E-Commerce in India

E-Commerce
 Consists of the buying and selling of products or
services over electronic systems such as the
Internet and computer networks.
Internet in Today’s business
scenario

 Promotion/ awareness
 Web page – a company’s face
 Buying/ selling (e-commerce)
 Making Payments (e-commerce)
 Sharing Information
 Networking
 2.5 billion internet users
User rates
 Market Size of E-Commerce in
India
Category Year 2006-2007 Year 2007-2008
(Figures in Rs. Crores) (Figures in Rs. Crores)

Online Travel Industry 5,500 7,000

Online Non Travel 1,580 2,210

Industry
-e Tailing 850 1,105
-Online classified 540 820
-Paid content 20 30
subscription
-Digital Downloads 170 255
Total B2C/C2C E- 7,080 9,210
Commerce Market
Source: IMRB
Growth of E-Commerce
 Online Travel Industry
 Travel aggregators
 Hotels –booking websites
 Indian Railways
 Non – travel online industry
 Online Classifieds
 Paid Content Subscription,
 Digital downloads
 E-Tailing
 Online Retailer,
 The Online Auctions
Potential of e-Commerce
 Secure future online payment mechanism
 India shining
 increase in both business and leisure related activities
 Increase in the Internet users
 Growth in “low cost” e.g. airlines, banking
 Convenience is becoming priority
 Customization of content and offerings

 More shoppers from Non-Metros

 M-commerce
Distribution Channel
Distribution Channel

Supplier E- Customer
Commerce

Distributor Retailer

Traditional
Channels
Supplier Customer
 Tapping Market Potential
Traditional Market Barriers
 Isolation – distance from market
 Small local markets
 Limited human capacity

Opportunity
 Internet provides “instant” access to
global market
 Contests and competitions
 Cartoons, jokes, trivia, games
Why e-Commerce – Top 6
1. Saves time and efforts
2. Convenience of shopping at home
3. Wide variety/ range of products are available
4. Good discounts/ lower prices
5. Get detailed information of the product
6. You can compare various models/ brands
 Online communities
 Blogs
Feel good and provide special
 Encourage customer loyalty
 Members-only area
 E-club with offers/discounts/freebies
 Appreciate their business

• Keep in touch with your customers

- e-mail on a regular basis
- Newsletters
- Contests
- Notification of new giveaways
 What is not working?
 Not sure of product quality (1)
 Cannot bargain/Negotiate (2)
 Not sure of security of transactions /Credit card
misuse(3)
 Items which require “touch and trial” (4)
 Luxury goods
 Clothes - beyond Tshirts
 Groceries - it works for some people but market is restricted
 loss of value through failure to deliver (5)
 Failure of the web site (6)
 problems with the surroundings, power failure, fire or flooding
 failure of the hardware and the software
THANKS!

Sources:
www.wikipedia.com
www.imrbint.com
www.iamai.in
http://www.stylusinc.com/website/business_models.htm
http://www.indianmba.com/Faculty_Column/FC180/fc180.html
http://www.chillibreeze.com/articles_various/E-tailing.asp
How we did it?
 Internet
 Look for information related to:
 What is e-commerce?
 What are its types?....etc
 Divided the tasks for studying
 Indian prospective
 Looked for articles, studies, surveys,
lectures etc
E-Bay
 Automation of traditional methods of selling
unique items
 Reliability in mode of payments
 Customer friendly company
 Professional services in addition to just plain
selling of goods
 Global reach
 Regional diversification
 Successful advertising