eStoreBuilders aims to become the number 1 online sales and distribution company in India within 3 years. It will focus on selling online store builder services to fashion, furniture, handicrafts, and jewelry manufacturers. The business plan outlines strategies for customer acquisition, revenue generation, organizational structure, and financial projections. It forecasts rapid customer and revenue growth over 3 years under 3 options, with the potential to become profitable in the second year and achieve over 200% revenue growth in the third year. Challenges include reducing order cancellations and maintaining high resource utilization.

1. ESTOREBUILDERS
Business Plan

2. CONTENT
▪ Introduction
▪ Introduction
▪ Why this business
▪ Opportunity and solutions
▪ Marketing scenario
▪ Business Plan and Strategy
▪ Financial Projections
▪ Customer acquisition Forecast
▪ Revenue Forecast – Option 1 & 2
▪ Start-up fund required
▪ P&L – Option 1 & 2

3. INTRODUCTION
Business Plan - 2015

4. INTRODUCTION
eStoreBuilders mission is to provide creative tools that help anyone give a voice
to their ideas. From the designer and engineer who are creating the next
generation of web and mobile experiences, to anyone putting a website
together for the first time. We provides elegant solutions that set new
standards for online publishing.
We wish to become a Marketing and Distribution company in Online space like
HUL.
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2016
4
500
Sellers/Brands
500 million Top-
line Revenue
Number 1
Online Sales and
Distribution
Company
Objective – 3 years

5. INTRODUCTION-CONTINUED
eStoreBuilders will focus on four key markets to sell our online ecommerce store builder services to:
 Fashion Apparel/accessories manufacturers and traders
 Furniture and other high margin product manufacturers and traders
 Handicraft items manufacturers and traders
 Fashion jewellery manufacturers and traders
Our most important group of customers are small and mid sized manufacturers and traders within the above for segments.
What products or services are offered
 Complete e-commerce website design and development
 Brand development and category management
 Establish and manage online sales channel
 Marketing (Online and Offline
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Our mission is to provide a one
stop shop for business owners
who want to set their e-store but
unable to manage hassled
registration and setup process.

6.  India is the 2nd largest e-tail market
 e-commerce business is growing at 34% CAGR and expected to cross $22 billion by 2016
 Eye candy for Venture capitalists
 Only 10% of total population of traders / manufacturers are selling online.
 Tremendous revenue opportunity, % commission per transaction
 Estimated growth at 20% CAGR in next 3 years
 Less production and infra cost
 Opportunity to become Global company in 2 years
WHY THIS BUSINESS?
Eye-Candy for Venture Capitalists
and Foreign Investors

7. OPPORTUNITY
 90% manufactures/traders want to sell online
 Most of them are less educated (domain) or have limited bandwidth/exposure
 Non-friendly legal formalities
 Non-friendly merchant registration processes of market places like snapdeal, flipkart etc
 They don’t want to put fixed recurring cost by hiring manpower to manage this
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7
Tremendous
growth
opportunity

8. THE SOLUTION
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2016
Ecommerce website design
and development
Design
Product photo-shoot
Technology
Content
Category Management and
brand identity
Consultation on current market trend
Most sellable category demarcation
Product development suggestions
Brand Consultation
Brand Building
Sales and Logistic
Management
Registration on all leading market places
Manage inventory
Manage promos
Collaboration with merchant managers
Incremental sales
Marketing
Offline and Online Marketing
SEO and PPC
Social Media store
Collaboration with banks/reward companies
for exclusive partnerships

9. Webstore—From local to global
▪ Professional catalogue and order management
▪ Integrated product data management, web content management, and order management
▪ Optimized search and navigation functions for a smoother shopping experience
▪ Targeted marketing with the eStoreBuilders solutions
▪ Customer interaction via social networks and social commerce functionality
▪ Support for multiple languages, currencies, payment methods, and tax
WHAT ELSE
ESB will build an exclusive white label/private
label ecommerce Store

10. Mobile commerce—Shopping cart always on demand
▪ Support for all UI concepts: touchscreen, keypad, stylus, voice control, etc.
▪ Auto-adjustment of display resolution and aspect ratio for an optimum shopping experience
▪ Images and videos streamed in the right sizes
▪ Optimized download times
▪ Consistent brand communication also in the mobile channel
▪ Native support for all HTML5-enabled devices
▪ Support for all common operating systems
▪ Support for optimized websites (Responsive Web Design), mobile web apps, and native smartphone
apps
WHAT ELSE
ESB will build an exclusive white label/private
label ecommerce mobile app

