The document proposes establishing a logistics company called V-Kart LLP to provide delivery services for e-commerce companies in rural India. Currently, e-commerce has been limited to urban areas due to challenges with infrastructure and delivery in rural regions, which represent a large untapped market potential. V-Kart would fill this gap by providing delivery of products from e-commerce companies to customers in rural villages across India. The summary outlines V-Kart's business plan, including operational strategy, marketing strategies, financial plan, organizational structure, and future goals of expanding to other states and potentially offering an IPO.
3. The problem
E commerce has been the urban entity and rural people has been
deprived of this technology oriented facility.
It has been very challenging for e-commerce companies to provide
service in the rural area despite the fact that rural areas have huge
business potential for e commerce and other companies. There exist
a huge gap between urban and rural supply system.
Companies either lack will to go to rural or they do not have sufficient
infrastructure to enter……….?
If some one can fill this gap then it will be boon for rural areas
and e commerce companies. the solution is to provide a logistic
facility to all e commerce companies who wants to serve in rural
areas to provide overall delivery and distribution of their
products and services so as to help them expand their business
into a profitable one.
solution
4. idea
The idea is to open a logistic company, focusing
mainly on class 3, class 4 cities and special service
to rural India.
So that e commerce companies can deliver their
products to rural customers and expand their
business and rural India can be served better.
5. OPPORTUNITY
E COMMERCE SECTOR
1. INCREASING NO OF COMPANIES
2. INCREASING MARKET SIZE
3. OPPORTUNITY TO REACH BREAK
EVEN POINT
4. DIGITIZATION
5. MODERNIZATION AND GLOBALIZATION
RURAL INDIA
1 . INCREASING POPULATION
2. INCREASING LITERACY
3. SMARTPHONE AND INTERNET
PENETRATION
4. ECONOMIC GROWTH
5. DEVELOPING INFRASTRUCTURE
6. 1. Idea development phase Testing of idea
2. Introduction phase Commercial launch
3. growth phase operational efficiency
4. Expansion phase Operational reach
BUSINESS PLAN
7. COMPANY NAME – V–KART LLP
HEAD OFFICE MUMBAI
BRANCH OFFICE JABALPUR
FIRST OPERATIONAL UNIT JABALPUR ( M.P )
LEGAL STATUS LLP FIRM
NO OF EMPLOYEES 12 ( INITIAL )
NO OF PARTNERS 5
10. OPERATIONAL STRATEGY
1.ORDERS WILL BE IN BULK FROM THE RETAILER.
2.CHARGES WILL BE ON PER KM BASIS INCLUDING ALL
THE COST.
3.IF THE VILLAGE IS FAR MORE THAN 50 KM THEN
A SUB WAREHOUSE WILL BE ESTABLISHED.
4.EACH AND EVERY VILLAGE WILL HAVE A REPRESENTATIVE
ON CONTRACT BASIS.
11. MARKETING STRATEGIES
1. TEST MARKETING - COMPANY WILL FIRST DO TEST MARKETING OF THE
SERVICE IN FEW SELECTED VILLAGES IN JABALPUR AND WILL TRY TO FIND OUT
SPECIFIC NEEDS OF THE PEOPLE AND ALSO WILL UNDERSTAND THE
OPERATIONAL DIFFICULTIES.
2. INTRODUCTION OF SERVICE - ONCE THE SERVICE IS SUCCESSFUL COMPANY
WILL LAUNCH ITS OPERATION ON FULL SCALE IN WHOLE JABALPUR DISTRICT
AND WILL COVER ALL VILLAGES OF JABALPUR
3. EXPANSION STRATEGY - WITHIN 6 MONTHS OF LAUNCH COMPANY WILL
EXPAND TO NEIGHBOURING DISTRICT AND START THE SERVICE THERE ON FUL
SCALE BASIS
12. MARKETING PLAN
COMPANY NAME - V KART LLP
INDUSTRY - LOGISTICS
CATEGORY - E COMMERCE
LOGISTICS
MARKET SIZE - 200 BN. DOLLARS
BY 2020
TARGET MARKET - E COMMERCE
COMPANIES(B2B)
EXAMPLE -
AMAZON,FLIPKART,
SNAPDEAL,ALIBABA
EBAY, JABONG, MYNTRA, VOONIK.
13. MARKETING PLAN
SERVICE PROFILE -
1. EXCLUSIVE SERVICE TO RURAL INDIA AND SMALL TOWNS
2. FAST AND TIMELY DELIVERY OF ALL ITEMS
3. CASH ON DELIVERY FACILITY
4. SECURE AND TRANSPARENT DELIVERY
5. DOOR TO DOOR DELIVERY ANYWHERE
6. COURIER FACILITY
14. MARKETING PLAN
USP - RURAL DELIVERY AT THE SAME COST AS
URBAN DELIVERY.
