Flipkart goes into first gear

- Varun Sharma   18-01-2016


Turn of the tide, Flipkart launches car sales online. Your move Amazon/ Snapdeal!

With its biggest market (Delhi) out of bounds under a three-month diesel (above 2,000cc) ban, 95 per cent of the cars in Mahindra’s stock cannot be registered in Delhi. But, a determined Mahindra has other projects on its mind. The Indian automotive giant has announced a partnership with India’s own e-commerce biggie, Flipkart, to book it’s recently launched KUV 100 small SUV online. The booking of the car begins from mid-night of 18 January.

Flipkart has also made a tie-up with carandbike.com (of NDTV) in a bid to book motorbikes (currently only high end Kawasaki’s are on sale) online.

A prospective buyer will be able to go on the Flipkart website and select the city and the dealer to buy from in the online booking. It will then be managed by the dealer – through conventional offline methods to complete the transaction.

The cars, as well as the online platform where it can be booked are catering to the youth of today – who are also potential car buyers. The e-commerce industry is not something that can be ignored in today’s world. Buying and booking online have become an integral part in the life of the shoppers everywhere.

Flipkart had already been selling car and bike parts, tyres, helmets, lubricants, lights and much more. It launched the Automobile category last month that currently has only two sub-categories, namely ‘Mahindra KUV 100’ and ‘Motorcycles’.What makes it even more interesting – the car would be delivered within one month of booking.

This is not Mahindra first attempt to sell its cars online. They were in a pre-launch deal with Snapdeal for the new Scorpio, which garnered it three million hits and made for 100 units being sold. With Flipkart, Mahindra plans to start booking post the launch of the vehicle – when the buzz is going!

”Online today is a must have strategy for all players to respond to the growing demand of their customers who are spread across different cities and towns in the country” said Anil Goteti, VP of Business at Flipkart.

"First time in the automobile category, this exclusive tie-up will allow Mahindra access Flipkart's extensive reach and network to connect with their customers and provide them the ease to book Mahindra KUV100 online," he added.

Apart from online bookings of Mahindra’s new offering, Flipkart will also advertise the car through banner advertisements on its website. The e-commerce gets million of visitors on its website everyday, making it an extremely potent online advertisement portal.

It would be interesting to see how major competitors of Flipkart – Amazon and Snapdeal counteract to Flipkart’s new venture. It is also to be seen if online booking of cars and bikes turns fruitful, for either manufacturer or the e-tailer.