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• Exceptional Brand Recall

• Good ROI • High S&A expenses


• Market Share • Spending too much to
• Financials attract Customers
• Strategic Acquisitions & • Rapid Acquisition Spread
Partnerships. • Limited Distribution
• Good Promotional Income

Strengths Weaknesses

Opportunities Threats • Rivalry


• Post Pandemic • Buyer Power &
Sentiments Switching
• Market Development • Stringent Government
• Delivery Excellence Regulations
• SECURE AND
STRAEMLINE PAYMENTS
STRENGTHS
 Exceptional Brand Recall:Flipkart enjoys an extensive degree of brand recall through online branding, social media and its
quirky TV advertisements.

 Good ROI: Flipkart is relatively successful at the execution of new projects and it generates good profits through its existing
business. Company is generating good Return on its investments.

 Market Share: Flipkart has a market share of 39.5%.

 Financials: Flipkart has annual revenue of 6.1 billion US Dollars.

 Good Promotional Income: Flipkart charge extra for promoting products of its seller. This model always is beneficial for the
company.

 Strategic Acquisitions & Partnerships :Flipkart has consistently been able to establish tie-ups with likes of Myntra,
Jabong, Walmart because it wanted to solidify its position. Having a separate brand pertaining to fashion and one for digital
payments (PhonePe) contributes greatly to brand equity.Flipkart has entered many strategic partnerships like Ekart,
Chakpak, Letsbuy, Walmart etc. This enables Flipkart to bolster their logistics, payment gateways and digital content
creation.

WEAKNESS
 High S&A expenses:Flipkart spends as much as 30% of its annual revenues on marketing and advertising, much higher than
HUL. According to Flipkart data, the company spends R.s 400/- on average to acquire a new customer.

 Spending too much to attract Customers: Flipkart relies on heavy discounts, spending crores to attract and retain
customers because it wants higher visibility across mediums.Flipkart reported a loss of Rs 1950 crores in FY2020 even though
revenue grew by 32%.

 Rapid Acquisition Spread: Given that the company is reportedly posting losses, and competition is heating up,so siphoning
funds on improving user engagement on their platform isn’t exactly first priority. This rapid acquisition spree might turn out
to be damaging for the finances.

 Limited Distribution: Flipkart has a limited distribution channel reach, despite the fact that its logistics arm has kept costs
low. This is a weakness for the company, as it has limited reach. Because of the use of outsourcing, global giants such as
Amazon and eBay are able to deliver their products to any location in the country. Flipkart, on the other hand, is still
struggling in this area.
Opportunities
 Post-Pandemic Sentiments: Just like COVID has wreaked havoc globally, it also provides great impetus for embracing
‘digital'. As more and more consumers are being aware and switching to online consumption of services.

 Market Development: Flipkart has to be move across borders of India and serve customers from neighbouring geographies
like South-East Asian countries. Because these countries have a high demand for online retail.Entering into joint ventures
with local players, Flipkart can look to diversify its revenue from alternate markets.

 Delivery Excellence: Flipkart should try to reduce the delivery times and increase its operational efficiency for tier 2 & 3
cities because rural dwellers are now surging to online shopping.

 SECURE AND STRAEMLINE PAYMENTS :Flipkart can look to streamline payments for their orders through an in-house
payment service like AmazonPay to include new product lines.And Flipkart can also look to ride on the wave of ‘Vocal for
Local’ sentiments in India allowing more MSMEs to sell on their platforms.launch of video originals to take on amazon prime
videos

THREATS
 Rivalry :Presence of so many rivals selling similar products immensely reduces revenues. Two top firms in Amazon &
Flipkart are locked in a battle of burning cash, offering festive sales, and ambitious money infusions from investors. Because
they both want to conquer the Indian online retail market and oust the other.

 Buyer Power & Switching.: Customers visibly have lower switching costs; they instantly switch from one online shopping
website to another.

 Stringent Government Regulations: Flipkart was recently investigated related to violations of competition laws in 2020 by
CCI(Competition Commission of India).Indian government also exercises strict control and monitoring of FDI and funds from
foreign investors into Indian firms. This led to many legal issues and operational problems for Flipkart(now owned by US-
based Walmart).
• Less efficient App.
• Content Marketing. • Can Be Overwhelming
• Social Media Marketing • No In-Person
• Engaging Users Guidance: This means
you could inadvertently
• Revenue
perform exercises
• Revenue Expenditure incorrectly, or even
unsafely, without
knowing it. This is
particularly concerning
Strengths Weaknesses for beginners and those
recovering from
injuries, as they're
more likely to perform
exercises incorrectly.

