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Individual Franchise

Business Proposal - 2020


E-Commerce Penetration in India

Inspite of the rapid growth of E-Commerce in India, less than 10%


of the people shop online. The numbers are even less in the rural
India.

Low penetration can be mainly attributed to 3 factors


❏ Lack of knowledge & awareness
❏ Lack of trust on the products bought online
❏ Lack of required digital infrastructure (Internet Banking / Cards)
The Solution

Amazon Easy is a program which creates a network of physical stores,


setup by local entrepreneur. These stores enable small town
customers take their first step on amazon seamlessly with “Active
Shopping Assistance”.

All these stores


❏ Will help the customers choose the right product & place orders online
❏ Will help the customers with returns and replacements if required
❏ Will not maintain any inventory
Business Model
❏ Commission on every sale of Product / Service that happens in your store.
❏ The commission depends on the cost & type of the product sold.
❏ Payouts are done in a payment cycle of 60 days.

Example: All the sales made in January, commissions will be paid on March ending. This is to account for the
returns and replacements.

Jan -> March Ending


Feb -> April Ending
Mar -> May Ending… And the cycle continues
Business Model

Total Earnings

Fixed Commission Incentives

Commission Regular Monthly


Incentives

New Customer Bonus Sale Time Incentives


Different Earnings Explained

Commission: A fixed % based on the product category. For example, selling a washing machine
gets you a commission of 6.75%

So, if you sell a washing machine worth 20,000 Rs, you get a commission of 1,350
Note: You won’t get the commission on GST component of the product price.

NCB: For every new customer who places their first order from your store, you will earn a total
commission of Rs 175.

NCB after
1st order : Rs 96
2nd order : Rs
37 3rd order :
Rs 37

2nd and 3rd orders can be placed by the customer himself and you’ll still get the NCB for it.
Incentive Earnings Explained

Sale Time Incentive: Amazon conducts large scale sale events across the year.
During every sale the stores will be given a target based incentive. Exact incentive structure will
be communicated before the sale.

Regular Monthly Incentive: Regular monthly incentive program is on across the year, Where a
store is rewarded on achieving monthly target.

Example: Achieve a total of 4000 Points and win Rs. 3000.


Note: Incentives are given on top of commissions and NCB.
What is an Amazon Easy Store?

Amazon Easy stores are the flagship franchise stores of Amazon


that are designed by Amazon and set up by IndiaBuys Store.

These stores will get extensive marketing and business development support
from both Amazon and Multiplier.
This is how a Gold store looks
like

Outside View
This is how a Gold store looks
like

Inside View
What does an Amazon Easy Store Offer?

Apart from the standard commission structure, Easy stores enjoy a


host of
other benefits.

Some of the benefits are mentioned below.

❏ ATL Marketing Support (News Paper Ads, Cable TV Ads, Theater Activation, Van Activation)

❏ Stores are designed and setup by our vendor

❏ Demo products to be places at the store.

❏ Commissions on other Amazon Services like delivery and Amazon Pay Service

❏ Comprehensive training on all aspects of the business


ATL & BTL Marketing Support

ATL(Above the Line Marketing) Support

For top performing Easy Stores, the following marketing support


is provided during large scale sale growth

❏ We will do the wall paintings in your town near the store surroundings.

❏ NewsPaper Ads, Local Cable TV Ads and Theater ads will be run by us promoting the store.

❏ Required videos will be made and will be run by us.

❏ Van Activations and auto announcement will be done near the store to promote Amazon
Easy.
ATL & BTL Marketing Support

BTL(Below the Line Marketing) Support

❏ Store Owners shall be trained to build & maintain a good customer base of a minimum of
1000+ unique families per mandal.

❏ Store Owners will be given online trainings to promote the offers given in WhatsApp & other
Social Media Applications.

❏ Stores will be given creatives & designs and flyers with the best deals & offers available.

❏ The stores are expected to do the door to door marketing with the material provided and set
up a canopy(demo tent) every week.

❏ Daily Top deals will be sent to the store.


Investment Required

Total
Investment
3 Lakhs

Store Setup - 2.75 Lakhs Civil Works - 25,000

Electronics Demo Products Flooring & Glass Facade

Furniture & Branding Material Electrical Fittings & Wall Painting


Investment Required - Store Setup

The investment required has two components. Store Setup & Civil Works.
Store Setup will be done by our vendor, who will visit the store with all the requirements
and set it up with his own labour.

Store Setup cost covers the material cost, labour and the transportation costs involved.
The following material will be provided for each store.

 A Laptop.  Demo Products worth 60K+


 32 inches HD TV.  Store launch kit
 A second screen for customers  All required furniture at store
display.

Store Owner is expected to find a store in a main market area, on the ground floor,
with 3 side flat walls. Min area of the store should be 150 SFT.
Investment Required - Civil Works

The following civil works are expected to be done, is included in the Franchise cost.

Grey Painting on the walls without lappam.

Front Facade with glass : 1" MS pipe frame (42" x 108") with Toughened Glass & Bakelite

The Store must and should have these basic prerequisites and if not, the franchise owner
must ensure pay by himself for adhering the franchise store as per guidelines:

A proper Cement/Marble flooring. Not required to be done newly if it’s already there.

These works are expected to be done before the store setup process is started

Electrical Connections, Power Points & fittings like lights and bulbs at the required places
Earning Potential

With 5 to 6 orders/day, a store can make anywhere between


Rs 18,000 to Rs. 25,000 per month.

Earnings is not limited by working capital and hence has a potential


to go much higher with proper business development activities.
Commission Structure for IF Stores
Next Steps

❏ Confirm your interest with a non-refundable deposit of Rs.10,000.


❏ Identify a store space as per the guidelines and get the required approvals to proceed
❏ Complete the civil works as per the instructions given
❏ Pay the balance amount of Rs.2,90,000.
❏ Complete store setup will be done by our vendor
❏ Attend a 1 day training session at a common location.
❏ Take tests and you’re all set to go.
THANKS!
Does anyone have any questions?

TAMIL NADU STORES INQUIRES - CONTACT


-----------------------------------------
info@indiabuys.store
+91 934 620 4315
+91 961 820 1089
www.indiabuys.store
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