Looking for starting your multi-vendor eCommerce website like Flipkart, but don’t know how to start a website immediately? Let’s first see about Flipkart, the architecture of Flipkart website, how does it work?, and which eCommerce technology does Flipkart use?

Flipkart started with the strategy of “Direct Online Retail.” But Indian law doesn’t support FDI(Foreign Direct Investment) in online retail. Therefore Flipkart has now shifted to “MarketPlace Model” which enables third-party merchants to trade goods to customers into Flipkart website.

Now, Flipkart is India’s most prominent online shopping site. It was inaugurated in 2007, and recently it also acquired an online fashion eCommerce Store Myntra for $300 Million. The yearly income of Flipkart is 5000 crore. In the world, among the top 100 sites, Flipkart is positioned 82nd by Alexa, and 7th position as in India.

How Flipkart works? And What is the Business Model of Flipkart?

Here is a comprehensive analysis of the e-Commerce Giant Flipkart’s Business Model for the aspiring entrepreneurs.

Flipkart Business Model:

This online platform is a B2C portal which gives shopping opportunities to the Indian buyers. It enables the merchants to sell their products by providing appealing discounts to its customers who desire to buy them. The customers choose the products what they like to purchase, and that selected items are shipped to them. The merchants get an agreed price after deducting the Flipkart’s commission for their services given to these merchants.

Here is a working representation of Flipkart:

business model of flipkart

Portal –>List merchants who sell the desired products –> Get buyers browsing through the products –> Create appealing deals and discounts –> Buyer shops for the desired products –> Merchant / Flipkart ships the product of consumer –> Product accepted and Not returned back –> Vendor gets his agreed price of the product minus the commission charged by Flipkart for delivering the product.

Hence, the primary source of income model of Flipkart is “X% commission on the total sale value given to the merchant.”

The selling can occur through multiple channels as listed below and for all the sale is accomplished by Flipkart for a particular seller – Flipkart will accredit a percentage (%) cut on the total sale amount excluding taxes.

The different options for selling and buying through Flipkart are through

  • Flipkart Website
  • The Web Application
  • The Mobile Application (Android, iOS, etc.)
  • Affiliate Networks (Review Websites, Bloggers, and Coupon Websites, etc.)
  • Social Websites
  • Telesales (Consumer calling and Placing order – it is rarely happening now)

The percentage of commission varies on the type of product and the kind of sale that Flipkart makes. It may range anywhere from 5% to 20% of the selling value (without taxes and discounts).


Flipkart’s income from other sources:

The eCommerce platform generates revenue not only by the sale of products but also from different income channels. Here are some of them:

Web portal:

The primary source of income of Flipkart is collecting charges for the services from the vendors who use its platform.

Listing and convenience fee:

Another method for getting income to the company are inclusion and convenience charge. The listing cost is gathered from the sellers, and the convenience cost is collected from the buyers for immediate delivery. The convenience fee includes wrapping charges for the gifts. Billings covers the entire income of the company Flipkart.

Logistics:

This is an amount collected from the vendors for shipping their products. It supplies services to its merchants like other delivery companies. The charges of delivery services differ from location to location and the distance needed to be covered.

Digital media:

It also trades advertisements to the vendors or brands as well as different products such as co-advertising, co-branding, etc. The ads are divided into 3 categories:

  • Co-branded opportunities on the Flipkart’s homepage: The slider of the Flipkart’s landing page(Homepage) acquaints a possibility for advancement to the vendors, product launches, and different brands to appear on their page which gets a huge number of views on every day.
  • Co-advertised products towards publications: These are the advertisements that are shared by the daily newspapers and magazines’ front pages and enable the popular brands to promote themselves.
  • Target search results: Where Flipkart decides which vendor’s product to be displayed at the top result

Cash and carry:

This is the wholesale division of Flipkart. The income getting strategies is same as it earns from the B2C businesses. The main difference here is that here B2B transactions take place.

Payment Gateway of Flipkart

The payment gateway of Flipkart is PayZippy which provides payment services to Flipkart. They charge a small amount of cost for all transaction processed. The prices vary for the various modes of payment. It ranges from 0.75% to 1% for debit card and net banking whereas ranges from 1.5% to 2.25% for each transaction made by a credit card. The American Express cards are charged from 3-3.5%. The website will make payment of the transaction fee based on the mode of payment picked by the customer.

Which eCommerce technology does Flipkart use?

The technical working function of Flipkart:

Flipkart is built mainly on PHP, and it gives us to feel as satisfied purchasing as in a real store. At present, the engineers of this website’s program clear that the site is currently high in its responsiveness and low at exposing the inaccuracy of technology which helps the e-commerce store to keep up the selling.

  • According to reports, an ex-Flipkart engineer revealed that it doesn’t depend on any firmed technology stacks, only finds out a tool which is a problem solver and flexible. He had utilized Java, Scala, and python for different projects while he worked at Flipkart.
  • All their software run on Linux – Debian and most of the other systems are not developed ever in Java. However, they take JVM for their utilization.
  • Flipkart uses MySQL for data storage, and for caching it uses Memcached. The company has estimated large No SQL data stores to determine the best for the production.
  • Flipkart uses Hadoop software for different projects, and make it simplifies for evaluation and data management.

