As of the week ending March 4, 2017, Flipkart accounts for 30.7% of monthly e-commerce users in India (MAU as a percent of our panel), followed by Amazon at 30.3%, and Snapdeal at 10.8%.
This represents a Y/Y: Q1 17 vs. Q1 16 [QTD] decline of 11.5% for Flipkart and an increase of 46.0% for Amazon over the same comparative time frame.
Amazon overtook Flipkart in app penetration at the beginning of December 2016, and captures an install base (as a percent of our panel) of 40.8% compared to 38.4% for Flipkart as of the week ending March 4, 2017.
Time spent in app.
Minutes per active users may be a concern for Flipkart as its measurement has decreased 42.6% for Y/Y: Q1 17 vs. Q1 16 QTD compared to an increase of 14.9% for Amazon over the same comparative time frame.
In absolute minutes, Amazon users are spending 7.6 more minutes on the platform than on the Flipkart platform as of the week ending March 4, 2017 (18.48 vs 10.86) suggesting the breath of Amazon ecommerce offerings and know-how to replicate its successful model is a strong barrier to surmount even for domestic incumbents.
While unique visitation is growing at similar rates between Flipkart and Amazon, growth in unique purchasers, a measure of conversion, is driving Amazon’s ascent.
Among unique purchasers, both Amazon and Flipkart experienced declining growth in Q1 17, yet Amazon captured more than 10x the Y/Y change in growth between Q1 17 vs. Q1 16 (113.1% vs. 10.8%).
Accordingly, sales volumes have shown modest growth (largely flat) for Flipkart over the last two years; Amazon is growing at a faster rate.