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Pepperfry com Marketing to Manage Customer Experience Case Solution

Solution Id Length Case Author Case Publisher
2374 903 Words (6 Pages) Gaganpreet Singh, Sandeep Puri, Sanjit Kumar Roy Ivey Publishing : W17332
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For Pepperfry operating in the Indian furniture market with an e-commerce, the model was challenging. This was because the customers were still reluctant to conduct online financial transactions and just 18% of the Indian population had access to the internet. In the furniture industry, Pepperfry had a 50% market share which is needed to increase by further enhancing the customer experience and attaining a competitive advantage in this niche category. 

Following questions are answered in this case study solution

  1. Problem Statement

  2. Situation Analysis

  3. 3C’s Analysis Model 

  4. Alternatives

  5. Recommendation  

  6. Implementation Plan

Case Analysis for Pepperfry com Marketing to Manage Customer Experience

2. Situation Analysis

SWOT Analysis


  • Pepperfry was India’s pioneering furniture and lifestyle online retailer which got it the first mover’s advantage.

  • No shortage of investors for opening up experience stores.

  • Strong logistics network that delivered 97% of orders in a country where safe and damage-free deliveries was a challenge.

  • Marketing at airport lounges (innovative marketing touchpoints)


  • The challenge at the hyperlocal level was still damage-free deliveries.

  • High operational costs because of the experience stores that were not aimed at generating in-store sales.

  • High operational costs because of hyperlocal delivery of large and bulky items.

  • Low margins compared to the traditional furniture market.


  • Innovative marketing

  • Improving customer service and securing online transactions

  • Marketing based on free, damage-free deliveries, and a satisfaction guarantee


  • Challenge of slow and negligible internet connectivity.

3. 3C’s Analysis Model 


The customers were skeptical of financial transactions over the internet because of many challenges in the market. Furthermore, the customers had doubts because of the quality of the internet connection which might cause issues in ordering and not enable the customers to look at the product. The experience centers were only located in the large cities and this increased the sales through the online model. Since this was a product category that required thorough research, the customers were well-aided because of the experience centers. 


When Pepperfry was launched, two other direct competitors were launched within a few months. While this posed a threat to Pepperfry, its innovative marketing led it to grab 50% market share of the entire furniture market while 10-15% share belonged to non-exclusive or traditional furniture manufacturers. Investors were more attracted by Pepperfry’s experience center model which is why it attracted an investment that was twice as much as competitor Urban Ladder generated in 2016.   

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