-success-story/#sthash.449Bts37.dpuf
But is simply offering so many titles enough? I don’t think so. I mean, how difficult is it for someone with deep pockets to simply replicate this? Not very. In fact, the Bansals started their venture with just Rs. 5 lakhs. So what does Flipkart have that makes its model so robust? An amazingly well-oiled warehousing and delivery system. This ensures that deliveries occur within promised times all over India. And with a business volume of nearly 2 lakh books every year, one can imagine how important logistics is to this business.
- See more at: http://mediapanther.co.in/marketing/the-flipkart-success-story/#sthash.449Bts37.dpuf
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