Major Project Report

On
A Comparative Study on Marketing Strategy of
Flipkart and Amazon India
FLIPKART or AMAZON
l Submitted in partial fulfillment of the requirements for the
award of the degree of

Bachelor of Business Administration (BBA)

To
Guru Gobind Singh Indraprastha University, Delhi

Submitted by : Param Grover

Guide : Ms. SHIKHA DABRAL
Roll no. : 35321101718
Batch : (2018-2021)

Institute of Information Technology & Management, New Delhi – 110058

(2018-2021)
 CERTIFICATE
I, PARAM GROVER , Roll no.35321101718 certify that the Project Report on
“A COMPARATIVE STUDY ON MARKETING STARTEGY OF FLIPKART AND
AMAZON INDIA” is done by me and it is authentic work carried out by me .
The matter embodied in this project work has not been submitted earlier for
the award of any degree or diploma to the best of my knowledge and
believe .

SIGNATURE OF THE STUDENT:

DATE:

Certified that the Project Report (BBA) entitled “A COMPARATIVE STUDY ON

MARKETING STARTEGY OF FLIPKART AND AMAZON INDIA” done by MR
PARAM GROVER, Roll No.35321101718, is completed under my guidance.

SIGNATURE OF THE GUIDE :

DATE :

NAME OF THE GUIDE:

DESIGNATION:

ADDRESS :

INSTITUTE OF INFORMATION,
TECHNOLOGY & MANAGEMENTI

COUNTERSIGNED
DIRECTOR/PROJECT CO ORDINATOR
 ACKNOWLEDGEMENT

This project bears silent testimony to the positive efforts, patience

and knowledge of all those who guided me. I take this opportunity to
thank a number of people who helped me during my project with
their constructive criticism, helpful suggestions and overall support.
In particular I wish to thank.
Ms . SHIKHA DABRAL who has provided me the guidance in
conceptualizing and executing this project. She has been with me
from the assigning of the problem to the analysis phase and then
later to the presentation. She has enriched me with helpful
suggestions on all matters. This project could never have
materialized without his constructive criticism and constant
monitoring. I would like to thanks everybody who had a role to play
in the making of my project.

PARAM GROVER
 LIST OF FIGURES

INTRODUCTION
SWOT ANALYSIS OF FLIPKART
SWOT ANALYSIS OF AMAZON
HISTORY
LITERATURE REVIEW
RESEARCH METHODOLOGY
PRIMARY DATA
SECONDARY DATA
DATA ANALSIS AND INTERPRETATION
FININGS AND CONCLUSION
BIBLIOGRAPHY
QUESTIONAIRRE
 CONTENTS

S. No. TOPIC Pg. No.

CERTIFICATE (S)

ACKNOWLEDGEMENTS

LIST OF FIGURES

CHAPTER-1: INTRODUCTION

CHAPTER-2: LITERATURE REVIEW

CHAPTER–3 : RESEARCH METHODOLOGY

CHAPTER-4: DATA ANALYSIS AND INTERPRETATION

CHAPTER-5:FINDINGS AND CONCLUSIONS

BIBLOGRAPHY

APPENDICES
 CHAPTER-1

INTRODUCTION

FLIPKART HISTORY-

 Flipkart was founded in October 2007 by Sachin Bansal and Binny Bansal, alumni of

the Indian Institute of Technology Delhi and former Amazon employees. The company

initially focused on online book sales with country-wide shipping. Flipkart slowly grew in

prominence and was receiving 100 orders per day by 2008. In 2010, Flipkart acquired the

Bangalore-based social book discovery service WeRead from Lulu.com.

 Flipkart was started from a two-bedroom apartment in Bengaluru's Koramangala

area as an online bookstore. From those humble beginnings it would go on to

become the country's largest e-commerce player.

 It opened its first office in Bengaluru in 2008 followed by offices in Delhi and Mumbai

in 2009. Last month, Flipkart consolidated all its Bengaluru offices into one large

campus sprawled across 8.3 lakh square feet. In 2011, Flipkart domiciled to

Singapore, as it looked to woo foreign investors to fund rapid growth.

 Flipkart bought online apparel retailer Myntra in a deal pegged by sources at about

$300 million in 2014, and another fashion retailer Jabong for $70 million in 2016.

It bought payment startup PhonePe in 2016. In exchange for an equity stake in

  Flipkart, eBay agreed to make a $500 million cash investment in and sell its eBay.in

business to Flipkart in 2017.

 Japan's SoftBank is currently the largest investor in Flipkart with a 23-24 per cent

stake, along with early backer South African media and internet giant Naspers, which

holds 13 per cent. Other investors include New York-based hedge fund Tiger Global,

US private-equity firm Accel Partners, China's Tencent Holdings Ltd, eBay Inc and

Microsoft Corp.