How to build an eCommerce website like Flipkart:

1. Domain and Hosting

For a best eCommerce website like Flipkart, we require proper hosting server because it should have the capacity to handle the load of users. These hosting servers will be expensive. We need VPS hosting or any dedicated one. VPS Hosting is one of the types of web hosting accounts you can choose from to host your website online.

2. Design of a website

The design of a website is significant. Because a site’s theme attracts a lot of visitants. Take a design which is mobile friendly and plan a site architecture carefully. The difference in user experience is one of the primary reasons that reveal the disparity between the highest and lowest conversion rates in any industry.  

Here are six web design strategies for assuring your e-Commerce website is in the service of your sales objective.

  • Anticipate What Your Customer is Looking For
  • Give Your Website a Personality
  • Group Products Together
  • Leverage Quality Photography
  • Optimize the Purchase Process
  • Design for Mobile

3. Select a proper Payment Gateway

Picking a right payment gateway is the important thing that must be viewed prior launching an eCommerce website. Digital payment methods have become an easier to work within the past decade.  So, choose a proper payment gateway which allows making payments directly from your site as well as helps users to pay directly using their credit cards and debit cards.

After knowing the working functionalities, your next question will be how to start a website like Flipkart. All you have to focus on is a feature-rich, scalable, open-source platform which gives you with versatile and powerful features to customize and handle both the front-end and back-end efficiently. We can utilize leading technologies using WordPress or Magento eCommerce platform to develop it as they have plenty of features that make it possible for to build a website like Flipkart.

ionwe eCommerce solution
How can ionwe help you to create an eCommerce website like Flipkart?

ionwe lets you run an eCommerce business with the latest technology trends, without significant investments and time-consuming deployments.

Picking a ready-made online store like ionwe does not acquire expenses on licenses purchase, installations, equipment or needed adjustments – the opening costs are pretty small for startup, and of all, it is the one-time price!

Assured that, the change of the storefront does not need the employment of many people as you can do it by yourself. Even the small graphic details can be managed separately in the admin panel of a store for no difference – be it a banner, a tiny logo or an icon!

Why do you choose ionwe for your multi-vendor marketplace?

ionwe believes that each business, objective of its size and turnover income, has a different purpose and trading points to deliver the best to their clients. Our USP is to enable our customer base with a readymade software application that empowers them to market better and hold their clients with an easy-to-go platform.

ionwe ecommerceionwe allows offline retailers to develop their own online storefront with fully-integrated, easy to manage, and ready-to-go eCommerce platforms to run a successful eCommerce store without the need for any technical knowledge. We have assembled a group of professional experts who have different skill-sets and cross-functional thoughts in building powerful conversation optimized eCommerce stores that drive increased sales.

At ionwe, there is no necessity of having monthly commitments or any other excess payments. And you will get 100+ pre-loaded features to get your eCommerce store up and running effortlessly!

How your Multi-seller Marketplace Store will look like?

Multi-Vendor shopping cart provides the multi-seller functionality making various vendors sell and maintain their products in a common storefront.

features of marketplace

Features you get when you create an eCommerce website like Flipkart with ionwe:

  • Free Demo
  • 24*7 Support
  • 100% Source Code
  • All-in-one Platform
  • Fully Customizable
  • No Monthly Commitments
  • Dedicated dashboard & admins can easily manage vendor account
  • On-demand iOS & Android mobile applications
  • Simple mechanism to calculate individual commissions
  • Options to set national & international shipping
  • Hassle free admin options for marketplace owner & vendors
  • Live chat & support

User-Friendly Features:

  • Wishlist or buy later
  • Easy sharing opportunities to Social Media
  • User reviews, comments & product ratings
  • SMS and Payment Gateway Integrations
  • Versatile online payment methods including COD, debit & credit cards
  • Logins through social credentials for shoppers and sellers

Powerful Features for Admins:

  • Manual or Auto-approval of Vendor accounts by admin
  • Manual product approvals by shop administrator
  • Control on ‘Stock available’ or ‘Product sold’ count
  • Show/Hide new product or category
  • Enable or Disable individual profile pages of vendors

Powerful Features for Sellers:

  • Multiple language options
  • One page checkout
  • Countless seller accounts
  • Enable or disable review/rating options
  • ‘Seller vacation mode’ available for enabling or disabling products
  • Individual vendor SEO friendly URL’s
  • Unique seller profile to manage vendor’s information


Perhaps, if you want to create your eCommerce website like Flipkart or you need to know how to develop a multi-vendor eCommerce website, then get in touch with us here or call us to +91 9884203777 for a quick inquiry!.

Get connected to us to build your eCommerce marketplace website!

Visit www.ionwe.com and live chat with our specialists who will answer all of your queries about how to build an eCommerce website like Flipkart using ionwe multi-vendor eCommerce platform!

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