Flipkart ventures into Social Commerce with 2GUD: Case Study


Homegrown e-commerce company Flipkart ventures into social commerce along with 2GUD. 2GUD is Flipkart’s independent platform for refurbished goods.

This new venture aims to showcase video that shows social experience content from influencers on fashion, gadgets, review beauty, etc. Flipkart has also joined hands with startups like Meesho, Bulbul, Dealshare, Simsim, and GlowRoad.

The main aim of this venture is to bring influencers and online platforms closer by creating a virtual experience of the products and thereby uncovering transactions through recommendations. Influencers can affect the buying decisions of customers.

For example, an expert illustrates how to use a face product or how to carry a handbag. Along with such videos, clickable links of relevant products are aligned that drives user to the seller’s website. Users will be to tag, share, and interact with such videos.

This move came when big market players such as Google and Facebook invested in Reliance Jio Platforms where Jio Mart is a part of.

Flipkart said that, because of the reduced data cost and intensified market of them first-time internet users in Tier2 and Tier3 cities, the company sees an opportunity for social commerce in India.

Head of 2GUD at Flipkart says that the company wants its customer to engage comfortably and build their trust through a good shopping experience. Customers often face a lack of trust and style. In a certain situation, a recommendation from an influencer plays a vital role in social commerce platforms in India. 

Head of 2UD at Flipkart, Chanakya Gupta says that Indian brand Flipkart has a better understanding of consumers’ purchasing patterns, and this has enabled them to stay agile and innovative.

According to industry reports, Flipkart claims that about 15 to 20% of social commerce accounts are online retail markets in India and the company expects a reach of $70 billion in the next 10 years. This type of model has already seen a victory in China by using social platforms like WeChat, Pinduoduo, and XioHongshu. China’s social commerce is expected to reach $283.1 billion this year, with 48 million-plus users.

The social commerce trend has not really engaged in India. Therefore, a question arises will it pick up?
e-commerce consultant and founder of Again Drinks and Indiaplaza, K Vaitheeswaran says that, when big e-commerce player invests in such space, then it would get the popularity among the crowd. He also added that, if Reliance Jio along with WhatsApp starts for promotion, then it would bring a high impact. WhatsApp is the most popular social platform in India with more than 400 million users. Flipkart’s step to the new phase would definitely bring change, but then, it’s really hard to change customers’ habits.

Venture capitalist and head of digital marketing firm Pinstorm, Mahesh Murthy says that Flipkart cannot make real immediate impacts, because the penetration of social platforms in India is lower than the markets of China and the US.

2GUD was launched in August 2018. The platform has product varieties up to 600 plus. 2UD has a download of over a million on Play Store. Similarly, Meesho launched in February 2017, Bulbul, launched in 2019, SimSim, launches in 2019, and GlowRoad, launched in December 2015, also has a download over a million on Play Store.  Earlier this year Flipkart has added three vernacular languages in addition to Hindi and English- Tamil, Telugu, and Kannada.

This social commerce is trending both nationally and globally. And Flipkart is the one among the big market players to try out in India. Earlier this year Paytm has added its social commerce feature cammed MyStore.


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