FLIPKART PARTNERSHIPS AND ACQUISITIONS-

ACQUISITIONS-

 In 2011, Flipkart acquired the digital distribution business Mime360.com and the digital

content library of the Bollywood portal Chakpak.  Following this acquisition, Flipkart

launched their DRM-free online music store Flyte in 2012. Because of competition from

free streaming sites, the site was unsuccessful and shut down in June 2013.

 With its eyes on India's retail market, Flipkart acquired Letsbuy, an online electronics

retailer,[24] in 2012, and Myntra, an online fashion retailer, for $280 million in May 2014.

Myntra continues to operate alongside Flipkart as a standalone subsidiary focusing on

separate market segments. In April 2015, Flipkart acquired Appiterate,

  a Delhi-based mobile marketing automation firm. Flipkart stated that it would use

Appiterate's technology to enhance its mobile services.  In December 2015, Flipkart

purchased a minority stake in the digital mapping provider MapmyIndia. In 2016, Flipkart

acquired the online fashion retailer Jabong.com from Rocket Internet for $70 million and

the UPI mobile payments startup PhonePe. In January 2017, Flipkart made a $2 million

investment in TinyStep, a parenting information startup. [31] Flipkart invested $35 million in

Arvind Fashions Limited's newly formed subsidiary Arvind Youth Brands for a 27% stake

in the company. Arvind Youth Brands owns Flying Machine.

 Flipkart Wholesale recently launched a digital platform for kiranas and MSMEs. In

October 2020, Flipkart acquired a 7.8% stake in Aditya Birla Fashion and Retail for $204

million.

PARTNERSHIP-

 In April 2017, eBay announced that it would sell its Indian subsidiary, eBay.in, to Flipkart

and invest $500 million in the company. While eBay suggested that the partnership would

eventually allow Flipkart to access eBay's network of international vendors, these plans

never actually came to fruition. [36][37] In July 2017, Flipkart made an offer to acquire its main

domestic competitor, Snapdeal, for $700–800 million. It was rejected by Snapdeal, which

was seeking at least $1 billion.

  In August 2019, Flipkart entered into a partnership with Authentic Brands to license and

distribute Nautica in India.

Flipkart invested $4 million in the customer engagement and rewards platform EasyRewardz on

19 November 2019.

BUSINESS STRUCTURES

 According to a report in November 2014, Flipkart was operating through a complex

business structure that included nine firms, some registered in Singapore and some in

India. In 2012, Flipkart co-founders sold WS Retail to a consortium of investors led by

Rajeev Kochel. Flipkart's Indian entities are owned by Flipkart Pvt Ltd which is registered

in Singapore. The Singapore-registered entity owns eight Indian companies, including

Flipkart Internet Pvt Ltd, the company that runs the e-commerce marketplace

Flipkart.com, Flipkart India Pvt Ltd, the wholesale business, and Flipkart Logistics Pvt

Ltd, which runs Ekart.

HOUSE BRANDS-

 Flipkart operates several house brands, including Citron (home appliances) and Digiflip

(formerly for electronics and accessories). In 2017, Flipkart launched additional house

brands, including Billion (smartphones),  Smartbuy (electronics accessories, effectively

replacing Digiflip), and MarQ (for large appliances, although its launch was complicated

by a trademark dispute with an existing company, Marc Enterprises).

In 2019, Flipkart began selling Nokia-brand televisions. A 55-inch, Android TV-based 4K Smart

TV was the first product released under that licensing agreement. [119] A 43-inch TV was unveiled

on 4 June 2020.

FLIPKART VIDEO

 Flipkart launched an in-app streaming service called Flipkart Video in August 2019, so as

to compete with industry rivals like Amazon who were also offering premium

video options. The initial line up of content was curated from the service providers

like Viu, Voot and TVF.

FLIPKART VIDEO ORIGINALS

 To strengthen its content offering on Flipkart Video, Flipkart forayed into original content

production, known as Flipkart Video Originals. The first show was launched on 19

October 2019. Named Back Benchers, it was a Bollywood celebrity quiz show hosted

by Farah Khan.

AWARDS AND RECOGNITION

 Sachin Bansal was awarded Entrepreneur of the Year, 2012–2013 from The

Economic Times, a leading Indian economic daily newspaper.

 In September 2015, the two founders entered Forbes' India Rich List debuting in the

86th position with a net worth of $1.3 billion each.

 In April 2016, Sachin and Binny Bansal were named to Time magazine's annual list

of The 100 Most Influential People in the World.

AMAZON HISTORY-

 Amazon.com, Inc. is an American multinational technology company based in Seattle,

Washington, which focuses on e-commerce, cloud computing, digital streaming,

and artificial intelligence. It is one of the Big Five companies in the U.S. information

technology industry, along with Google, Apple, Microsoft, and Facebook. The company

has been referred to as "one of the most influential economic and cultural forces in the

world", as well as the world's most valuable brand.

