Consumer Behaviour is one such area that most of the brands research about and it’s an important aspect for the success of the company, their product or their campaign. Like it or not, consumers play a major role throughout and a lot of planning and marketing takes place to lure them, turning them into loyal customers.
Add internet to e-commerce and we get a better, yet understandable term – Online Shopping! All it took Sachin Bansal and Binny Bansal, both alumini of IIT, Delhi was an idea to amend the Indian way of shopping and the seeds were sowed in October 2007. They left Amazon to start their own firm, the world now knows as FLIPKART! Their top priority was to off best-priced books to the Indian audience when the started out but currently they have successfully ventured into selling electronics, mobiles, books, games, music etc. So, what was most important in the success of a start up? Understanding the consumer buying behavior.
No kidding, no worries!
Yes, you read that right! That was the campaign Flipkart came up with to target the audience in 2011. By understanding the consumer behavior, they found out that most of the buyers understand the benefits of online shopping but quite a few are held back by shopping physical goods, online. The idea of the campaign was to think online shopping as child’s play. By using kids in adult voices and situations they tried to portray that buying good online is the easiest and the most convenient way and VOILA, it was an instant success! Their sales rose, people’s trust in them doubled and the customer satisfaction was scaling new heights.
Using Maslow’s Hiererchy of Needs and its perks!
Maslow’s Needs Pyramid is a perfect way to understand the human behavior and the drivers of their decision-making. Maslow quotes, “Man is a perpetually wanting animal” which concludes the higher needs are larger generators of desire and want than the lower needs.
As Maslow explains, there are 5 stages of it namely physiological, safety, love and belonging, self-esteem and self-actualization. Flipkart has time and again tried to make use of it with the wide range of products they offer. They have a massive customer loyalty since they fulfill higher needs of the hierarchy and are simple irreplaceable. What are they doing so right?
Let’s consider the purchase process!
There are three stages to it and consumer behaviour plays a massive role in Flipkart’s rise –
The Pre-purchase phase is an important one as it helps consumers to identify what their needs and desires it. Flipkart has an attractive website with sections and pictures. It’s customer friendly making it easy to surf through offering easy and required solutions to their ever-increasing audience.
In Purchase phase, consumers narrow down on their needs and are ready to make a decision. Flipkart offers insights and specifications for the products and services making it easier for the users, helping them in decision-making.
If Flipkart is famous for something it’s for their Post-purchase satisfication. The e-commerce giants have swift delivery options, easy paying methods and offers discounts on most of their product. The price they offer is way less than their rivals, making it helpful for them to attract consumers.
Better than the best, Flipkart!
The latest figures Flipkart, India’s largest e-commerce firm, generates through monthly advertisement sales is close to 1 million USD. With more than 50 millions loyal users, Flipkart is here to stay and is way ahead of their close rivals. Looking at consumer behavior Flipkart recently signed up more than 50 brands to actively engage with customer’s needs and desires. You want it, we have it, that’s their motto!
Mihir Dalal., (2016). Flipkart’s monthly ad sales revenue reacher 1 million. Live mint. http://www.livemint.com/Companies/r1CNmMKPDJFASUJwnrFGtI/Flipkarts-monthly-ad-sales-revenue-reaches-1-million.html (Accessed on 1st August 2016)
Wikipedia., (2016). Flipkart. Wikipedia. https://en.wikipedia.org/wiki/Flipkart (Accessed on 1st August 2016)
Arati Rao., (2011). Flipkart’s new campaign pegged on “No kidding, no worries”. http://www.campaignindia.in/video/flipkarts-new-campaign-pegged-on-no-kidding-no-worries/414807 (Accessed on 1st August 2016)
Pratik Dattani., (2014). Consumer behaviour toward online shopping Flipkart. http://www.slideshare.net/pratikdattani1/consumer-behavior-toward-online-shopping-flipkart (Accessed on 1st August 2016)
BJ Bueno and Scott Jeffrey., (2014). Why Maslow’s Hierarchy of needs is crucial for business. http://cultbranding.com/ceo/maslows-hierarchy-needs-crucial-for-your-business/ (Accessed on 1st August 2016)
Student Name – Amey Dattatray Ansurkar
Student ID – 216045154