Flipkart Expands 'In-a-Day Guarantee' Delivery Service to 50 Cities

Flipkart kicked off its 'In-a-day Guarantee' service with some selective Indian cities last year. The online retailer has now announced that the service is now available in 50 cities.

The Internet retailer giant announced the news on Twitter and said, "The wait is now over! In a day guarantee in 50 Indian cities at Rs. 50! Offer valid for 2 days."

The company as an introductory offer has slashed the price of its 'In-a-day Guarantee' service to Rs. 50 from Rs. 90 for two days on orders above Rs. 5,050.

For those unaware, the 'In-a-day Guarantee' service initially was available to customers in Bangalore, Chennai, Delhi, Hyderabad, Mumbai, Noida and Pune. Now the offer includes Kolkata, Agra, Ahmedabad, Ajmer, Ambala, Bhatinda, Bhubaneshwar, Chandigarh, Chandannagar, Coimbatore, Davangere, Durgapur, Erode, Faridabad, Goa, Gurgaon, Ghaziabad, Hissar, Hosur, Howrah, Hubli, Jaipur, Kanchipuram, Kharagpur, Kota, Ludhiana, Madurai, Meerut, Nagpur, Nashik, Navi Mumbai, Panipat, Panjim, Patiala, Pondicherry, Salem, Secunderabad, Thane, Thanjavur, Tiruvallur, Tiruppur, Tiruchirappalli and Vellore.

In April, Flipkart also introduced a 'Same-day Guarantee' delivery service in select cities, which can be availed by paying an additional Rs. 200 per item and is only available for orders placed before noon.

Earlier in June, Flipkart announced an annual subscription service for frequent shoppers, called Flipkart First. The service is available for interested customers for a subscription fee of Rs. 500 per year.

Notably, the Flipkart First service is similar to the Amazon Prime premium subscription service in the US.

Flipkart last week also launched its first tablet, the Digiflip Pro XT 712, at Rs. 9,999.

Flipkart Reportedly Set to Launch Its Own Tablet on June 26

Online marketplace Flipkart is said to be all set to launch tablet with its own label on June 26.

The Bangalore-based firm, which sells its own brand of electronic and computer accessories like headphones, speakers and pen drives under the DigiFlip range, is expected to launch the tablet under the same label.

While the specifications of Flipkart's rumoured tablet still remain under the wraps, the company is hosting a blogger event on June 26 and has sent out a cryptic invite in form of a jar of tablets.

The move is expected to help Flipkart, which follows the mix of marketplace and inventory-led model (with resellers putting up their wares for sale on the website) to boost its margins in the highly competitive electronics retailing space.

Interestingly, last week, online retailing giant Amazon had launched its first smartphone Fire Phone(First Impressions) becoming the first e-commerce firm to compete in the over $150 billion global market, led by players like Apple and Samsung.

Amazon also has its Kindle range of e-Book readers. Flipkart's move to launch a tablet is also expected to help the e-commerce firm connect faster with its consumers.

Another similarity that Flipkart shares with Amazon is its annual subscription service for its customers.Flipkart First, which is similar to Amazon Prime premium subscription service in the US, is aimed at rewarding registered shoppers, which the company claims are about 18 million for the portal, as well as getting new ones on board.

Like Amazon's Firefly feature on its Fire Phone, Flipkart's tablet is expected to be integrated with features that will enable users to complete transactions with the firm that sells everything from apparel to household appliances to stationery, within minutes.

Amazon's Firefly feature can identify things like books, games, CDs etc., by pointing the Fire Phone's camera at them. It can also capture songs or TV programmes and gives the user options to purchase them.

With this move, Flipkart will compete with global giants like Samsung and Apple, which are leaders in the domestic market too.

However, going by tablet sales data, the growing demand for phablets is eating into the market share of tablets and it is yet to be seen how does Flipkart markets its device to catch the consumer's pulse.

According to research firm CMR, the tablet sales in India declined 17.5 percent to 0.75 million units in January-March 2014 compared to 0.9 million units in the same quarter last year, pulled down by higher demand for phablets (smartphones with displays larger than 5-inches) and BIS certification compliance issues.

However, with the consolidation in the market (as many smaller players have discontinued their products), analysts expect sales to pick up in the quarters ahead.