 Jeff Bezos founded Amazon from his garage in Bellevue, Washington, on July 5, 1994. It

started as an online marketplace for books but expanded to sell electronics, software,

video games, apparel, furniture, food, toys, and jewellery. In 2015, Amazon

surpassed Walmart as the most valuable retailer in the United States by market

capitalization. In 2017, Amazon acquired Whole Foods Market for US$13.4 billion, which

substantially increased its footprint as a physical retailer. In 2018, its two-day delivery

service, Amazon Prime, surpassed 100 million subscribers worldwide.

 Amazon is known for its disruption of well-established industries through technological

innovation and mass scale. It is the world's largest online marketplace, AI

assistant provider, live-streaming platform and cloud computing platform[22] as measured

by revenue and market capitalization.[23] Amazon is the largest Internet company by

revenue in the world. It is the second largest private employer in the United States and

one of the world's most valuable companies. As of 2020, Amazon has the highest

global brand valuation.
 Jeff Bezos founded Amazon in July 1994. He chose Seattle because of technical talent

as Microsoft is located there. In May 1997, Amazon went public. It began selling music

and videos in 1998, at which time it began operations internationally by acquiring online

sellers of books in United Kingdom and Germany. The following year, Amazon began

selling items including video games, consumer electronics, home improvement items,

software, games, and toys.

 In 2002, Amazon launched Amazon Web Services (AWS), which provided data on

website popularity, Internet traffic patterns and other statistics for marketers and

developers. In 2006, Amazon grew its AWS portfolio when Elastic Compute Cloud (EC2),

which rents computer processing power as well as Simple Storage Service (S3), that

rents data storage via the Internet, were made available. That same year, Amazon

started Fulfillment by Amazon which managed the inventory of individuals and small

companies selling their belongings through the company internet site. In 2012, Amazon

bought Kiva Systems to automate its inventory-management business, purchasing Whole

Foods Market supermarket chain five years later in 2017.

 In January 2021, Amazon invested with over $278 million by opening two new centers in

Italy (Novara and Modena) and creating over 1100 jobs.

 On February 2, 2021, Amazon announced that Jeff Bezos would be stepping down as

CEO and transition to Executive Chair of Amazon's board in Q3 of 2021. Andy Jassy,

who is currently CEO of AWS, will succeed Bezos as CEO of the company.
BOARD OF DIRECTORS-

 Jeff Bezos, President, CEO, and Chairman

 Keith B. Alexander, CEO, IronNet Cybersecurity, former NSA Director
 Rosalind Brewer, Group President, and COO, Starbucks
 Jamie Gorelick, partner, Wilmer Cutler Pickering Hale, and Dorr
 Daniel P. Huttenlocher, Dean of the Schwarzman College of Computing at
the Massachusetts Institute of Technology
 Judy McGrath, former CEO, MTV Networks
 Indra Nooyi, former CEO, PepsiCo
 Jon Rubinstein, former Chairman, and former CEO, Palm, Inc.
 Thomas O. Ryder, former Chairman, and former CEO, Reader's Digest Association
 Patty Stonesifer, President, and CEO, Martha's Table
 Wendell P. Weeks, Chairman, President, and CEO, Corning Inc.

PRODUCTS AND SERVICES-

Amazon.com's product lines available at its website include several media (books, DVDs, music

CDs, videotapes and software), apparel, baby products, consumer electronics, beauty products,

gourmet food, groceries, health and personal-care items, industrial & scientific supplies, kitchen

items, jewellery, watches, lawn and garden items, musical instruments, sporting goods, tools,

automotive items and toys & games.[citation needed] In August 2019, Amazon applied to have a liquor

store in San Francisco, CA as a means to ship beer and alcohol within the city. [57] Amazon has

separate retail websites for some countries and also offers international shipping of some of its

products to certain other countries.[58] In November 2020, the company started an online delivery

service dedicated to prescription drugs. The service provides discounts up to 80% for generic

drugs and up to 40% for branded drugs for Prime subscribe users. The products can be
purchased on the company's website or at over 50,000 bricks-and-mortar pharmacies in the

United States.[59]

Amazon.com has a number of products and services available, including:

 Amazon Fresh
 Amazon Prime
 Amazon Web Services
 Alexa
 Appstore
 Amazon Drive
 Echo
 Kindle
 Fire tablets
 Fire TV
 Video
 Kindle Store
 Music
 Music Unlimited
 Amazon Digital Game Store
 Amazon Studios
 Amazon Wireless
 Amazon Academy

Amazon employs a multi-level e-commerce strategy. Amazon started by focusing on business-to-

consumer relationships between itself and its customers and business-to-business relationships

between itself and its suppliers and then moved to facilitate customer-to-customer with the

Amazon marketplace which acts as an intermediary to facilitate transactions. The company lets

anyone sell nearly anything using its platform. In addition to an affiliate program that lets anyone

post Amazon links and earn a commission on click-through sales, there is now a program which

lets those affiliates build entire websites based on Amazon's platform.

