Amazon, Flipkart Market Leaders In Indian Ecommerce; Paytm Rapidly Losing Customers’ Trust
Paytm is constantly losing on consumer NPS
Research & Advisory firm Redseer Consulting has attempted to find out the top leaders in Indian ecommerce niche, and the results are quite interesting.
While Amazon and Flipkart, two of the largest ecommerce firms in India have been hailed as joint leaders in the race to the top, Paytm has been observed to rapidly losing customer’s trust.
Snapdeal has also shown considerable improvement, while Shopclues is slowly, but steadily climbing the ladder.
Ebay has been found to be ‘least trusted brand’ in the ranking.
Amazon, Flipkart Market Leaders In Indian Ecommerce
Redseer has prepared a report titled The Indian E-Tailing Leadership Index, which covers the months of April, May, June, 2017 for finding out the top leaders of the industry.
And both Flipkart and Amazon have been found to be almost equal in the race.
While Flipkart is the most trusted brand right now, edging past Amazon and other ecommerce brands, Amazon users have the best experience of using their website and app to conduct online shopping.
On the factor of pricing, both Amazon and Flipkart score the same, as the users found ‘Best Value’ in both of these portals.
While Amazon is leading in metro locations, Flipkart is the #1 choice for users from Tier 2/3 cities. And here is the slight advantage for Flipkart, because now, more and more orders are getting placed from these smaller towns, where Flipkart has the hold.
Paytm Rapidly Losing Customer Trust
Meanwhile Alibaba has backed Paytm, which has some ambitious plans to grab ecommerce market share via their Paytm Mall, is witnessing rapid erosion of customer trust.
Net Promoter Score or NPS, which gauges customer loyalty, is an important metrics for any ecommerce firm. And Paytm has been losing on this since last two quarters.
The report says, “Paytm is constantly losing on consumer NPS in the past two quarters due to constant changes in the tech and reducing the customer experience.”
In case of brand recall value, Amazon has clearly scored above Flipkart, due to their increased spending on marketing and advertisement; meanwhile Snapdeal too has improved their brand recall value.
Shopclues too is now increasing their score of consumer trust, but losing out on experience and value metrics.
Overall, Ebay has witnessed maximum reduction in all scores.
Three metrics which Redseer has used for this report on leadership index are:
- Most trusted brand
- Best value for purchases
- Great buying experience
4500 customers were surveyed across 30 cities from metro, Tier 1 and Tier 2 categories; and every respondent was confirmed to be an online shopper, having bought at least one product online in the last three months.
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