11. E-commerce friendly states
• Top 3 e-commerce states
– Delhi-NCR
– Karnataka
– Maharashtra
• Large states with very little ecommerce
presence:
– Bihar
– Uttrakhand
– Chhatisgarh
• Top 10 cities:
1. Delhi
2. Bangalore
3. Mumbai
4. Pune
5. Hyderabad
6. Chennai
7. Kolkata
8. Ahmedabad
9. Jaipur
10. Panaji
14. Online User base region Wise
South India (31.9%)
West India
(23.5%)
East India
(8%)
Central India
(7.9%)
North India
(28.6%)
South India have 31.9 % of Internet
user base
Karnataka is one of the 3 top e-
commerce states
Through Bangalore you can server
entire south Central and east region.
Through Bangalore you can serve 4
metro cities
15. Region Average income
Per capita in south
India (SDP)25027.75 (US$420) and
in rest of India 23222 (US$390)
Percentage of urban population in
south India 32.82 and rest of India
27.81
Literacy rate in south India 72.87
and rest of India 61
Source: http://pib.nic.in/newsite/AdvSearch.aspx
17. Conclusion
• Bangalore is the most Suitable place to set up
the warehouse
– Demographic support this place
– Online user base is large
– Income group is on the higher end
– Logistically location: Ideally located at the center
of south India, with well connection to all the
other state through national highways and
airports
20. Consignment Model
consignment model based on the following principles:
• Online retailers tied up with networks of merchants to source products.
• They then prepared web catalogs of products offered by their partner merchants.
• Once a customer order was received for any of the catalog items, a notification was sent to the
merchant for its fulfillment.
• The merchant then supplied the goods to the customer, and financial settlement was made
between the online retailer and the merchant for the products sold.
21. The consignment model provides several inherent advantages for an online
retailer:
Requires Limited or no investment in inventory or warehousing.
Delivery of goods generally managed by merchants or third party
providers
Online payment system and settlement with later executed with
merchants
23. Category Decomposition
• Fashion/lifestyle category depend upon the season and
current fashion trends.
• What inventory to keep at which warehouse is accordance to
the seasonal demand of that particular geographical area so
as to ensure optimum level of fulfilment and meet customer's
demand and need.
• Maintaining inventory level, while keeping in mind:
– Current/next season
– Upcoming festivals
– Fashion forecasts.