Some other large e-commerce sellers use Amazon to sell their products in addition to selling

them through their own websites. The sales are processed through Amazon.com and end up at

individual sellers for processing and order fulfillment and Amazon leases space for these
retailers. Small sellers of used and new goods go to Amazon Marketplace to offer goods at a

fixed price.

In November 2015, Amazon opened a physical Amazon Books store in University Village In

Seattle. The store is 5,500 square feet and prices for all products match those on its

website. Amazon will open its tenth physical book store in 2017; media speculation suggests

Amazon plans to eventually roll out 300 to 400 bookstores around the country.

In June 2018, it was reported that Amazon planned to open brick and mortar bookstores in

Germany.

In September 2020, Amazon launched Luxury Stores on its mobile app, where Oscar de la

Renta become the first and only label to partner with the firm

AMAZON PRIME-

Amazon Prime is a paid subscription program from Amazon which is available in various

countries and gives users access to additional services otherwise unavailable or available at a

premium to other Amazon customers. Services include same, one or two-day delivery of goods

and streaming music, video, e-books, gaming and grocery shopping services. In April 2021,

Amazon reported that Prime had more than 200 million subscribers spread across 19 countries

worldwide
SWOT ANALYSIS
 SWOT ANALYSIS
OF FLIPKART
STRENGTHS-

1. India’s Largest E-commerce Retailer: Flipkart is the India’s

largest E-commerce company & had sold GMV (gross
merchandising value) of $1 billion till now.
2. Experienced founders: The Founders of Flipkart, Sachin & Binny
Bansal are Ex-Amazon employees. Having prior experience in the
E-commerce industry helped the founders to work strategically
and differentiate their business in a highly competitive market.
3. Acquisition: With its series of acquisitions like Letsbuy.co,,
chakpak.com, weread.com, Mine360 & the recent one Myntra in
2014 has helped the company to expand in the E-commerce space
& used the capabilities and existing resources of acquired
companies.
4. High Brand recall: Flipkart has established itself as a renowned E-
commerce company in India through TV ads, online branding and
through its presence on social media. Brand activities like the “Big
billion day” have really increased the brand recall of the company.
5. Own Payment gateway & Logistic arm: Having its own Logistics
arm E-kart & payment gateway Payzippy has helped the company
to control its Expenses. Thereby passing the benefits to the end
customers.
6. Exclusive & broad range of products: From having Exclusive
rights to launch some products like MotoG MotoX, Xiaomi Mi3 as
well as personal designers segments in garments category, has
helped the company to differentiate and localize its offerings
WEAKNESSES-

1. Limited Distribution channel reach: Although its
logistics arm has kept cost’s low, the reach has been
affected which is a weakness for Flipkart. Due to use
of outsourcing, Global giants like Amazon & eBay can
deliver the product anywhere in the country. However,
Flipkart is still struggling in this field.
2. Cost of Acquisition: Due to stiff competition in the
market & low customer retention, the cost of Acquisition is
high because Flipkart acquires a lot of customers through
online advertising. As per Flipkart data, the company
spends R.s 400/- on acquiring a new customer on an
average.
3. Power in the hand of buyers: Since this industry is
flooded with many players, buyers have a lot of options to
choose. Switching costs are also less for customers since
they can easily switch a service from one online retail
company to another. Same products will be displayed in
several online retail websites. Product differentiation is
almost absent and the fight then begins on the basis of
price only.

OPPORTUNITIES-
1. Expanding their Product categories: This will
increase their customer base & at the same time will reduce the cost
of acquisition and customer switch.
2. Changing mentality of Indian customers: With
increasing numbers of customers getting comfortable with online
shopping & increase in numbers of Internet users in India, there is
huge potential in this Industry.
3. Supply chain: By optimizing their supply chain they
can compete with the other players & can manage the loosing sales
on account of not making the product available due to delivery
constraints.
4. Establishing in other developing economies: Like
Amazon, Flipkart can slowly start expanding out of India and
establish operations in other countries as well which will help improve
revenues.

THREATS-

1. Competition: Stiff competition from the global players like Amazon,

eBay as well as local player like Snapdeal, Tolexo and Shopclues who
are continuously trying to eat each other’s market share.
2. Government regulations on the issues related to FDI in
multi branding retail has been a big hurdle in the success of the E-
commerce industry in India.
 SWOT ANALYSIS
OF AMAZON
STRENGTHS-
1. Strong brand name – As a global e-commerce giant, Amazon has a strong
position and successful brand image in the market. 

2. Brand valuation – According to Interbrand’s Global Brand Ranking 2020,

Amazon is ranked at #2 position (Apple at #1 and Google at #3), with a brand value
of $200 Billion.

3. Customer oriented – Amazon caters to a large number of customers for

everyday needs at inexpensive prices. This has made it a customer-oriented brand.