11. Social commerce—Friendship pays
▪ Set up fully commerce enabled storefronts on Facebook.
▪ Get your customers to “Like” or “Follow” your brand.
▪ Get users to generate content for you with product reviews and ratings.
▪ Go international through social networking’s viral capabilities.
▪ Protect your brand in customers’ forums and communities.
▪ Target users by demographic with personalized promotions.
▪ Get your customers to ‘share’ their purchases with their friends.
▪ Maximize social loyalty rewards programs, apps and widgets.
WHAT ELSE
ESB will build an exclusive white label/private
label Social media pages to drive traffic and
increase sales

12. Benefits of the model:-
▪ Easy decision thanks to low initial investment – Our performance-linked pricing model will ensure low
and predictable project costs.
▪ Enhance competitiveness by reducing risk – We handle all activities associated with distribution to end
customers, thereby dramatically reducing the risk exposure.
▪ Learn from our experience – With our full-service solution, brands can leverage eStorebuilder’s
extensive experience across the entire process chain, not just our technical skills.
▪ Retail Practice growth services— Our industry experts will work with brands to develop strategies for
consumer engagement and opportunities for growth.
▪ Flexibility and scalability – Brands e-commerce site is readily scalable in any direction and at any
time—in terms of region and features, as well as integration with other IT systems and adding
performance to keep pace with sales.
▪ Own a Brand– Owning and growing own brand gives immense pleasure. With our team of brand
consultants, we’ll create brand that will give customers a new identity.
BENEFITS FOR CUSTOMERS

13. THE MARKET
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India’s growth potential
Since the eCommerce industry is fast rising, changes can
be seen over a year.
The sector in India has grown by 34% (CAGR) since 2009
to touch 16.4 billion USD in 2014.
The sector is expected to be in the range of 22 billion
USD in 2015.
Around 75% of Indian internet users are in the age group
of 15 to 34 years. This category shops more than the
remaining
population. Peer pressure, rising aspirations with career
growth, fashion and trends encourage this segment to
shop more than any other category and India, therefore,
clearly enjoys a demographic dividend that favours the
growth of eCommerce.

14. THE MARKET
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2016
14
By 2020, eTail in India is expected to account for 3%
of total retail. While the share of online shopping in
total retail has increased at a fast pace in the last few
years, it is still miniscule
compared to the figure in China, where the share is 8-
10%.
Further, orders per million are expected to more than
double from five million in 2013 to 12 million by 2016,
which will mean more opportunities for both
consumers and eTail companies.

15. THE MARKET
Online business models
To get the maximum benefit from eCommerce business, a large number of companies are adopting different
innovative ideas and operating models including partnering with online marketplaces or setting up their own
online stores. Some key operating models include the following:
• Marketplace and pick-up & drop is a model where sellers often partner with leading marketplaces to set up a dedicated online
store on the latter’s website. Here sellers play a key role of managing inventory and driving sales. They leverage on high traffic on
the marketplaces’ website and access their distribution network. However, the sellers have limited say on pricing and customer
experience.
• Self-owned inventory is a model where the eCommerce player owns the inventory. The model provides better postpurchase
customer experience and fulfilment. It provides smoother operations due to ready information on the
inventory, location, supply chain and shipments, effectively leading to better control over inventory. On the flipside, however,
there are risks of potential mark downs and working capital getting tied up in inventory.
• Private label reflects a business where an eCommerce company sets up its own brand goods, which it sells through its own
website. This model offers a wide-ranging products and pricing to its customers and competes with branded labels. Here,
margins are typically higher than third-party branded goods.
• White label involves the setting up of a branded online store managed by the eCommerce player or a third party. The brand
takes the responsibility of generating website traffic and providing services by partnering with payment
gateways. It helps build trust, customer affinity and loyalty and provides better control of brand and product experience.

