Tuesday 25 April 2017

Amazon’s popularity & brand recall score on par with Flipkart: Survey

Flipkart is no longer the most and only popular ecommerce portal. Keeping it company at the top is Amazon India, as per RedSeer’s E-tailing Leadership Index (ELI).
Flipkart dominated all the previous ELIs. But this time around, Amazon managed to close the marginal gap by improving its NPS score. Both the ecommerce biggies have the total score of 95 and sit at the number 1 position amongst Snapdeal, eBay, Paytm and Shopclues.

RedSeer survey summary

ELI judges ecommerce companies on three main parameters: buying experience on the portal, best value and trust. Over 9,000 online shoppers across 30 cities participated in the survey. Customers were asked to rate the etailers for their performance between January 2017 and March 2017 (Q1).
Flipkart’s Q1 2017 score went down by 2 points when compared to its score in Q4 of 2016. The company lost those points in the ‘most trusted brand’ category. On the other hand, Amazon India gained two points in the same category compared to Q4 2016. So the US-based ecommerce leader gained Indian shoppers’ trust, whereas Flipkart lost it a little.
Snapdeal is at the same position as it was in 2016 Q4. Paytm slipped down due to poor delivery and post-delivery experience. Surprisingly, Shopclues and eBay managed to increase their score by working on their ‘buying experience’ feature.
Below is the January-March 2017 ELI score-card:
Screen Shot 2017-04-26 at 9.03.51 PM

Amazon getting close to the top?

As far as overall sales in concerned, Flipkart still leads. But as we can see, Amazon is climbing up and is now on par with Flipkart when it comes to popularity, brand recall, trust and best value proposition. Amazon also took lead over Flipkart with increase in sales in the first quarter of 2017.
Jeff Bezos’ India business gained prominence in the recent times due to Amazon Prime.  Its rival Flipkart has been in the news for markdowns, attrition and acquisitions. eBay India got acquired by Flipkart and Snapdeal is up for sale.
Needless to say, FY 2017-18 might be a decisive year as to who would be at the top, who would slide down and who would fade away.

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