4. Differentiation and Innovation – Amazon frequently brings creative ideas

and innovative additions to its product line and service offerings like ambitious drone
delivery service and Withings Aura Smart Sleep System.  This creates a
differentiation from other companies.

5. Cost Leadership – Amazon doesn’t incur costs in maintaining physical retail

stores by selling everything online. With economies of scale, Amazon efficiently
controls its costs and lowers its inventory replenishment time. The company has
formed numerous strategic alliances with many companies like Evi Technologies,
Thalmic Labs, Shoefitr, The Orange Chef etc. It has a strong value chain system
which also helps in maintaining a low-cost structure.

WEAKNESSES-

1.Easily imitable business model – Online retail businesses have become quite
common in this digital world. So imitating Amazon’s business model for rival firms is
not so difficult. A few businesses are even giving Amazon a tough time. These
include Barnes & Noble, eBay, Netflix, Hulu, and Oyster etc.
2. Losing Margins in Few Areas – In few areas such as India, Amazon has faced
losses. It’s free shipping to customers can be one of the reasons that expose the
risks of losing margins in some markets.

3. Product Flops and Failures – Its Fire Phone’s launch in the US was a big failure
while its Kindle fire device didn’t even grow well.

4. Tax Avoidance Controversy – Tax avoidance in Japan, UK and US has sparked

negative publicity for Amazon. President Trump criticized Amazon over taxes on
social media.

5. Limited brick-and-mortar presence – Amazon owns very limited physical stores.

This sometimes hinders to attract customers buy things which are not sellable on
online stores.

OPPORTUNITIES-

1.Amazon can gain the opportunity to penetrate or expand its operations

in developing markets.

2. By expanding physical stores, Amazon can improve competitiveness against

big box retailers and engage customers with the brand.

3. Amazon has the opportunity to improve technological measures and

organizational policies to reduce counterfeit sales. One case of counterfeit sales
came into light when Amazon sold a fake My Critter Catcher. The product was sold
for $1 less than the original product.   

4. Can do backward Integration by expanding its production of in-house brands

such as Amazon basics to differentiate its offerings and improve profit margins. 

5. More acquisitions of e-commerce companies can increase the company’s

market share and reduce the competition level.
THREATS-

 1.Few controversies have caused a dent in Amazon’s brand image. People critically

reacted and boycotted Amazon sites in 2010 when they found that it’s selling the book
“The Podophile’s Guide to Love & Pleasure: a Child-lover’s Code of Conduct.”

2. Government regulations can also threaten the business proceedings of Amazon in

some critical countries. Amazon does not ship to Cuba, Iran, North Korea, Sudan, and
Syria.

3. Links to exploitative labour – Amazon is one of three retail giants facing scrutiny
from the US State Department for maintaining supply chains and labour sources
associated with human rights abuses. This exposes the ecommerce giant to
reputational, economic, and legal risks.

4. Increasing cybercrime can affect the network security system of the company.

5. Aggressive competition with big retail firms like Walmart and eBay can give

Amazon a tough time in the future. In addition, now Amazon competes with the
following companies
 CHAPTER-2

LITERATURE REVIEW

Martin Dodges (1999) , “finding the source of Amazon.com : examining the hype of the earth’s

biggest book store”, center for advanced spatial analysis concluded that Amazon.com has been

one of the most promising e-commerce companies and has grown rapidly by providing quality

services .

Miyazaki and Fernandez (2001) substantiated that the prior experience was found to affect the

intention and behaviour significantly and in a variety of ways . The results of this study imply that

the technology acceptance model should be applied to electronic commerce research with

caution . In order to develop a successful and profitable web shop , understanding customer’s

needs is essential . It has to be ensured that products are as cheap in their study prospects of e-

commerce in India”, mentions that India is showing tremendous growth in the e-commerce .

Sharma and Mittal (2009) in their study “prospects of e-commerce in India” ,

mentions that India is showing tremendous growth in the e-commerce. Undoubtedly,

with the middle class of 288 million people, online shopping shows unlimited potential

in India. The real estate costs are touching the sky. Today e-commerce has become an

integral part of our daily life. There are websites providing any number of goods and

services. The e-commerce portals provide goods and services in a variety of categories. To
name a few: apparel and accessories for men and women, health and beauty products,

books and magazines, computers and peripherals, vehicles, software, consumer electronics,

household appliances, jewelry, audio, video, entertainment, goods, gift articles, real

estate and services. Ashish Gupta, senior managing director of Helion venture partners

and one of the first backers of Flipkart as an angel investor: “Flipkart has been

absorbing companies that have some potential (lets buy, Myntra). In that process, some of

the bets will go wrong, for sure. But that is par for the course. The company (Flipkart) is

consciously taking bets that allow it to either grow or eliminate competition that reduces

marketing spend and improves economics.”

Samadi and Ali (2010) compared the perceived risk level between internet

and store shopping, and revisit the relationships among past positive

experience, perceived risk level, and future purchase intention within the internet

shopping environment.

