SWOT Analysis of Flipkart 

SWOT Analysis of Flipkart. Flipkart is a leading Indian e-commerce platform and company. Binny Bansal and Sachin Bansal laid the foundation of the online store and e-commerce platform in 2007. The headquarter of the company is in Bangalore, Karnataka, India.

Some of the main product and service categories of Flipkart are as follows;

  • Lifestyle
  • Groceries
  • Home Essentials
  • Fashion
  • Consumer electronics

Key statistical facts and figures about Flipkart are as follows;

  • The annual revenue of the e-commerce platform in 2022 was 511 billion Indian rupees
  • Annual profit has increased by 18%
  • Walmart acquired a 77% stake in the company for 16 billion US dollars in 2018

Parent companies and their stake in Flipkart are as follows;

  • Walmart 72%
  • Accel 1.1%
  • Microsoft 1.2%
  • QI 1.3%
  • Soft Bank Group 1.4%
  • CPPIB 2.2%
  • Binny Bansal 2.4%
  • Tiger Global 4.1%
  • Tencent 5.3%
  • Others 9%

Some of the top competitors of Flipkart are as follows;

  • Focused Online Stores
  • Shopclues
  • Jabong
  • Myntra
  • Paytm
  • Alibaba
  • Snapdeal
  • Amazon

Today, we’ll discuss the swot analysis of Flipkart. It is going to focus on the internal strengths and weaknesses; external opportunities and threats to the leading e-commerce platform. Here’s the swot analysis of Flipkart is as follows;

Strengths of Flipkart 

Some of the main strengths in the swot analysis of Flipkart are as follows;

Ads Campaign

Flipkart runs unique and innovative marketing and promotional campaigns. For instance, kids play the role of adults in one advertisement. Such types of cute and funny ads help the company to spread brand awareness and attract the attention of customers.

Strong Investors

Walmart, Tiger, and Tencent are some of the world’s leading companies, and they hold a significant stake in the company’s ownership. When an e-commerce platform has a strong backup and it would help the company to take on new projects and stabilizes its position in the rough time.

Acquisitions

Flipkart has acquired various startup companies like AdiQuity, ChakPak, LetsBuy, Myntra, and others over the years. They have helped the company to diversify its business and financial portfolio and strengthen the company’s position in the market.

Associations

Along with marketing and promotional campaigns, Flipkart has established a strong association with the world’s leading brands like Xiaomi, Mobility, and Motorola and launched their new products.

The company also started joint-venture with some companies for the production and manufacturing of healthcare devices, Citron home appliances, Digiflip tablets, and others.

Indian Market Leader

Flipkart holds a strong dominant position in the Indian market. According to an estimate, Flipkart holds roundabout more than 40% of the Indian e-commerce market. The platform is giving a very tough time to Amazon in the Indian market. In fact, the company became the first billion-dollar Indian company.

Database of Customer

Flipkart has established a strong database of loyal customers and got millions of registered users. As soon as the company launches a new product, then it reaches millions of people within no time.

CSR

Flipkart has established very good customer support services in the form of product replacement, online feedback, and helpline. They help the company to strengthen company’s relationship with its customers and users; they would become repetitive customers.

Weaknesses of Flipkart 

Some of the main weaknesses in the swot analysis of Flipkart are as follows;

Burdensome Acquisitions

It is no doubt that the e-commerce platform has successfully acquired various startup companies over the years. But instead of adding value to the company, they have become an additional burden on the company.

Losses

 Flipkart is investing a lot of resources in the growth, product development, marketing, and promotion of the company. But the company is still making losses significantly, and such losses are negatively impacting the reputation of the company.

Opportunities for Flipkart 

Some of the main available opportunities in the swot analysis of Flipkart are as follows;

Secure Payment System

When it comes to closing the deal and converting potential customers into actual, you need a safe and secure payment system. Flipkart should invest resources in developing and securing its payment method to facilitate its customers. It would help the company to grow its platform further.

Internet Penetration

Internet usage and its users are increasing significantly to a great extent. Since Flipkart is an e-commerce online platform, it presents a great opportunity for the company to further growth and development of the platform to attract more customers.

Portfolio Expansion

It is no doubt Flipkart is a leading Indian platform and the company offers a wide range of products and services. But there is still room for portfolio expansion and including more variety on the platform, would help the company to increase the sale on its platform.

Threats to Flipkart 

Some of the main potential threats in the swot analysis of Flipkart are as follows;

Government Policies

Fluctuating economic environment, government regulations, and policies could negatively impact the company’s growth and productivity. Therefore, Flipkart should beware of the country’s economic conditions and comply with local laws and regulations to keep moving its business in the right direction.

Competitors

The e-commerce industry has become highly competitive in recent years, and there are various platforms offering similar services. Amazon is among the top one and it has got a plethora of resources and tech expertise, and it has become highly difficult for Flipkart to maintain its position in the industry.

Conclusion: Flipkart SWOT Analysis Example Company

After an in-depth study of the swot analysis of Flipkart; we have realized that Flipkart is a leading Indian e-commerce platform and company. If you are learning about the business of Flipkart, then you should keep in mind the abovementioned internal and external factors impacting Indian e-commerce store.

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