Flipkart The Success Story

FLIPKART

In2007, whenFlipkartwas launched,Indian e-commerce industrywas taking its baby steps. Sachin BansalandBinny Bansal, who were working forAmazon.comhad got an idea to start an e-commerce company in India.

One can easily call that a risky move. In a country where people have various tastes and preferences, an e-commerce start-up will always have enormous challenges. In India, people often prefer to shop in person and buy goods they see and like. Today, thanks to Flipkart, e-commerce has become one of the fastest growing sectors in India.

Flipkart begin with selling books. It soon expanded and began offering a wide variety of goods. Innovating right from the start, Flipkart has been home to few of the striking features of Indian e-commerce. Flipkart was the first to implement the popular ‘Cash On Delivery’ facility, which every online shopping website in India offers as an option today.

In the first few years of its existence, Flipkart raised funds through venture capital funding. As the company grew in stature, more funding arrived. Flipkart repaid the investors’ faith with terrific performances year after year.

In the financial year 2008-09, Flipkart had made sales to the tune of40 million Indian rupees.This soon increased to200 million Indian rupeesthe following year. Flipkart targets to hit theone billionmark by2015. Going by their ever increasing popularity, it does not seem like a farfetched thought.

Back at the time whenFlipkartwas launched, any e-commerce company faced two major difficulties. One was the problem of online payment gateways. Not many people preferred online payment and the gateways were not easy to set up. Flipkart tackled this problem by introducing cash on delivery and payment by card on delivery in addition to others.

The second problem was the entire supply chain system. Delivering goods on time is one of the most important factor that determines the success of an ecommerce company. Flipkart addressed this issue by launching their own supply chain management system to deliver orders in a timely fashion.

Flipkart also acquired few companies likeMyntra.com,LetsBuy.cometc., to better their presence in the market. With the entry ofAmazon.comin India, the competition between the companies has seen many takeovers.

Flipkart’s journey from asmall book e-retailer to India’s largest e-commerceplatform inspires a generation of start-ups. In a country where stereotypes are common, Flipkart managed to break the norm and change the e-commerce industry in India for ever. Flipkart’s story proves that if you have a great idea, and you are a doer and not a thinker, success is not far off.