Abhijit Mitra (2013),” e-commerce in India-a review”, international journal of

marketing financial services & management research. Concluded that the e-

commerce has broken the geographical limitations and it is a revolution-

commerce will improve tremendously in next five years in India.

D.K.Gangeshwar (2013),” e-commerce or internet marketing: a business

review from Indian context”, international journal of u- and e- service,

science and technology. Concluded that the e-commerce has a very bright uture

in India although security, privacy and dependency on technology are some of

the drawbacks of e-commerce but still there is a bright future to e-commerce.

Dr. Sudha S (2015), Innovation brings with itself a new set of challenges. The

E-Retailing form of market was fairly something unheard of to the Indian

consumer in 2007. Flipkart which has carved a niche for itself in terms of

market share, goodwill and popularity in the online market to the extent that

retailers are coming under threat because of its discounts and smooth operations.
 The ascent of Flipkart to capture the online market in India in just four years,

the strategies implemented by it to create online business ,its ability to stand

out among numerous E-Retail sites. This case study aims to understand the

marketing strategy, brand awareness, SWOT analysis, functioning of Flipkart. It

aims to predict the future roadmap and also aims to find significant threats to

Flipkart in the near future.

Pooja Gupta (2015), The study tries to recognize that, how consumer measure

channels for their purchasing. Specifically, it progresses a conceptual model

that addresses consumer value perception for using the internet shopping

versus the traditional shopping. Earlier study showed that perceptions of price,

product quality, service quality and threat strongly impact perceived value and

purchase intents in the offline and online network. Observations of online and

offline buyers can be evaluated to see how value is constructed in both

channels. It is hitherto to recognize what factors influence online and offline

shopping choice progression. The objective of this study is to provide an

impression of online shopping decision process by comparing the offline and

online decision making and identifying the factors that motivate customers to

decide whether to do online shopping or go for the offline shopping.

Consumer’s shop when and where they want, where they are comfortable with the

products and the choice of shopping. The study finds that female are more into
online shopping than male.

K Francis Sudhakar (2016), Internet became more powerful and basic tool for

every person’s need and the way people work. By integrating various online

information management tools using Internet, various innovative companies have

set up systems for taking customer orders, facilitate making of payments,

customer service, collection of marketing data, and online feedback

respectively. These activities have collectively known as e-commerce or

Internet commerce. Online shopping made so easy for everyone with their product

variations and simple way to buy things. An attempt has been made to critically

examine various corporate and business level strategies of two big e-tailers and

those are Flipkart and Amazon. Comparison have been done considering e-

commerce challenges, their business model, funding, revenue generation, growth,

survival strategies, Shoppers’ online shopping experience, value added

differentiation, and product offerings.

 CHAPTER-3

RESEARCH METHODOLOGY
Objectives

 To understand and estimate the consumer perception and factors

affecting their behaviour for choosing e-commerce sites.
 To understand tactics and methods those are used by e-commerce
players to grab the customers in India.
 To know how consumers are evaluating e-commerce sites for their purchases.

Research Design

Exploratory Research

Exploratory research conducted for a problem that has not been clearly defined.

Exploratory research helps determine the best research design, data collection

method and selection of subjects. It should draw definitive conclusions only

with extreme caution. Exploratory research often relies on secondary

 research such as reviewing available literature and/or data, or qualitative

approaches such as informal discussions with consumers, employees, management

or competitors, and more formal approaches through in-depth interviews, focus

group sand projective methods.

Descriptive Research

The objective of descriptive research is to describe the characteristics of

various aspects, such as the market potential for a product/company or the

demographics and attitudes of consumers who buy the product with the help of

primary data collected.

Data Collection

The goal for all data collection is to capture quality evidence that then

translates to rich data analysis and allows the building of a convincing

and credible answer to questions that have been posed.

Method of Collecting Data

The data are collected from the secondary data and there is no information which

collects from primary source. The internal source of secondary data where the data

is collected:

 Sales Report

 Financial Statements

 Customer details, like ,name ,age, contact details, etc.

 Company information.

 Reports and feedback from a dealer, retailer and distributor.

 Management information system.

There are several external sources from where the secondary

data are collected. These are:

 Government census , like the population census, agriculture census,

etc.

 Information from other government departments, like social security,

 tax records, etc.

 Business journals

 Social Books

 Business magazines

 Libraries

 Internet, where wide knowledge about different areas is easily

available.

RESEARCH INSTRUMENT
Two types of questionnaire were used in the project. These are the
open ended and closed ended question.
Open ended questions do not limit the respondents to select the answer
from a range of alternatives or simple answer categories for each
question but to represent their own subjective news about issues freely.
This allow the respondents to provide answer or opinions freely.
Closed ended questions provide a way of alternatives or simple answer
categories for respondents to make choice from. This provides an easy
basis to analysis responses from respondents.
PRIMARY DATA

Primary data was collected from various people and their opinion and

information for the specific purposes of study helped to run the analysis. In

essence, the questions asked were tailored to elicit the data that will help for

study. The data was collected through questionnaire to understand their

experience and preference towards their loyal company.