OCCASION - ANYTIME, ANYWHERE, WHOLE YEAR
POD - 1. SERVICE TO RURAL PEOPLE
2. CASH ON DELIVERY FACILITY
3. FAST AND SECURE DELIVERY
4. ONLINE TRACKING ON REAL TIME BASIS
15. ADVERTISING STRATEGY
1. DIGITAL MARKETING – ONLINE SITES LIKE FACEBOOK ,TWITTER, AMAZON
2. DOOR TO DOOR ADVERTISING – THROUGH COMPANY REPRESENTATIVE IN EACH
VILLAGE
3. OUTDOOR ADVERTISING - POSTERS AND BANNERS IN SMALL TOWNS AND CITIES
4. AMBIENCE MARKETING - WALL PAINTINGS AND SHOPS IN REMOTE VILLAGES
5. T.V AND RADIO - THROUGH TV AND LOCAL RADIO CHANNELS
6. PRINT - LOCAL NEWSPAPERS AND MAGZINS IN SELECTED CITIES
16. S W O T ANALYSIS
STRENGTH
RURAL SERVICE
COMMITTED TEAM
STRONG BUSINESS MODEL
WEAKNESS
NEW IDEA
LACK OF FUND
NOVICE TEAM
OPPORTUNITY
EXPANDING RURAL INCOME
RISE IN MOBILE TELEPHONY
AWARENESS
THREATS
LOCAL COMMUNITY
LEGAL AND ENVIRONMENTAL FACTORS
OTHERS
17. COMPETITION ANALYSIS
INDIA POST – THOUGH OTHERS ARE ABSENT
IN RURAL INDIA INDIAN POST CAN POSE
SUBSTANTIAL THREATS
CONNECT INDIA – A NEWLY STARTED COMPANY
SPECIFICALLY SERVING TO SOUTH INDIA
VILLAGES
OPERATIONAL EFFICIENCIES
EXPERIENCED TEAM
OTHER E COMMERCE LOGISTICS SERVICE
PROVIDERS - E KART ,DELHIVERY ETC
18. ORGANISATIONAL PLAN - V-KART
VISION
OUR VISION IS TO FULFIL
THE NEED AND DELIVER
THE HAPPINESS ACROSS
THE RURAL INDIA AND
AMONG THE POOR'S.
MISSION
OUR MISSION IS TO
PROVIDE SUCH A MEDIUM
WHICH CARRIES THE NEED
AND HAPPINESS AND LET
THE RURAL FEEL THE JOY
OF TECHNOLOGY AND
MODERNITY
19. ORGANISATIONAL PLAN - TEAM
KRISHNA UPADHYAY
CEO,COO
RAJVEER SINGH
CMO
NIRALI DANDIWALA
CHO
AMIT SINGH
CFO
MAHESH NAIK
CTO
20. ORGANISATIONAL PLAN - STRUCTURE
operation
Marketing
department
Finance
department
Human asset
department
IT
department
Sales
department
Legal
department
Operation and
Ware house
management
21. ORGANISATIONAL PLAN – PERSONAL REQUIREMENT
marketing
• Sales manager
• Marketing
manager
finance
• Accountant
operation
• warehouse
manager
• shipper, receiver,
checker, drivers,
inventory
controller, labors
IT
• IT manager
• Electrician
22. IT PLAN
• USE OF IOT IN OPERATION
• MOBILE APP AND WEBSITE
• MONITORING BY APP
• INVENTORY AND WAREHOUSE MANAGEMENT THROUGH SOFTWARES
• USE OF ROBOTS
23. FINANCIAL PLAN
TOTAL FINANCIAL OUTLAY- ( FOR IDEA DEVELOPMENT AND INTRODUCTION PHASE)
FIXED COST - 81 LACS RUPEES FOR ONE YEAR
WORKING CAPITAL REQUIREMENT- 28 LACS RUPEES
OTHER COSTS - 50 LACS RUPEES
TOTAL FUND REQUIREMENT - 1.52 CR.)
24. FINANCIAL PLAN
SOURCE OF CAPITAL -
1.ANGEL INVESTORS - 10 %
2. VENTURE CAPITALIST - 20%
3. LOAN - 30 %
4 OWN FUND - 20%
5. SIDBI AND CROWED FUNDING - 20%
25. FINANCIAL PLAN
BREAK EVEN POINT – 2 YEARS.
SALES FORECAST - 50 LACS .
COMPANY WILL FURTHER RAISE THE CAPITAL FOR THIRD AND FOURTH STAGE IN
UPCOMING YEARS AS PER REQUIREMENT OF THE BUSINESS.
26. FUTURE PLAN
1. INTRODUCTION OF BUSINESS TO OTHER STATES
2. DIVERSIFICATION INTO COURIER SERVICE
3. AFTER FIFTH STAGE OF THE FUNDING COMPANY
WILL OFFER IPO
4. IF THE BUSINESS FAILS COMPANY WILL
LIQUIDATE ALL ITS ASSETS AND WILL EXIT THE
MARKET
5. WILL INTEGRATE THE LOCAL SELLERS REDUCING
DEPENDENCY UPON BIG ONE
27. RISK AND HURDLES
ECONOMICAL RISK
INFRASTRUCTURAL RISK
MARKET RISKS
POOR DEVELOPMENT OF
INFRASTRUCTURE
PPP
INTERNET PENETRATION
SMARTPHONE AVAILABILITY
AVAILABILITY OF ELECTRICITY
EDUCATION AND SOCIETY
28. WHY WE WILL WIN?
NO COMPETITION
VAST MARKET SIZE
INCREASING USE OF TECHNOLOGY
INTERNET AND SMARTPHONE PENETRATION
INFRASTRUCTURE DEVELOPMENT
MOST IMPORTANT CHANGING PREFERENCES AND LIFESTYLE
29. THIS IS GOING TO HAPPEN SOONER OR LATER SO LETS NOT BE LATER……..
THANK YOU