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India’s First F-Commerce Company Gifting Happiness’ Marketing Challenges

MARKETING MANAGEMENT
ET Cases, 16.55 minutes
PUBLISHED DATE: 17/02/2015

Teaching Note Preview

India’s First F-Commerce Company Gifting Happiness’ Marketing Challenges


Synopsis

On July 4th 2013, Prashant Jain founded Gifting Happiness, India’s first f-commerce Company in Hyderabad, India. Working towards its vision of magnifying happiness for its customers, within 9 months of its establishment, the start-up team was successful in reaching a diversified clientele through various channels namely e-commerce, f-commerce, merchandizing (licensed merchandize), corporate gifting, tele-gifting and retail stores. The start-up as of April 2014 had its reach in more than 300 cities in India and had garnered more than 10,000 likes on its Facebook page. However, the start-up team was grappling with few challenges and dilemmas related to their strategic positioning, product mix, conversion of Facebook likes and comments to actual sales and integration of its f-commerce to mobile phones. Prashant and his team were confident that with appropriate planning and decisions, Gifting Happiness will have brighter prospects in the long-run.

Prerequisite Conceptual Understanding

Prerequisite Conceptual Understanding (PCU) material is the background material that would aid immensely in mapping the decision areas of this case brief and bring a synthesis amongst the relevant concepts. The participants/students should be encouraged to read this material to benefit from the broader perspectives outlined in the case brief.

This case brief presupposes conceptual understanding of the following. A working knowledge along with the business implications of the following concepts would enable an effective discussion leading to more practical solutions than a mere intellectual exercise.

1. Reinventing Your Business Model1 – To understand the architecture and the constructs of a business model
2. Management Framework Guiding Strategic Thinking in Rapidly Changing Markets2 – to understand the nature and scope of fast changing markets and becoming market-oriented
3. Your Strategy Needs a Strategy3 – to understand the style of strategy needed depending upon the predictability of the changing industry environment and the ease with which the companies can change that environment
4. A working knowledge and business implications of STP (Segmentation, Target Customers and Positioning), Strategic Positioning and Product-Mix

Positioning of this Case Brief

This case brief can be used for either of the following courses/modules:

• Strategic Marketing – to understand the big picture of Positioning (strategic vs product positioning);
• Strategy Course – Business Model Constructs (especially the Customer Value Proposition and Revenue Model)
• Entrepreneurship – The challenges of scaling up a start-up
• Digital Marketing – The use of social media and technology

As this case brief is replete with enough discussion potential in any one of the above mentioned courses and modules, the faculty may choose the front-ending purpose of this case brief and accordingly the other elements can be structured. This case brief however was used in strategic marketing courses.

Expected Learning Outcomes

The pedagogical objectives provide an overview of the learning potential of this case brief. Specifically this case brief would enable the participants to:

a) Understand how an innovative business model can be carved out of a simple yet subtle idea of gifting happiness. Most importantly how an organization’s mission can be structured around an individual’s latent and routine expression i.e. gifting
b) Generate and evaluate the options for a start-up’s scaling up challenges
c) A sense of business logic of integrating and aligning several business functions to deliver the promised customer value proposition

Suggested Orchestration

Before the Case Brief Discussion in the Classroom

To make the classroom learning effective and to ensure that the scheduled case brief’s learning outcomes are appropriately contextualized and conceptualized, students/participants were asked to do the following before they came for analysis and discussion of this case brief:

a) Visit any gifts shop like the Archies’ Gallery (gift store)/Dollar Shop/any gifting websites and Facebook pages of a few companies. It is important to observe how the Facebook page can serve a company’s business interests. Many businesses have their page on Facebook but as soon as the customer clicks on the link it is redirected out of the Facebook page and to the company’s website. This would be helpful for the students to note the difference between e-commerce and f-commerce. They can also observe the following: the location in case of physical store; the promotional activities; the service layout; how much time is taken to serve a customer; the product width and depth; pricing; product customization options, etc.

b) Visit Gifting Happiness’ website and its Facebook site and navigate through the products, services, etc.

This Case Brief has the following four distinct segments:

(a) I Segment - Case Brief – A brief video case study highlighting the five business dilemmas/marketing challenges of ‘Gifting Happiness’. This should be shown in the classroom. However, the faculty should ensure that the students/participants have read the background material/ undertaken a field visit to any one of the gifts store or gifting websites as suggested earlier as this exercise would feed the business logic for the classroom arguments (for 17 minutes)

(b) II Segment – Classroom Analysis/Discussion – The faculty should encourage a meaningful discussion/analysis based on the five dilemmas in the class. Ideally this can be done through learning team presentations followed by an open discussion. Each of the business dilemmas could be presented by a learning team (presenting their arguments and analysis) followed by an open discussion in the classroom (for 30 minutes)

(c) III Segment – Case Response – A brief video (of 10 minutes) showing how these dilemmas were being addresses by the protagonists of ‘Gifting Happiness’. This should be shown in the classroom after the analysis/discussion.

(d) IV Segment – Wrapping Up/Debriefing – To synthesize the classroom discussion and analysis (5 minutes). This segment should be used to highlight all the expected learning outcomes of the classroom discussion/analysis

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Product code: CASE BRIEF-2

This is an introduction to ET Cases' Case Brief on India's first F-commerce company's marketing challenges, by Saritha Kota (Marketing Head, Gifting Happiness), Hyderabad.

Abstract

In this Case Brief, Prashant Jain (Prashant), Founder and Director of Gifting Happiness (www.giftinghappiness.com), India's first F-Commerce Company, shares five engaging and intriguing marketing challenges and decision dilemmas. Gifting Happiness was set up on July 4th 2013, with a vision of magnifying happiness. These 9 months have given Prashant and his start-up team resounding success with very impressive and diversified clientele. The growing team extended its operations to more than 300 Indian cities and having more than 10,000 Facebook likes. Organized around six revenue streams - e-commerce, f-commerce, merchandizing (licensed merchandize), corporate gifting, tele-gifting and retail stores - Gifting Happiness has been grappling with five marketing challenges. Prashant and his team are sure that if appropriate business answers can be found to these challenges, they can pave way for Gifting Happiness' long-term prospects.

Pedagogical Objectives

  • To understand Gifting Happiness' business model, its distinctive customer value proposition and discuss on the efficacy of organizational alignment around its stated customer value proposition
  • To analyze the nature of five business dilemmas - positioning, rationalization of product and revenue streams, Facebook conversions, the third screen (mobile phone, iPad, etc.) integration and content vs intent - and discuss on all the possible solutions for the same
  • To discuss and debate on how F-Commerce can be an innovative business and growth driver
  • To analyze the critical success factors to build the supporting architecture and the ecosystem that would enhance the business appeal of F-Commerce

Positioning of this Case Brief

This case brief can be used for either of the following courses/modules:

  • Strategic Marketing - to understand the big picture of Positioning (strategic vs product positioning);
  • Strategy Course Business Model Constructs (especially the Customer Value Proposition and Revenue Model)
  • Entrepreneurship - The challenges of scaling up a start-up
  • Digital Marketing - The use of social media and technology

As this case brief is replete with enough discussion potential in any one of the above mentioned courses and modules, the faculty may choose the front-ending purpose of this case brief and accordingly the other elements can be structured. This case brief however was used in strategic marketing courses.




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 - Abstract
- Case Brief (Video Case Brief)
- Case Response (Video Case Response)
- Teaching Note
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