Secondary Data

To make primary data collection more specific, secondary data will help to make it more

useful. It helps to improve the understanding of the problem. Secondary data was collected

from various sources such different business websites and published papers.
‘

CHAPTER-4

DATA ANALYSIS AND INTERPRETATION

 AGE RANGE

The above diagram shows us the percentage in the age of respondents. It shows us that 55.7% people

are between the age of 18 – 25, 28.9% people are between the age of 25 – 35 and 15.5% people are

above 35 years of age .

GENDER RESPONDANTS
The above diagram shows us the percentage in the gender of respondents . As it shows that 78.4%

people are male and 21.6% people are female .

HOW OFTEN DO YOU SHOP ONLINE

The above diagram shows us that how often do people shop online . It shows that 50.5% people shop

once a week , 37.1% people shop every fortnight and 11.3% people shops never .
 APPLICATION PREFERRED TO SHOP ONLINE

The above diagram shows us that which application people prefer to shop online . 84.5% people

prefer amazon and 15.5% people prefer Flipkart .

MAKE PAYMENTS WHILE SHOPPING ONLINE

The diagram shows us that hoe people make payments when they shop online . 38.1% people prefer

paying athrough cash on delivery , 36.1% people prefer payment using debit or credit card and 21.6%

people prfer using paytm phonepe aur google pay .

APPLICATION MORE SATISFIED IN TERMS OF

CUSTOMER CARE

The above diagram shows us that which online service is more satisfied in terms of products ,

customer care and delivery service . 76.2% people are more satisfied with amazon and 18.8% people

are satisfied with flipkart .

PROBLEMS FACED WITH ONLINE SHOPPING

SITES
The diagram shows us that have people faced problems while using online shopping sites and if yes
than by which one . 62.4% people have no problem faced , 19.8% people have problems faced with
amazon and 17.8% people have problems faced with flipkart .
 CHOICE OF ONLINE SHOPPING SITE
The above diagram shows us that how people choose online shopping site . 60% people choose
through online reviews , 20% people are referred by friends and 20% people choose through
advertisements .
 PREFERENCE FOR FRIENDS AND FAMILY
The above diagram shows us that which online shopping site people prefer to their friends and
family . 78.2% people prefer amazon to their friends and family and 18.8% people prefer flipkart to
their friends and family .

SATISFACTION IN TERMS OF PRICING

The above diagram shows us that through which online shopping site are people more satisfied in
terms of pricing . 69.3% people are satisfied with amazon and 24.8% people are satisfied with
flipkart .
 PERSONAL INFORMATION IS KEPT
CONFIDENT WHEN BUYING PRODUCTS
ONLINE
The above diagram shows us that how confident are people that their personal information is kept
confidential when buying products online. 54.5% people are moderately confident , 25.7% people are
quite confident and 19.8% people are extremely confident.

t.

CUSTOMER ASSISTANCE AFTER PURCHASE

FROM FLIPKART AND AMAZON ARE GOOD
The above diagram shows us that customer assistance after purchase from flipkart and
amazon are good . 74.3% people agree , 14.9% people are strongly agree and 10.9% people
disagree .
 CHAPTER- 5

FINDINGS AND CONCLUSION

FINDINGS

1. Most of the respondants are from male category over

female category .
2. 55.7% of respondants are from the age group of 18-25
category
3. 55.7% of respondants are from student background .
4. 84.5% of respondents prefer amazon over flipkart.
5. 50.5% of respondents shop online once a week.
6. 38.1% of respondents make payments through cash on

delivery.

7. 76.2% of respondents prefer amazon there friends and

families over flipkart.

 8. 54.5% of respondents are moderately confident to shop

online.

9. 69.3% of respondents are satisfied with amazon.

10. 74.3% of respondants agree over amazon.

CONCLUSION

1. Mostly respondents prefer Amazon as compared to Flipkat.

2. People prefer to shop online once in a week.

3. People are more satisfied to shop online with amzon.

 Few controversies have caused a dent in Amazon’s brand image. People critically

reacted and boycotted Amazon sites in 2010 when they found that it’s selling the book
“The Podophile’s Guide to Love & Pleasure: a Child-lover’s Code of Conduct.” .
Government regulations can also threaten the business proceedings of Amazon in
some critical countries. Amazon does not ship to Cuba, Iran, North Korea, Sudan, and
Syria.

. Links to exploitative labour – Amazon is one of three retail giants facing scrutiny
from the US State Department for maintaining supply chains and labour sources
associated with human rights abuses. This exposes the ecommerce giant to
reputational, economic, and legal risks.

Increasing cybercrime can affect the network security system of the company.

