Sep 25, 2019
5 min

Big Billion Days 2019: Previewing India’s Annual E-Commerce Festival

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DIpil Das
Each year, Flipkart runs its BBD shopping festival. Like Prime Day and Singles’ Day, BBD is an online event focused on price promotions; it sees participation by major brands and thousands of sellers. Flipkart is India’s biggest e-commerce marketplace and is majority-owned by Walmart. This year, BBD kicks off at midnight India Standard Time (IST) on September 29. The event will run six days through October 4. This year marks BBD’s sixth year since its 2014 launch. Last year, Flipkart grew BBD sales 80% year over year. Billed to Be the Biggest Ever BBD 2019 is set to be the biggest yet, with Flipkart making a greater move into non-tier-one cities and towns to widen its reach. As part of this, it is strengthening its last-mile delivery capabilities. The company has signed on 27,000 kiranas — ubiquitous traditional-format micro-stores . Of these, 17,000 kiranas are designated for last-mile delivery while 10,000 will serve as authorized buy zones for mobile devices and large appliances. The company has doubled the number of pin codes (postal codes) where it offers pick up capabilities to sellers. Flipkart also claims it has improved first-mile delivery by deploying an “allocation engine” to allocate shipments across various delivery channels more efficiently. Flipkart also launched a Hindi-language interface earlier this month, which is expected to enhance accessibility and attract more new users during and after the BBD. The company will also offer more financing options to make purchases more affordable. Kalyan Krishnamurthy, CEO of Flipkart Group said:

Every year, The Big Billion Days marks the beginning of India’s festive season and every year we set out to deliver the best possible experience for our consumers and our lakhs [hundreds of thousands] of sellers. This year, more than ever, we are partnering with brands, micro small and medium enterprises (MSMEs), sellers and artisans to deliver unparalleled selection and user experience to our consumers.

Key Features of BBD 2019:
  • Multiple financing options, including Cardless Credit, Flipkart Pay Later and No-Cost EMIs on leading bank debit and credit cards to boost affordability.
  • Members of Flipkart Plus, the platform’s free loyalty program, will get access to the sale four hours before non-members.
  • More than 10,000 private label products will be on offer in 200 categories.
  • Instant discounts and cashback for select debit, credit and cobranded card holders.
  • New games and contests on the app with rewards up to one billion rupees ($14 million).
  • BBD Specials: Innovative product launches from leading brands.
  • Complete protection plans for mobile devices and appliances.
This will also be the first-ever BBD in which artisans and weavers can participate through the company’s “Flipkart Samarth” initiative, which seeks to offer national market access to local artisan and handicraft communities. Day 1 of the sale will see sales on categories such as fashion, TVs and appliances, furniture, sports, books and smart devices. Key categories for Flipkart such as mobile devices, electronics and accessories will start on day 2. To drive customer excitement, Flipkart has been promoting mobile device offers ahead of the sale, starting September 19. [caption id="attachment_97020" align="aligncenter" width="700"] Source: Flipkart[/caption]   Recap of BBD 2018 BBD 2018 fared strongly:
  • Close to 50% growth in new customers compared to 2017.
  • Captured more than 70% share of the total Indian e-commerce market over the six-day sale period, according to Flipkart.
  • GMV increased 80% year over year while total units sold almost doubled year over year, according to Flipkart.
  • More than one million mobile handsets sold within the first hour of the sale and three million handsets sold on day two.
  • Fashion shoppers doubled in number and the fashion category grew by two and a half times in revenue terms compared to 2017.
Amazon’s Great Indian Festival At the same time Flipkart will be aggressively promoting its BBD, Amazon will hold its GIF. Amazon Prime members will get early access to GIF deals starting noon on September 28, twelve hours before non-members can access deals starting at midnight, September 29. Amazon will offer discounts and offers on a wide variety of products and claims it will offer the lowest prices on select products. [caption id="attachment_97021" align="aligncenter" width="700"] Source: Amazon[/caption]   Amazon promoted the event earlier this month with three “Festive Yatra” trucks designed to be like a “house on wheels” traveling to 13 cities to showcase Amazon’s product offering and drive customer and seller engagement. [caption id="attachment_97022" align="aligncenter" width="700"] Source: Amazon[/caption]   The event is also set to feature various new product launches as well as attractive deals. GIF 2019: Key Features
  • Smartphones and accessories: Up to 40% off smartphones.
  • Consumer electronics: Up to INR 40,000 (around $565) off on laptops with a 12-month no-cost EMI option.
  • Home appliances: Up to 75% off smart televisions and washing machines along with a no-cost EMI option, attractive exchange offers, installation and free delivery.
  • Amazon devices: Up to 45% off Amazon devices, including Echo speakers, Kindle and Fire TV devices.
Key Insights Following last year’s festive season sales, a report by research firm RedSeer Consulting indicated that online retail grew overall by over 60% to $2.3 billion over the five-day event and that Flipkart accounted for over half of total e-commerce GMV in India during the sales period. Flipkart and Amazon are competing head to head in the Indian e-commerce market; both are ramping up promotional effort in the lead up to their marquee events to capture consumer mindshare, many of whom have delayed purchases in anticipation of the shopping festivals.

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