16. THE MARKET
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2016
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Investments in the eCommerce sector
With the new government being elected, business confidence has
significantly improved. In 2014, investors aggressively funded the
eCommerce sector due to strong growth prospects. Several of India’s blue-chip PE firms, which previously
avoided investing in eCommerce, are now looking for opportunities in the sector.
Average Foreign investments in
Indian eCommerce sector is $5
million
Biggest gainer is Snapdeal and
Flipkart

17. DOMESTIC MARKET FOR ESTOREBUILDERS
Region Demand (INR Cr)* % Market
Fashion and Apparels 1700 17
Electronics 1500 15
Fashion accessories
and jewellery
1800 18
Furniture and Home
livings
415 4
Others 4400 45

18. CUSTOMERS
Potential customers
▪ Manufacturers
▪ Traders
▪ Exporters
▪ Want to be Entrepreneurs
▪ Wholesalers
▪ Retailers
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19. COMPETITION AND ADVANTAGE
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Market Size and Competition
Fashion being a vast category in India, it was worth $40 billion in 2010, now it is worth $60 billion. The
potential is immense as this category is mostly unorganized. Hence, there is a massive opportunity for fashion
brands and labels to crop up and take a piece of the pie.
Managing a fashion brand brings with it many challenges, and by leveraging the eCommerce boom in India,
this aspect adds more complexity to existing challenges. There is a need for solutions to help and support
these brands to run their businesses effectively and efficiently. Hence, firms such as this have some potential
in the country.
The competition for eStoreBuilders-like businesses is also immense. There is a long list of SaaS companies
that help retailers to go online on their own web store like Shopify, BuildaBazaar, Kartrocket, Zepo,
Powerstores, Eshopbox etc. and some even provide integration with the marketplaces. At the same time
there are also ERP solutions providers like Unicommerce, Browntape, Vinculum, Primaseller etc. for inventory
management and other operational management functions. Looking at the potential of online retail in India, a
healthy competition is this area will help in enablement of the same.

20. WHY WILL CUSTOMER BUY
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2016
20
Low entry
cost
Competitive
Commission
Revenue
assurance
Experience
to sell

21. BUSINESS STRATEGY

22. BUSINESS STRATEGY
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22
Target Segment Small manufacturers, Retailers, Wholesalers, Traders, Stockists, Want to
be entrepreneurs
Sales Channels Direct sales team, Alliances with Associations, Channel Partners, Small
ecommerce market places
Lead Generation Events, Seminars, Offline Marketing, Online Marketing, Tele-calling,
Alliances with associations etc
Target Geographies Delhi NCR, Jaipur, Surat, West UP, Kanpur, Punjab, Haryana, Tirupur,
Madurai, Orissa, Bihar, Nagpur etc
Acquisition Strategy Assurance of increased and established online sales channel without
tempering current bandwidth
Revenue Channels Transactional commission, up-selling, database selling, seller support,
registration fee etc.

23. REVENUE MODEL
Registration
Fee
Up-selling
and recurring
earnings
Transactional
Revenue
Database
Selling and
Seller
Support

24. EXPANSION PLAN
Phase – 1
• 50
Sellers
• Delhi
NCR +
5 cities
Phase – 2
• 100
Sellers
• North
India
Phase – 3
• 200
Sellers
• West
India
Phase - 4
• 500
Sellers
• PAN
India
• Funds
Raised

25. ORGANISATION STRUCTURE
Business Head
HR&OPS Technology Expansion
Sales Head
Direct Sales
Team
Indirect Sales
Team
TeleMarketing
Delivery Head
Digital
Marketing
Fulfilment
Seller Support

26. CHALLENGES
▪ Reducing Returns/Cancels by collaboration between Seller and Market places
▪ Maintaining high resource utilization for better profit
▪ Expansion or tapping Tier – 2 and Tier – 3
▪ Brand identity creation and promotion
▪ Aligning with current market trends
▪ Hiring good and required talents within budgets
▪ Managing logistics and warehouses
▪ Achievement of Target number of sellers as per plan
▪ Flow of equity on time to expand
▪ Investors expectations on Fast ROI

27. FINANCIAL PROJECTIONS

28. CUSTOMER ACQUISITION PLAN
H2 - 2015 H1 - 2016 H2 - 2016 H1 - 2017 H2 - 2017 H1 - 2018 CAGR
Potential Customers Growth
Apparels Mfr 67% 1 10 15 25 35 50 67%
Fashion Jewellery Mfr 67% 1 10 15 25 40 50 67%
Fashion accessories Mfr
& Traders
67% 1 10 15 25 35 50 67%
Furniture Mfr 67% 1 5 8 13 20 25 67%
Others 67% 1 5 7 12 20 25 67%
Total 67% 5 40 60 100 150 200 67%
Average no. of customer/month: 7