 Aggressive competition with big retail firms like Walmart and eBay can give
Amazon a tough time in the future. In addition, now Amazon competes with the
following companies.

SUGGESTIONS
Amazon has become leading E-commerce Company in India, few years before
Amazon India was behind in competition with Flipkart, but as we know Amazon India
is a customer-centric company. It always tries to provide better services to its
customers.

Flipkart started from the very low budget but just because of its quick success, they
got funding from big investors. Flipkart successfully placed itself as India’s largest
online store with a huge range of products. However, Flipkart still needs to work on
its weaknesses and core competence. Flipkart should pay more attention to
customers’ satisfaction and on their queries because according to this survey
majority of people are not satisfied with their
return policies and customer services. Flipkart’s products packages should be
developed because they are receiving many customers’ complaints about their
packaging. Flipkart should open warehouses in the urban and remote area for
fast delivery service. Flipkart should replace its marketing strategies with online
marketing techniques, these techniques
help to build its online presence more strong through search engine optimization
techniques because most of the customers like to search from Google for online
shopping products
 BIBLIOGRAPHY

(1) https://_en.wikipedia.org/wiki/Amazon(company)

(2) https://en.wikipedia.org/wiki/Flipkart

(3) https://bstrategyhub.com/swot-analysis-of-amazon-

amazon-swot/

(4) https://www.superheuristics.com/swot-analysis-of-flipkart-

detailed/

(5) https://www.google.com/url?sa=i&url=https%3A%2F

%2Fwww.futurelearn.com%2Finfo%2Fcourses

%2Fmanaging-company-culture%2F0%2Fsteps

%2F216763&psig=AOvVaw1FZdOPDQ_lzYeQJSGvMV

_c&ust=1626209753631000&source=images&cd=vfe&ve

d=0CAoQjRxqFwoTCLCNqMe13vECFQAAAAAdAAA

AABAD
(6) https://www.google.com/url?sa=i&url=https%3A%2F

%2Fwww.indiatvnews.com%2Ftechnology%2Fnews-

amazon-prime-video-brings-profiles-features-like-netflix-

600990&psig=AOvVaw0gryslSkbYEJtM8dVIXhpk&ust=

1626209982975000&source=images&cd=vfe&ved=0CAo

QjRxqFwoTCJDz-ba23vECFQAAAAAdAAAAABAD

(7) https://www.google.com/url?sa=i&url=https%3A%2F

%2Flogos-world.net%2Fflipkart-logo

%2F&psig=AOvVaw3jAPbpYBlxopQVIVNB4wuk&ust=

1626210017177000&source=images&cd=vfe&ved=0CAo

QjRxqFwoTCLDUusS23vECFQAAAAAdAAAAABAD

(8) https://images.shiksha.com/mediadata/images/1591629061

phpcElxje.png

QUESTIONNAIRE
Q1.NAME
Q2.AGE
 18-25
 25-35
 35 ABOVE
Q3.GENDER
 MALE
 FEMALE
Q4.HOW OFTEN DO YOU SHOP ONLINE?
 EVERYDAY
 ONCE A WEEK
 EVERY FORTNIGHT
 NEVER
Q5.WHICH APPLICATION DO YOU PREFER TO SHOP ONLINE?
 AMAZON
 FLIPKART
Q6.HOW DO YOU MAKE PAYMENTS WHEN SHOPPING
ONLINE?
 DEBIT CARD/CREDIT CARD
 CASH ON DELIVERY
 NET BANKING
 PAYTM / PHONEPAY/GOOGLE PAY
Q7.WHICH ONLINE SERVICE IS MORE SATISFIED IN TERMS OF
PRODUCTS , CUSTOMER CARE AND DELIVERY SERVICES ?
 AMAZON
 FLIPKART
 OTHERS
Q8.HAVE YOU FACED ANY PROBLEMS WITH ONLINE
SHOPPING SITES ? IF YES , BY WHICH ONE
 AMAZON
 FLIPKART
 NO PROBLEMS FACED
Q9.IN TERMS OF PRICING , WITH WHICH ONLINE SHOPPING
SITE YOU ARE SATISFIED ?
 AMAZON
 FLIPKART
 OTHERS
Q10.WHICH ONLINE SHOPPING SITE WILL YOU PREFER TO
YOUR FRIENDS AND FAMILY ?
 AMAZON
 FLIPKART
 OTHERS
Q11.HOW CONFIDENT ARE YOU THAT YOUR PERSONAL
IFORMATION IS KEPT CONFIDENTIAL WHEN BUYING
PRODUCTS ONLINE ?
 EXTREMELY CONFIDENT
  MODERATELY CONFIDENT
 QUITE CONFIDENT
Q12.CUSTOMER ASSISTANCE AFTER PURCHASE FROM
FLIPKART AND AMAZON ARE GOOD ?
 AGREE
 STRONGLY AGREE
 DISAGREE