For second quarter in a row, Amazon matches Flipkart’s NPS: RedSeer report

Editor | Sep 15, 2020

It is widely known that Amazon and Flipkart have duopoly of the Indian ecommerce market. Who’s the leader is up for debate. For a long time, Flipkart was the undisputed king, while Amazon held onto its second rank. But the American etailer has managed to scale up in a very short span of time and share the top rank.

Amazon’s Net Promoter Score (NPS) same as Flipkart

Research and advisory firm RedSeer released the first E-tailing Leadership Index (ELI) report in July 2016 for the January-March 2016 quarter. In that period, Flipkart scored 91 and Amazon 87.

A year later, RedSeer’s report for the January-March 2017 quarter revealed that Flipkart and Amazon scored 95. In a year, the Bansals-led company went up by only 4 points, while Bezos’ India unit added 8 points to its score. Both the biggies have the same score across the board, be it buying experience, value proposition or most trusted brand.

The score remained the same – 95 in the April-June 2017 quarter, as per RedSeer Survey. For the second time in a row, the US-based ecommerce giant matched home-grown etailer’s score. The scores of Snapdeal (79), Paytm (77), Shopclues (67) and eBay (56) are way down on the ELI survey report.

Are you wondering what about Amazon’s reaction is to landing the top spot on ELI? Amazon India’s Head Amit Agarwal said,

“I’m a runner. When you run (a marathon), you don’t check after 10m and see if you’re ahead. If you do, then it’s going to be a very long race for you because you might trip. You can’t get satisfied or depressed with a relative metric.”

Amazon set to become the leader?

The introduction of Amazon Prime and Pay helped the online marketplace to accelerate its growth in the Indian market. The company’s smartphone sales broke all sales record. Flipkart had dominance over the smartphones product category. But Amazon says that if all relevant facts and data are taken into consideration then they are the category leader.

The findings of the RedSeer report highlight the fact that we might have an industry leader in the form of Amazon. Indian consumers too prefer Amazon over Flipkart. The company’s fashion vertical has grown exponentially in the first six months of 2017. The company’s FY 2017-18 Q1 sales also increased by 88%.  

All this indicates that Jeff Bezos means business. Back in May 2017, Bezos had clearly stated,

“I assure you that we’ll keep investing in technology and infrastructure, while working hard to invent on behalf of our customers and small and medium businesses in India.”

As far as funding is concerned, Flipkart has over $4 billion of cash on its balance sheet, thanks to the $2.5 billion infusion it received from Softbank. But would that be enough to speed up its growth against Amazon?

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