Company’s spokesperson has revealed that the Bangalore-based e-commerce firm Flipkart (1) recorded its highest single-day sales ever in the firm’s history, grossing to $200 million on Monday.
The high sales are probably a result of the firm’s massive advertising campaigns ahead of the upcoming festive season in India. Another factor leading to this can also be the lockdown situation, which has forced individuals to stick to online shopping.
The third Big Billion Days sales will be run by Flipkart during the festive season this year.
Might spend 3x for advertising in October
Research and advisory firm RedSeer Consulting (2) also stated that as per the market estimates, platforms like Flipkart are expected to spend up to 3 times the usual money spent on advertising during October, amounting to around Rs 400-500 crore.
Analysts state that e-commerce sales are very crucial for Indian online retail companies because of the further economic implications being faced due to lockdown, especially for Flipkart that’s a direct competitor to the US-giant Amazon.
Amazon fueled an additional $3 billion in Amazon.in last month after the Indian unit exhausted its investment worth $2 billion announced in July 2014.
Close competition in the market
The Flipkart platform seems to have trumped peers, especially when it comes to mobile phones’ pricing strategy.
According to a report issued by RedSeer, Flipkart reported the lowest median prices across popular non-exclusive mobile selling units listed on its platform compared to Amazon and Snapdeal. The average price for non-exclusive smartphones stood at Rs 7,500 on Flipkart compared to Rs 7,900 on Amazon and Rs 7,800 on Snapdeal, bringing forth a price gap of Rs 300-400.
On the other hand, Amazon led the market in consumer, electronics, and large appliances segment, making their median prices for goods in this category lower than Snapdeal or Flipkart.
According to reports by RedSeer, contrary to popular beliefs, over 64% of the customer base get to know about the sales on e-commerce platforms through TV ads. In comparison, 49% of people get to know about sales via social media.