Flipkart Startup Story
Thinking about how serene it feels to have those things in front of you, as soon as you wish for it. It may look tempting but wasn’t possible till some years ago. But now it is possible and convenient too, with the upgrading facilitates of e-commerce companies and the growing internet web all around the world.
Along with the growing standards of our life we have got very particular about our livings, decors and our lifestyle. But it becomes difficult for us to every time peep into the market for upcoming items and trends. It’s not always possible for us to go on shopping and nobody has got enough time to walk into the markets, stand in the queue and then keep wandering all around the malls and shopping markets to get you one perfect need of yours. Even though ladies out their love shopping, doesn’t it demand so much of your energy and time?
Moreover, we are already suffering from a pandemic like Covid-19, and social distancing is what we are supposed to be following, that means no walking upon the crowded streets or malls, but even if you wish to revise your wardrobe or other essentials, the most appropriate and prominent way could be online shopping, a safest and secured way to shop. One such way of shopping site is ‘Flipkart’.
Flipkart can be a complete personal shopping store at your home, where you can take few minutes to look at the new trends for your wardrobe to our daily essentials and other product categories that can decor your home.
We have already discussed some of the start-up stories in the previous articles, we are again here with one such planned start-up story for you. We always write one statement, ‘no start-ups are easy’ and so isn’t this one. Every start-up is a planned and invested risk, not every start-up gets successful at once, but one with hard work, belief, and fate combines towards a successful one.
In this article today, we are discussing one such start-up adventure of Binny Bansal and Sachin Bansal of Flipkart Company. Have a look at their story, to know their hard work, and a mere inspiration for you.
Flipkart Success Story: India’s Most Popular Online E-commerce Site
Flipkart is an online Indian e-commerce company that was initially started for the book’s sales and now has expanded its hands to every essential product like electronics, fashions and trends, home decors and essentials, groceries and other lifestyle product. Flipkart is one such online shop that provides you with everything from the most costly objects to even a needle box at your doorsteps.
Who are these fellows with Flipkart?
Sachin Bansal who was born and brought up in Chandigarh is an IITian and completed his Computer Engineering in 2005. Soon after his graduation, he took the offer from Amazon as Senior Software Engineer but after 2 years of his job, he quitted his job to start his own venture. Sachin is settled in Bangalore with his wife Priya Bansal and a son.
Binny Bansal is Chandigarh native and a single child to his parents. Even though, Sachin and Binny, both share the same last name but are not related. He is also a Delhi IIT alumni and is graduated in Computer Science Engineering. Presently, he resides in Bangalore with his family and wife. He was hired by Amazon but soon left the company to join the new venture with his friends.
About Flipkart Startup Plan:
Flipkart was started in 2007, soon after they left their jobs to start an e-commerce online company which was huge to risk when the online industry was just upcoming in India. The first headquarter was in Bangalore, their house with Rs. 4, 00,000 of their own. Initially, they launched only of the book’s sales but later expanded it to everything they could sell to the buyer. At the start, they didn’t maintain enough of the book items but to deliver directly to the customers.
It was very difficult for Flipkart to stand in early phases with blunders and failure from investors. Later, they managed to find one investment company that supported the financial needs and funds for the Bansal’s. Though they got a lot of effort invested in their company, they soon realized the domination of other companies which was a big challenge to overcome the mentality to shop online. The renaissance period of internet entrepreneurship, was not so acceptable and everyone else assumed it to be doomed to fail, but soon the company found its place.
Slowly, Flipkart moved towards the trades of online electronics and fashion retailing and soon Flipkart acquired Myntra, which was an online fashion retail store. Flipkart aimed to serve its customers better than the other online companies and hence they used their experience to better their service for their consumers. As new online services were emerging, the online payment system was still not easy for everyone and that is when Flipkart established the ‘Cash on Delivery’ system, which allows you to pay after you receive your product.
Sachin also realized that Flipkart would have to constantly coax and lure customers to increase the sale. He knew that people would not trust him and his product at once and so he revised his policies. In 2011, he proposed the thirty days return policy for the customers.
Soon the company reached its heights and raised capitals impressively, the company grew irrepressibly. The company grew with various allegations and issues.
Flipkart Acquired Companies:
- By 2012, Flipkart acquired ‘Letsbuy’ which was an online electronic retailer, and soon in 2014, it acquired the online fashion company ‘Myntra’ for US$280 million.
- Flipkart in 2014 established its first partnership with Motorola mobility for the smartphones Moto G, along with some other smartphone companies.
- In 2016, Flipkart also acquired some other online fashion companies like Jabong.com for US$70 million and online payment sites as PhonePe to improve services.
- In 2017, Flipkart engaged its capital in Indian subsidiary eBay, and the same year they planned to acquire Snapdeal, but the deal was rejected by the company.
Flipkart Sales and Funding:
- Initially, the company was invested with Rs. 4,00,000 of their own, but later raised their funds from different investing companies like Accel India with US$1 million in 2009 and US$10 million from Tiger Global in 2010.
- Flipkart also raised their funds from MIH and ICONIQ Capital groups.
- The investors kept on investing in Flipkart and the company raised around US$200 million in 2013.
- The reported sales of the company were marked as Rs. 40 million in 2008-2009 and reportedly increased Rs. 200 million in 2009-2010 to Rs. 750 million until 2011.
- Later in 2018, Walmart a US-based company acquired Flipkart’s 77% stake for US$ 16 billion and valuing it at $20 billion.
Awards and Recognition of Flipkart:
In 2013, the Economic Times Awards awarded Bansal’s as ‘Entrepreneur of the year’.
In 2015, they made up to the list as of the 86th richest person in India.
Through all their hard work and patience from the various allegations and claims, Flipkart raised high up to the sky and Bansal reached the success of their start-up. Bansal’s believed in their work and the company at the times when no one other did. In the dominating online companies like Amazon and Alibaba, it wasn’t easy enough to create an identity, but still, Flipkart is the most trusted site of India today.
We always say no start-ups are easy, and this is true for every new venture which involves more drama and apprehension, but only one who believes in oneself and his team can make it up to the sky. Flipkart was started in an apartment with merely 2 employees at work, but today Flipkart employs more than 7000 workers team.
Bansal’s have made up to be the richest person list along with it they have succeeded to make a multi-billion worth company to its heights when not everyone has the gut to put everything they got for a dream.
Hope this story inspires you more like other start-up stories. Keep dreaming and working hard enough to achieve it.
