E Commerce In India Case Study

Amazon is the world’s largest online marketplace in the world. Amazon provides their services in 14 different countries including Netherlands, United Kingdom, United States, China, Italy, Japan etc. Amazon was founded in 1994 at Washington in the US works in E-commerce and Cloud computing.

About the Founder of Amazon:

Jeff Bezos is an American computer scientist and philanthropist. Born on January 12, 1964, Jeff Bezos founded Amazon in 1994 and also is the chairman-chief executive officer of Amazon.com, the world’s largest online shopping retailer. The company started with selling books online and now slowly it has the widest range of products and services online. Amazon’s recent product is Amazon Prime Videos an online video and audio streaming service for entertainment around the world. Amazon is currently world’s largest online sales company and also largest provider of cloud infrastructure through Amazon Web Services.


Know more about Video Streaming app in India: VOOT-Digital Age Entertainment and Hotstart: Entertainment on the Go.

Amazon In India:

Amazon India was launched in June 2013. Since foreign e-commerce companies were not allowed to hold their own inventory and sell directly to consumers in India, Amazon launched its marketplace model which enabled third-party sellers to trade their products. Since its launch in India Amazon has built a biggest online marketplace in the country.

Challenges faced by Amazon In India:

  1. To understand e-commerce market to the developing country
  2. Study and Understand the issues of running e-commerce website in India.
  3. To analyze how to win over India’s Key emerging markets.

First Choice:

As per a recent survey was done among more than 2000 online consumers Amazon is the first choice for online shopping in India as compared to its competitor Flipkart and Snapdeal. The main reason behind it is their prime service and strong logistics. According to the survey, 80% of Indian online consumers prefer Amazon over any other e-commerce website.Shipping cost, shipping time, product review-ratings, low price guarantee and retailer’s return policy are the key factors for customers while picking an online retailer. From last many years, Amazon has been rated very high at customer satisfaction and consistently increasing the categories of products to purchase which is helping Amazon to remain people’s favorite.

Amazon Journey in India:

After its start in India in 2013 Amazon has come a long way and continue to become the first choice of the consumers. Here are the few Highlights of Amazon journey in India.

  • Since the launch in India Amazon has Invested 5 Billion US dollars in India.
  • Amazon is covering every serviceable pin codes in India for delivery of their products.
  • Amazon has largest storage capacity in India with 41 fulfillment centers across 13 states.
  • There are more than 20,000 Indian sellers on Amazon marketing their product worldwide.


Vishal Ravish

Hi, I am Vishal, I am a writer who is always up for a challenge. A proofreader with an eagle eye for errors. I have more than three years of experience in content marketing. Contact me at vishal@whizsky.com

About Nykaa:

Nykaa is an e-commerce platform for beauty and cosmetics products. Nykaa was launched in 2012 by Falguni Nayar.The platform offers a wide range of category including skincare, makeup, luxury products, fragrances and hair care products for both men and women. Nykaa can be accessed through its website(http://www.nykaa.com/) or you can download the mobile application for Android and iPhone.


Nykaa Founder:

Falguni Nayar:

Falguni Nayar is the Founder and CEO of Nykaa.Nayar was born and raised in Mumbai. Falguni is a graduate of the Indian Institute of Management, Ahmedabad. She worked for Kotak Mahindra Capital Co. for 18 years.

When she left in 2012, she was the managing director and head of its institutional equities business but she wanted to be an entrepreneur.

Read the Case Studies on Startups by Female Entrepreneurs: Craftsvilla, Limeroad, and Shopclues

How Nykaa Started:

After leaving her job from Kotak Mahindra Capital Co. Falguni as looking for business opportunity in India and she noticed a huge gap in the beauty products markets in India. She noticed that the demand was on the top but there were very few places to get the genuine beauty products. So she launched Nykaa with her banker husband Sanjay Nayar.


Nykaa has managed to raise 25 million dollars so far from 7 different investors in 4 rounds.

Series A: In the first round of funding held in July 2014. Nykaa abled to raise 3.4 million dollars.

Series B: In series B round of funding Nykaa raised 9.5 million dollars from series of investors including Michael Carlos, Dalip Pathak, TVS Capital Funds, Atul Nishar, and Harsh Mariwala.

In the third round of funding the company was able to raise 820 million rupees from Harsh Mariwala, Sunil Munjal.

Nykaa Business Model:

The company has an Inventory-based model that has helped the brand to gain its name in the fashion and cosmetics industry. The products are 100 percent genuine and authentic, sourced directly from the brands. Nykaa provides a hassle-free shopping experience, the virtual makeover tool, beauty advice and assistance on the phone, free expert advice and articles on beauty trends and tutorials and celebrity looks.

Nykaa sells more than 35,000 products from 650 brands, both international and Indian, luxury and mass, and is constantly adding new labels to its stock. In 2015, Nykaa introduced her own brand and it has gone on to become a best-seller on the platform.

Nykaa Revenue:

Nykaa’s revenue has grown close to 300% in the last two years. In 2016, it raised a total of 104 crore rupees from investors and the company hopes to break even by the end of this year. The company is also eyeing for an initial public offering in 2020.Nykaa is receiving 15,000 orders a day, mostly from consumers between the ages of 22 and 35.

Nykaa Marketing Strategies:

Nykaa depends on content marketing for their marketing strategy. They provide high-quality content to showcase the global trends that have proved a winning formula for the brand name.On one hand, where Nykaa is using high-quality content to generate traffic on the website, Nykaa uses email marketing and social media marketing for remarketing.Nyka also collaborated with Femina to host the ‘Nykaa.com Femina Beauty Awards’ in 2015 and 2016 to create the brand awareness.






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