Sydenham Institute Of Management

Studies, Research and

Entrepreneurship Education

Presentation on
E-retail in India

Submitted By:
Anuj Kamble
Sabijit Kumar
Vineet Kakati
Namrata Kappe
Saurabh Kankariya
Gautam Kaul

Introduction
What is E-Commerce?
In a laymans language; purchasing products on the Internet is called
ecommerce.
It is an act of having a commercial activity over an electronic medium.
In simple words, Electronic commerce involves buying and selling of goods
and services over the World Wide Web. Customers can purchase anything
right from a car or a cake sitting comfortably in his room and gift it to
someone sitting miles apart just by click of a mouse.
What is E-retailing?
E-retailing is B2c(business to customers)business model that executes a
transaction between businessman and final customer
Subset of e-commerce
e-tailers Retailers who sell over the Internet

Evolution of E-tailing in India
(before 2007)
Evolution of E-tailing in India
(after 2007)
Market Size & CAGR Stat
E-commerce formats in India
Foreign E-tailers Player in Indian Market
The e-commerce matrix
Business Consumer Government
Business
B2B
Supply Cain,
Wholesalers
B2C
Retailers (Goods
or Services)
B2G
Contract bidding,
Privatization
Consumer
C2B
Public Bidding
marketplaces,
Auctioneers
C2C
Public flea markets
C2G
Public Government
auctions
Government
G2B
Tax and fee
collection
G2C
Tax and fees
collection
G2G
Budget allocation
Business-To-Consumer Business Model
In this form business must
develop attractive
electronic marketplaces to
entice and sell product
and services to consumer
Portal
E-Tailers
Content provider
Transaction broker
Market creator
Service provider
Community provider

Distribution Channel
(Conventional v/s online)
Traditional Retailing network
(Physical Retail store)
E-Retail Network
How the business model of online retailers add
value compared to physical retailers?
Physical Retailers
Advantages
Provides face to face
selling, making shopping an
experience.
Customers get access to
better Product information
through in-store sales
representatives.
Disadvantages
Higher Cost of Operation
Online Retailer or E-tailer
Advantages
Cost Effective: does not have
to invest in physical
infrastructure (store, real
state, sales force) except
warehouse
Provides ease and
Convenience of shopping at
anytime and from any location
Disadvantages
Have to invest in Logistics
operations
Highly competitive
Little customer interaction

Order and Placement Process
ESSENTIALS FOR CUSTOMERS
Delivery network
Acquire a local player to
make the distribution
system easy.
Establish a warehouse in
every major city in India like
Mumbai,Delhi,Chennai,Kolk
ata,Hyderabad etc.
Agent system can play a
vital role to deliver your
product quickly .
Efficient inventory system.
India is a geographically complicated country
and languages varies from state to state so
you need to employ local people for the
product delivery system.
Use effective communication device to locate
your product at a particular instances.
The packaging system should be so strong that
it could protect the product.
Challenges with order fulfillments:
Logistics
Problem area: Order Fulfillment is an important part of
ecommerce Value chain. Most ecommerce providers use
a combination of their own logistics teams and also tie-
ups with leading local logistics.

Based on research, the following leading names in
logistics names were revealed:

1. DTDC logistics (part of DHL ,all India presence)
2. Gati (Maharashtra, Karnataka)
3. BlueDart (part of DHL ,all India presence)
4. VRL Logistics (Karnataka)
5. Aramex logistics (Maharashtra, Karnataka)
6. Vichare courier( Maharashtra)

Most of these provide tracking services for customers
and people are willing to pay a premium for proper
delivery.


Characteristics of Successful E-Tailing

High brand recognition
A guarantee provided by highly reliable or well-known vendors
Digitized format
Relatively inexpensive items
Frequently purchased items
Commodities with standard specifications
Well-known packaged items that cannot be opened even in a
traditional store
Product Categories Suitable for E-tailing
REASONS FOR NOT SHOPPING
ONLINE
Factors to gain Competitive advantage
The Future of Indian E-Retail Industry
Online shopping behavior among Indians
(based upon survey in 4 metro cities)
60% online users in India
visited a retail site in
November 2011.
The number of active online
shoppers is projected to
reach 38 million by 2015
49% online consumer is
young male population
ranging between 21 and 29
years.
Tier-II & Tier-III online
consumers are aspiration
driven.
THANK YOU!