Assignment 2

RETAIL MANAGEMENT
{Online (Flipkart Retail) v/s
Offline (Future Retail)}

Group No. 3

ANANT JAIN
ANKIT JOSHI
APOORVA CHHABRA
HIMANSHU KABRA
KUMAR SUDHANSH
SHUBHAM CHHABRA
 Flow of Presentation
Comparative Analysis of Future Retail & Flipkart
(Offline Retail) v/s (Online Retail)

-Company Profile(Background)
-Statistics of the companies
-Performance(Consumers Preference& choice)
-Tactics to Lure Customers
-Operations(S.C.M.)
-Layout of the website
-Productivity& Sales
-Reach
-Accessibility
-Return on Investment Details
-
 Company Profile
Category Future Retail Flipkart
Business type Multi Brand Online Retailing
Retailing(Offline
Retailer majorly)
Industry Retailing,Insurance,Logi E-commerce(Internet)
stics,Media
Services Supermarkets, discount Online Shopping
markets,Hypermarkets
Employee 35,000 20,000
Strength
Market Value in 3 B USD 5.58B USD
B USD
Subsidiaries Big Bazaar, Pantaloons, Myntra, Jabong.com,
Nilgiri-1905, Phone.Pe
Central,Lee cooper
Joint ventures Generali G, Staples Inc, Flipkart-Myntra(1.5BB-
Celio, Clark, Bharti 350M)
Retail
Acquisitions Heritage Foods, Nilgiri, Tinystep(2
 Statistics of the Companies
Big-Bazaar(183MN)
Footfall
Comparison(Future Retail
Revenue Comparison (2015-
& Flipkart's Category
16 )
Share)
Revenue(Flipkart Retail In Cr.)
Column2

17956

Revenu
(2015-16
e Units 700 Unit
Share)
55%

7236

4880

1568 1950.2
777
2014-15 2015-16 Years
2016-17
Performance(Consumers Preference & Choice-
2016 Trends)

Considering India as the country where still the

penetration of Online Retail is limited and the culture
and mindset of the folks still stresses on the fact that
Physical presence of the store is better and investing
in the retail outlet of a modern retail brand is better
than the online brand in general.

Growth is seen in the paths of Online retailers such as

Flipkart by selling like 700 Million Units in 2015-
16.But still the trust and perception still lies in the
physical presence of the outlet.
 Tactics used to lure customers(Flipkart v/s
Future Retail)
FLIPKART

FUTURE RETAIL
Mercendaise Assortment
Supply Chain Management of Future Retail
v/s Flipkart
Order OriginVend
on Web Portal
or

WS
Retail
Flipkart
Suppliers

Future Retail
 WEBSITE LAYOUT MEASURE FACTORS

LANDING PAGE
Future Flipkart(Products)
Retail(Products)
Categorization Businesses(Portfolio) Brand Listings and
Pricing
Search Bar General Information Product Cost and Type
Filter Option Not Given Given(Price Range
&Brand)
Relevance Not needed To Suit the Customers
NAVIGATION Need
Display(Customizab N/A
Future Retail Present
Flipkartand Shown
le)
Ease Less Ease & More Ease & Flexible
Restricted
Segmentation Only of Businesses Products & Services
Intuitive Not there There(Product
Interference Depiction)
Presentation
Future Retail Flipkart

Structure Mostly Financial Properly Sequentioned

Structuring
Design Minimal(Simple) According to Users
Ease
Imagery Lucid Articulative
Color(Themes) Less More
Product Display
Display(Customizabl Not there Present at some Places
e) Future Retail Flipkart

Images/Video Low in Number Mostly Images

Associated Offers Not there Very much Present
User Rating Care Rating(AA-) Satisfactory
Delivery Time Not there on the site Customized acc. to
User
Product Description less Highly displayed
Login Option Not there Present
Payment Option Absent There(Many modes)
 Productivity and Sales Future Retail GMV
Expectation
The Future Retail will see
an investment of 1000-1500
G.M.V. of Flipkart in B USD Cr,from the CEO Kishore Biyani
as to enhance the Retail
12 footprint of the group
everywhere.(2016-17)
10
The Capex (Capital
8 expenditure) for the year will
6 be 700-800 Cr, and some of
10 the money will come from the
4 8 rights issue too.

2 4 Acc. To Mr. Biyani, real

Earnings are 20% of the GMV
0 and there is no real GMV in the
2014-15 2015-16 2016-17
Offline Retail
Year
Sales growth expectations of
29%
 Productivity(Efficiency)
FLIPKART FUTURE
FUTURE RETAI
Logistic Synergies(Myntra+ E-kart
Implementation
UTURE RETAIL Reach & Accesability
Details
FLIPKART
Cities Store Area(
100 Million
MN
Sq. registered
Feet) users(2016)
Big- 118 218 9.7
Bazaar Registered
Easy- 117 320 0.7 Customer Base is
day
63% of the
E-Zone 30 92 0.5
Fbb 31 51 0.5
Broadband-
Food- 4 10 0.1 Connections
bazaar
Food- 3 04 0.07 Acc. To a report
Hall
by Merril Lynch,
Hometo 21 43 1.3
wn the E-commerce
Annual Footfalls Customers-294M
Key Retail Brands-7 Giant will
 Source: Annual
Return on Investment Details
report(2015-16)
Future Retail

FLIPKART FUTURE RETAIL

Flipkart is reporting a loss
of 2,306 Cr. INR in the Financials (2015-16) %Inc./Dec
FY2016
Sales 6844.96Cr. 284.67%
The losses are due to the PBT 14.55Cr. High Inc.
Stagnance in the Interest 49.75 Cr. 2.03times/
performance and thats why 15.57
the reshuffling is done in
Net Profit 14.55Cr. 1.04 Times
the top management
PY.
The ALEXA(114) Ranking Dividend No N/A
is also slipped down at a dividend
low ranking because of the Capital E. 2956.99 Cr. High Inc.
losses
Surplus 51.31 Cr. 115.31%
The M.
return on the
investments for now in the Equity Fluctuating First Inc,
E-Giant are low and on a S.C. Dec.
PORTFOLIO UNDER PORTFOLIO UNDER
FUTURE GROUP FLIPKART
References

http://www.business-standard.com/article/economy-policy/f
ipkart-s-losses-double-to-rs-2-306-crore-in-fy16-on-hand-o
f-amazon-116112800242_1.html

http://www.futureretail.in/pdf/FRL_Annual_Report_2015_16.p
df

http://investors.cognizant.com/2016-10-06-Future-Group-Se
lects-Cognizant-to-Enable-its-Consumer-Goods-Business-to-
Become-a-Connected-Enterprise

http://www.livemint.com/Industry/ZTwORWNPrdDILYD0PnnIpI/
ishore-Biyani-Finally-taking-solace-in-growth.html

http://www.bmcsoftware.in/videos/customer-success/future-
group.html

http://in.reuters.com/finance/stocks/companyProfile?symbo
l=FURE.NS