E-commerce marketplace Flipkart says it has had a better brand recall among customers this festive season than its rivals. According to the Bengaluru-based firm, sales on its platform spiked during rival Amazon’s sale during October 17-20, despite it not running any such campaign or offering extra discount.
Higher sales were reported in key categories such as smartphones, electronics, fashion and large appliances. The unexpected jump is making Flipkart course-correct its estimates for the month. With the company’s second sale planned on October 25-28, it expects another large turnout that could help boost sales to nearly four times its monthly sales average.
“What we saw after Big Billion Days (BBD) was a 30 per cent increase in our baseline, but on October 17 we saw a spike in terms of revenue and traffic. While we had not spent on anything, we ensured customers that get great offers throughout the month,” said Smrithi Ravichandran, director of category design and management at Flipkart.
Flipkart’s ads promoting the BBD struck a note with customers, breaking away from rivals Amazon and Snapdeal’s strategy of trying to create an emotional appeal, the company said.
The campaign reached 120 million people who bought 15.5 million products on Flipkart during the first BBD this season.
“It is not always about discounts alone. It should be giving cash to the consumers, because giving gift cards and other things is a roundabout way of doing it. It’s great to get loyalty and repeat customers, but you should not overdo it,” added Ravichandran.
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