Opportunities Threats

• Building strategies.
• Make the reminder
notification more • Threats
prominent. • Business interruption
• At-Home Fitness
Revolution
STRENGTHS
 Content Marketing: In a very short time, Cult.Fit has attracted a large number of viewers because they answer consumer
questions and link consumers to the brand. Cult.Fit creates material such that influences consumers to buy their services.

 Social Media Marketing: Cure.fit wins the people's hearts through its committed sharing of content. Cure.fit exactly
understands who its customers are and produces persuasive content.Cure.fit aims at reaching people who want to lead a
balanced and fit lifestyle seriously with 3.5 Lakh followers on Facebook and Instagram.

 Engaging users:ure.Fit has seen a successful run engaging a considerably large band of consumers throughout the years.
The 3 main methods that Cure.fit adopt to engage its users:
I. Gamification - Cure.fit has a unique way to encourage its users to display their badges and weekly ranks to their friends.

II. Buddy workout - Cure.fit believes in spreading their business by word of mouth and has a keen affinity towards the "kid next door."

III. Fitter families - Cure.fit encourages families to come on board and keeps them motivated with the help of interesting programs like
super family of the week.

 Revunue: Cure.fit is the first to provides five interconnected offerings like workout plans, diet plans, Doctor consultations,
meditation and yoga on one platform. Hence, cross-selling of products has happened easily, helping grow its revenue. In an
interview with Mint, Ankit Nagori mentioned that a typical customer pays them Rs. 25,000 (approx. 350 Dollars) Yearly. If
things do well, they are planning to extend this amount to 1000 Dollars. So in a 20-year view, this is how they plan to create
a 20 Billion Dollar business. Curefit spent Rs 2.67 to earn a single rupee of operating revenue in FY20, improving by 20.3% YoY.

 Revunue Expenditure: Expenditure on advertising and promotion, including commission, also surged by 86.2% to Rs 239.5 crore in
FY20 from Rs 128.6 crore. These payments made up 18.2% of the total expenditure incurred by the company.

WEAKNESS
 Less efficient App: Since the home workouts are not monitored users tend to skip exercise that they are not
comfortable with Incorrect postures could lead to injuries Posture correction and user queries cannot be solved in
the absence of a trainer. Users also miss out on the exercise routine that is done on specific days. While reminder
notification can be useful, notifications are often subtle and therefore tend to be ignored by the user.
 Can Be Overwhelming : The sheer volume of online fitness possibilities can feel paralyzing. If you think it's hard to
choose which gym to go to in your neighbourhood, it's going to be a lot harder to choose which YouTube channel
to follow when sifting through the millions of results you return after searching "fitness videos.
Opportunities
 Building Strategies: In-app messaging: In-app messaging: This allows you to communicate with users when they have your fitness app
open. For example, you may want to trigger an in-app message after a workout to promote your subscription package. Having just
completed a workout — and therefore benefiting from the app — it may be the best time to present your user with this additional
offering.

 Make the reminder notification more prominent.: Another way of increasing the user base is by introducing live streaming
of the different workout at the center. The footage can last for 24hrs so that the user who is unable to attend a class can
work out at home by watching their trainers in the center. With the help of this, users won’t miss out on workouts that are
done on specific days

 At-Home Fitness Revolution:The biggest issue with these programs laid in their inability to grow with their consumers: once users
finished the regimen, they’d have to start over again or recycle the video content. While these at-home programs provided for personal
modifications per user, they did not have the necessary flexible options, personalization, and responsive content to be sustainable.

THREATS
 Rivalry :Competitors are a part a of business ,if you don’t upgrade you will be left behind so like many others companies
Cultfit has a many competitors like HealthifyMe, FITPASS, Fit Circle, Grow Fit and MyFitnessPal which are growing at a
good stage.

 Business interruption: For digital fitness companies that are dependent on apps, system down time can be a killer, causing
anything from short-term effects in terms of lost sales to wider implications such as reputational damage and costly litigation.

 The insurance market’s reaction: As a result of the increase in demand for digital fitness, insurers have unfortunately seen
a sharp rise in claim notifications from clients in the digital health and fitness space. This has prompted some to completely
refuse to insure health and fitness apps and others to significantly increase premiums for existing clients at renewal.
Thank You!
Regard's,
Tanmay Rajgadkar

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