Population of India

Current Population of India in 2012 -1,220,200,000 (1.22 billion) Total Male Population in India 628,800,000 (628.8 million) Total Female Population in India 591,400,000 (591.4 million) Sex Ratio 940 females per 1,000 males Age structure 0 to 25 years 50% of India's current population Currently, there are about 51 births in India in a minute.

Internet user in India

112 million claimed internet population, 90 million users have been active internet users who have accessed internet at least once a month Further the IAMAI report indicates that the positive internet momentum is likely to continue into December 2011 to notch a higher 121 million claimed internet users mark, largely driven by youngsters in India including school going kids While urban metro areas are at forefront in terms of internet growth points, the smaller towns and non-metros have shown a considerable grouped dominance over the top 8 metro cities.

Internet user Status

Mobile Vs PC Internet users

Demography

Other Highlights
39% of consumers use their mobile phones while watching TV. 42% of mobile consumers claim mobile advertising has introduced them to something new. Advertising on mobile devices has led to mobile gaining tremendous popularity as a viable shopping channel, with 23% of respondents indicating that mobile ads saves time and money 14% of respondents indicating that mobile ads have influenced them to buy via mobile

Usage
Search (87%), Social Networking (85%), E-mail (78%), News (58%), and Education (41%)

Top 10 reasons why people use the Internet

Information Communication Entertainment Work School Relationships Market Sexuality Self expression Ask for help

What People Do online???

Penetration

TRAI: Internet Penetration in India 2011 Report

SHOPPING BEHAVIOR

Time Spent Online

By average Indian -12.5 hrs./day 60% access via internet cafes Interestingly in the 35-44 years age group women in India lead internet consumption over men (13.3 Female vs. 11.6 Male)

Global Scenario
Revenue Growth Projections 1. US Ecommerce Growth rates have been in the 20-30% range over the past decade 2. In India, Broadband Penetration Growth>20%, Plus Revenue Per User Growth >10 % will support sustained Ecommerce growth > 30% 3. Related technologies such as Mobile penetration have grown faster (although later)in India than in US 4. Globalization and Cultural convergence will lead to higher consumption aspirations 5. Adoption amongst Tier3 cities and villages as well as amongst low income groups suggests mass appeal 6. Recent technology Innovations have reduced digital fraud to below retail cash fraud rates 7. There is an immediate opportunity to win customers buying offline after looking for Information Online 8. The total retail sales in India will grow from US$ 395.96 billion in 2011 to US$ 785.12 billion by 2015 9. Currently 3% of retail transactions occur online, which will grow to 7-9% by 2016

Growth of Social Media

Social media users in India are 45,000,000

35000 30000 25000 20000 15000 10000 5000

31,593

15,197

Facebook users

Orkut users

Facebook users in India

31,593,000 > population of Australia 71% are males Past 6 months users have grown by 60% Most popular activity is game Facebook recorded 6.6 Million viewers watching 30.1 Million videos
% of Facebook users by age
2% 5% 5% 9% 1% 11%

Age
13-17 18-24 25-29

30-34

35-39

40-49

20%
47% 50-59 60-69

Money Spend Online

E-commerce in India
Estimated value US $10 bn Value of Indian ecommerce grew by more than 60% According to Juxt report 4 out of 5 internet users shop online (search or buy online), translating into a 50 million strong online consumer base

It is also for the first time that online buyers of non-travel products (13.5 million) outnumber travel ones (8.6 million). Till now online travel used to dominate the online ecommerce in India, which no more is the case
Most of online shoppers purchased mobile phones & accessories (56%), computer hardware and consumer electronics (35% each) and movie tickets (30%). Most bought travel products were train tickets (83%) and air tickets (58%)

E-commerce industry has been growing at a robust pace for past 3 years and is expected to sustain this momentum

Total Market Size

Online Travel Industry Online NonTravel Industry E-tailing Digital Downloads or Paid Content Subscription Financial Services Other Online Services (Incl. Online Classified)

8146

14,030

19,688

31,598
25,258 (80%) 6340 (20%) 2,050 680

6250 (77% of total 10,500 (75%) 14,953 (76%) E-commerce market) 1896 (23% of total 3530 (25%) 4,735 (24%) E-commerce market) 978 1,120 238 290 1,550 435

1200 680 920

1540 1210

2000 1610

Industry Specific
Major Investments in the industry
Company 1 2 2 Flipkart Online Services Pvt Ltd Ixigo.com Snapdeal (Jasper InfoTech) Company Description Ecommerce for Books, Electronics, Music, Movies Travel Metasearch Group deals portal Investor General Atlantic Partners SAIF Partners, MakeMyTrip Bessemer Ventures, Nexus Venture Partners and IndoUS Venture Partners Nexus Venture Partners and Catamaran Ventures SAIF Partners & Others Mangrove Capital Partners Amount raised $150 Million, ($1B Valuation) $18.5 Million $40 Million Date Not Yet declared August 10, 2011 July 26, 2011

3 4 5

Yebhi.com (Bigshoebazaar) Zovi.com Global Online Apparel (FashionAndYou, Deal And you)

Online shoes, apparel, bags, accessories and gift items Private Label Apparel Apparel, Deals, etc

$9 Million

July 21, 2011 July 5, 2011 July 5, 2011

$5.5 Million $4.4 Million

OTA & HOTEL BOOKING

47.5

0.25 0.25

0.50 0.75

0.75

0.75

2.25 2.25

3.5

4.75 4.75 7.25

12 12.5

% USERS BY CITY

BOOKS & ELECTRONICS

> 15 10 - 14.99 7 - 9.99 5 - 6.99 2 - 4.99 <2

0 20 40 60

above 60 45 - 60 35 - 44 25 - 34 15 - 24 below 15 0

20

40

60

%USERS BY INC.(LACS/YR.)

%USERS BY AGE 46.3

7.5 10.0 10.0

0.5 0.5

0.5

0.5

0.5

0.8

1.0

1.3 1.3

1.3

1.3

1.3

1.8

2.5

5.0

6.5

% users by city

SHOPPING

> 15 10 - 14.99 7 - 9.99 5 - 6.99 2 - 4.99 <2 0 20 40

above 60 45 - 60 35 - 44 25 - 34 15 - 24 below 15

20

40

60

%USERS BY INCOME (INR LAKHS/YR)

% USERS BY AGE

53.0

0.25

0.25

0.25

0.50

0.75

0.75

0.75

0.75

0.75

1.00

1.50

1.75

2.25

8.25

8.25

9.50

9.50

% USERS BY CITY

DAILY DEALS

> 15 10 - 14.99 7 - 9.99 5 - 6.99 2 - 4.99 <2 0

above 60 45 - 60 35 - 44 25 - 34 15 - 24 below 15 20 40 60 0 20 40 60

%USERS BY INCOME

%USERS BY AGE

68

1.00

1.00

1.00

2.00

2.00

5.00

6.00

6.00

8.00

8.00

%USERS BY CITY

Demographic Trends
15-24 age group gets 40% traffic Early adoption amongst this Age group which will lead consumption in the coming decade is a good sign Low -Middle Income earners dominate City wise traffic is Maximum from Mumbai, Delhi, and Bangalore About 40% traffic is outside metro and tier 1 cites

Primary customers are Young Graduate Adults

Online Leaders