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Spotify is a digital music service that gives you access to millions of songs.
Flipkart is an e-commerce marketplace that offers over 30 million products across 70+ categories. With easy payments and exchanges, free delivery, Flipkart makes shopping a pleasure.Flipkart Integrations
It's easy to connect Spotify + Flipkart without coding knowledge. Start creating your own business flow.
Flipkart is an e-commerce website founded by Sachin Bansal and Binny Bansal in 2007. It was started as an online bookstore but later it expanded to sell mobile phones, laptops, camera, video games, consumer electronics etc. Flipkart bought Myntra in 2014 to start selling fashion apparel, accessories, footwear etc. The website has over 80 million registered users and 1,00,000 sellers. It employs over 32,000 employees and has 1,40,000 delivery personnel. Flipkart also acquired eBay India operations in 2017. Till date it raised total $4 billion investment from various investors.
Spotify is a music streaming service which was founded in 2006 by Daniel Ek and Martin Lorentzon. It is headquartered in Stockhpm, Sweden. Spotify has over 159 million users worldwide. Its competitors are Pandora and Apple Music. Spotify also launched its own hardware called ‘Spotify Smart Speakers’ which are WiFi enabled speakers that can play music via Spotify account. The speaker can be paired with other devices like mobile phone, laptop or tablet through Bluetooth technpogy. Spotify also launched its own app called ‘Spotify Connect’ which allows users to send audio content to their speakers or home entertainment system wirelessly from their smartphones or computers.
Flipkart needs to improve its customer experience and its supply chain capabilities in order to be a major player in the Indian e-commerce market. For this, Flipkart should acquire Spotify since the acquisition will help it in integrating the two companies’ technpogies and brands to strengthen its primary business of e-commerce. This will lead to better customer experience and will help in improvement of supply chain capabilities. This integration will move Flipkart from being a marketplace for third party sellers to being a platform with a strong brand identity of its own with a large number of customers. Spotify has 160 million customers globally and a user base of 30 million in India alone. By acquiring Spotify, Flipkart can afford to lose customers who were using Spotify for free and hence will not be impacted much by the loss of customers. In addition, integration of two companies will increase customer retention rate by providing value added services with the purchase of product from Flipkart through the integration of both the companies’ technpogy. Customers will not have to download multiple apps for listening to music or checking out their favorite items from Flipkart’s website and then listen to the music on Spotify separately. Integration of two companies will also help Flipkart in minimizing costs and enhancing revenue generation. Moreover, this acquisition will help Flipkart improve its valuation and increase its market share by increasing the company’s revenue and profitability level. Lastly, this integration will allow more than 1 million sellers on Flipkart’s platform to monetize more effectively through Spotify Connect, which is an audio technpogy that connects users’ devices to wireless speakers and home entertainment systems so they can play the music wherever they want. Integration of these two companies will provide greater choice of music on users’ device and will also provide them with more choice at lower prices.
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