Consumer Trust

Project story on Consumer consider Flipkart Subject Consumer Behaviour Submitted to Prof. Neha Gupta Submitted by Ami Vora Roll No 58 Class PGDM Communications FLIPKARTis an Indiane- craftcompany founded by Sachin Bansal and Binny Bansal in 2007, both alumni of the Indian Institute of Technology Delhi. Initially funded by the Bansals themselves withRs. 400,000, Flipkart has since then(prenominal) raised funding from venture capital fundsAccel Indiain 2009and tiger Global (US$10 unity million million in 2010 andUS$20 million in June 2011).Today, as per Alexa art rankings, Flipkart is among the top 20 Indian meshwork identifys and has been extensioned with being Indias largest online booksellerwith over 11 million titles on offer. The cash-on-deli actually beat adopted by Flipkart has proven to be of great signifi grassce since the credit card and net banking penetration is very low in India. dismantle its 30 days replacement offer is something which acts as its USP. FACTO RS THAT LEAD TO THE triumph OF FLIPKART * Customer Service Provide good customer support with dissipated turn around duration for client queries.Provide replacement of return in case a customer receives a defective crossing. * User interface Easy to use, easy to browse through the increases, add crossroads to wishlist or to a cart, get product reviews and opinions, pre-order products, make payments using different methods. * change/ bill of f ar On Delivery Demonstrated more confidence in buy products. Flipkart sells 20 products/min and have with more than 60% of the Flipkarts customers use Cash on Delivery and card on delivery methods. This is because of two reasons, one is many people do not know how to make payments online.And secondly people do not have immense combine in e-commerce in India. * Customer Retention Has around 15 lakh item-by-item customers and more than 70% customers are repeat customers i. e. they shop various multiplication each year. The company ta rgets to have a customer base of 1 crore by 2015. * Local Presence Tie ups with local vendors and courier firms (thereby reducing transportation and storold age costs. Owns warehouse in major cities. CONSUMER TRUST For ensuring success, securing self-assertion in your company is all-important(a). Trust is as important to a potence customers purchasing decision as the products you offer him.And an essential element of building that leave, with both customers and partners, is the assurance that your e-commerce operation meets the demanding security standards involve of organizations handling sensitive financial information. Building a consumer Trust for Flipkart can take place in the following facets * Setting up a Storefront which generates a sense of dependency among the consumer * Build a commerce friendly Web Host * Securing Information Using SSL * Processing transactions * On time Delivery * case of the products * Efficient staff * go along PolicyFollowing are the various measures taken my Flipkart to build and ensure consumer dedicate. 1. Merchandise come out safety and security A safe and secure Web site is the most crucial element to building online conceive. Flipkart convey that customers can trustingness them with their personal information and their purchases. Promote the basic security of your site and repay that message with a buying execute that emphasizes safety and ease. Flipkart has a irritate Free Shopping environment. It clearly states shipping, return and privacy policies as advantageously as security and product guarantees.Customers are most sensitive to trust and security issues as they move down the path to purchase. 2. A professional person site speaks volumes Flipkart has invested wisely in professionalism of their site. This includes user-friendly design and content updates that are accurate and regular, paying attention to load time, avoiding site down time at all costs, updating content often, avoiding typos and broke n links. 3. Showcase the trustworthiness of Your Brand The trustworthiness is also defined by highlighting its distinctive qualities and physical presence.They do this by expliciting brand-value statement, reinforce that brand-value statement by creating a tag line that customers, over time, will soft associate, and provide easily accessible customer service phone numbers. 4. Outside Voices Boost credibility There is often no better way to build trust in your brand than to allow former(a)s to endorse it. Flipkart has a section for reviews for the product and services from trusted sources which act invaluable. 5. Comprehensive Product Content Enhances Trust You will find comprehensive product content and details of a particular product once u chose any item.This gives an insight of the minute, technical, and other details of the product before purchase. 6. What You See Is What You Get Flipkart provides image soar up functionality provide thumbnail images to the obtain cart, etc. to ensure that What You See Is What You Get. 7. Building Quality Service One of the most important aspect is also to take in trust among the consumers about the quality of the product. Flipkart provides information such as sizes, product availability (in stock), e-mail confirmation, post purchase services, customer service, etc. . repair Payment options Flipkart promptly provides various options for the payment of the desired products. This is done by Cash on delivery, Credit card and debit card purchase, pass banking, etc. One striking features is also their EMI option with a very minimal amount of overhead. This attracts the consumers and develops a string sense of trust among the consumers as payment is the most sensitive part of the entire consumer buying process. 9. Returns and indorsement Flipkarts USP is the 30 day returns guarantee process.Though conditions apply to these, but to to the highest degree all the products they refund the entire amount of the money paid if t he consumer returns the purchased product due to any reason. Below is a graphical record denoting monthly traffic to Flipkart and it shows an increasing trend for most of the years. Customer trust in a company can play a significant role in determining the customers actions regarding that company. Customer trust (a belief) influences customer objects. experiential Research has shown that trust increases customer intention to purchase a product from a company as well as customer intention to return to a company.The following image shows the flow on process for Flipkart online shop. RESULTS OF make CONSUMER TRUST The most important parameter for measuring the results of the efforts for creating consumer trust is the r correctue generated. In about 7 years, Flipkart generated 12billion (US$220million) (FY201112). Flipkart eventide has a market share of 20-25% in the Indian online market. Last year, it even acquired Lets Buy and thus increased their market share. The graph shown abo ve also speaks for itself that the number of visitors have been increasing day by day thus ensuring better sales and profitability.ROLE OF ADVERTISING IN BUILDING CONSUMER TRUST Flipkart. comis one such online portal that is synonymous with trust comely online shop. Flipkart used various innovative ads where they show kids playing the roles of an adult (with hearty adult dubbed voices) in a day to day situation to guide their audiences. This creates a sense of trust among the consumers as kids convey truthfulness. This particular ad where three multiplications are portrayed to present the customers skepticism in online shopping hits just the right chords to marketFlipkart. comand assure customers of its excellent services.This advertisement focuses on the major concern of the customers i. e. guarantee and how can one make an mind from an online image. With the witty use of our old custom of arranged marriages where brides got betrothed by simply looking at the photographs of t heir husbands, this advertisement mixes a perfect market solution, wrapped up in good humour. By presenting three generations together in an ad,Flipkart. comonce again makes it clear that online shopping is devoid of age barriers andFlipkart. comis targeted to everyone irrespective of age or gender. CONCLUSIONFlipkart is one of the leading players in the online shopping sector in India. It targets all the older generations trust towardsFlipkart. comby making the high-tech younger generation doubtful, and boosting the older generations ego by making them make an online purchase in the tech-savvy world. The tag line shopping ka naya address, the new address for shopping, does open doors or rather browsers to online shopping. By various and continuous efforts Flipkart has, no doubt, succeeded at a great level to create consumer trust and its electrical shock is visible and measurable through the results. THANK YOU