The ongoing festival offers and discounts have made customers throng e-commerce and m-commerce players like never before. Main players like Amazon, Flipkart and Snapdeal also organised or planning special days like Big Billion Sale, with promised offers and big discounts on several items. However, according to a research report, in exclusive deals on mobile phones, Amazon offered 70% of the most preferred smartphones and thus was far ahead than its nearest competitor Flipkart.
As per Ugam, smartphones is an important category for online retailers, and online exclusive models account for almost 75% of total online smartphones sales in India. "The Indian ecommerce war is more intense than ever. Today, stellar growth is no longer enough; winning market share is key", said Mihir Kittur, co-founder and chief innovation officer at Ugam. The firm provides market research, analytics, and online marketing services for online retailers and comparison shopping engines.
The analysis of 31 exclusive smartphones offered by Amazon India and 29 exclusives by Flipkart by Ugam, the managed analytics services provider, demonstrates how retailers can assess their online assortment and pricing to improve their competitiveness during peak shopping seasons.
According to the analysis, Amazon offered majority of the top 20 most-preferred exclusive smartphones. Based on online shopper intent data, Amazon offered 70% (14 out of 20) of the most-preferred exclusive smartphones. This includes smartphones such as the Moto G Plus, Lenovo Zuk Z1 and the OnePlus2.
What, as per the analysis is interesting is almost half of the top exclusive smartphones on Flipkart were also available on Amazon. This includes Lenovo K3 Note, LeEco Le 2, and the Lenovo Vibe K5, however, Flipkart was priced lower than Amazon was for two out of those three smartphones, Ugam says.
The analysis by Ugam shows that (deals on) Amazon were priced the lowest for more than half of the exclusive smartphones available on both websites. It says, "Of the 60 exclusive smartphones we analysed, 17 exact models were available for purchase on both Amazon India and Flipkart. Amazon was priced lowest for 53% (9 out of 17) of these exact smartphones."
Even the exclusives offered by Amazon were priced lower than the models with similar specifications available on Flipkart. "Out of 31 Amazon exclusives, Flipkart had 29 smartphones that were similar in specifications. Of these, 28 were available for purchase. We found that Amazon's exclusives were priced lower for 57% (16 out of 28) of the models with similar specs available on Flipkart," Ugam added.
However, Flipkart's exclusives were priced lower than the models with similar specifications available on Amazon. Ugam says, "Out of 29 Flipkart exclusives, Amazon had 9 smartphones that were similar in specifications. We found that Flipkart's exclusives were priced lower for 67% (6 out 9) of the models with similar specs available on Amazon."
To identify the trending products, Ugam first selected all the exclusive smartphone models available on Amazon and Flipkart as of 28 September 2016. It then used Ugam's proprietary big data platform to collect and aggregate consumer demand data such as the search volume, social media signals, and online reviews and ratings, which calculates a popularity score for each product called Shopper Intent Score (SIS).
Ugam says, the availability of similar products was identified by checking which smartphones on a competitor's site has specifications similar to an exclusive smartphone. These specifications include the screen size, operating system, processor type, storage capacity, RAM and battery capacity. Ugam then tracked prices for matched products across Amazon and Flipkart to find out which retailers are priced the lowest as on 6 October 2016.
"Retailers should leverage online shopper intent signals, such as search, reviews, ratings and social media data to inform better selection and pricing decisions and, thereby, drive a competitive edge in this ultra-competitive landscape," Kittur from Ugam added.