29. Average Monthly Income from Sales: 18.56 Lakhs
Turning profitable from 2nd Year onwards
More than 200% growth in 3rd year
FINANCIAL PROJECTION – OPTION 1
Head Year - 1 Year - 2 Year - 3
Income from Sales 2,22,76888 8,28,64,096 24,92,56,864
Sales/Delivery Cost 67,25,472 2,32,21,424 7,06,58,736
Gross Margins 1,55,51,416 5,96,42,672 17,85,98,128
Salary & Wages 1,95,31,245 2,84,44,585 3,74,07,444
Fixed Business Expenses 1,76,79,000 2,52,80,970 3,53,93,358
Other Expenses 1,66,66,667 38,76,757 2,38,52,799
Net Income (3,83,25,496) 20,40,360 8,19,44,528

30. Average Monthly Income from Sales: 12.99 Lakhs
Turning profitable from 3rd Year onwards
More than 100% growth in 3rd year
FINANCIAL PROJECTION – OPTION 2
Head Year – 1 Year - 2 Year – 3
Income from Sales 1,55,93,822 5,80,04,867 17,44,79,805
Sales/Delivery Cost 47,07,830 1,62,54,997 4,94,61,115
Gross Margins 1,08,85,991 4,17,49,870 12,50,18,690
Salary & Wages 1,95,31,245 2,84,44,585 3,74,07,444
Fixed Business Expenses 1,76,79,000 2,52,80,970 3,53,93,358
Other Expenses 1,66,66,667 38,76,757 2,38,52,799
Net Income (4,29,90,921) (1,58,52,441) 2,83,65,089
Assumption –
Minus 30%

31. Average Monthly Income from Sales: 20.42 Lakhs
Turning profitable from 2nd Year onwards
More than 200% growth in 3rd year
FINANCIAL PROJECTION – OPTION 3
Head Year – 1 Year - 2 Year – 3
Income from Sales 2,45,04,577 9,11,50,506 27,41,82,550
Sales/Delivery Cost 73,98,019 2,55,43,566 7,77,24,610
Gross Margins 1,71,06,558 6,56,06,939 19,64,57,941
Salary & Wages 1,95,31,245 2,84,44,585 3,74,07,444
Fixed Business Expenses 1,76,79,000 2,52,80,970 3,53,93,358
Other Expenses 1,66,66,667 38,76,757 2,38,52,799
Net Income (36770354) 80,04,627 9,98,04,340
Assumption –
Plus 10%

32. MANPOWER STRENGTH
Role Year – 1 Year – 2 Year – 3
Sales 8 18 25
Sales Manager - Indirect 1 2 3
Sales Manager - Direct 1 2 3
Outbound/Seller support 20 20 13
HR & Admin 1 3 4
House Keeping 1 2 2
Marketing Manager 1 2 2
Marketing & Delivery 5 10 15
Logistics Manager 1 2 3
Project Manager 1 2 2
Technology 4 10 15
100
employees
company in
3 years
44 73 87

33. Startup Budget/Use of Proceeds
Total Fund
Required –
Rs. 10 Cr
Required Start-Up Funds Amount Totals
Fixed Assets
Real Estate-Land ₹ 0
Offices -
Computers 35,00,000
Other Equipments 30,00,000
Furniture and Fixtures 20,00,000
Vehicles 15,00,000
Other Fixed Assets 10,00,000
Total Fixed Assets 110,00,000
Operating Capital
Pre-Opening Salaries and Wages 72,00,000
Prepaid Insurance Premiums 2,00,000
Inventory -
Legal and Accounting Fees 1,00,000
Rent Deposits 5,00,000
Utility Deposits 2,00,000
Servers, IT Infra 20,00,000
Advertising and Promotions 15,00,000
Licenses 6,00,000
Other Initial Start-Up Costs 10,00,000
Working Capital (Cash On Hand) 50,00,000
Total Operating Capital 183,00,000
Total Required Funds 293,00,000

34. TIMELINE OF MILESTONES
Final
Discussion
and
Agreement
Company
Formation
and stake
distribution
Funds Raised
Campaign
Live
1st Sale
Cash Flow
Positive
VC - Funds
Raised
Aug’15
Aug’15
Sep’15
Dec’15
Jan’16
2018
2018

35. Thank you
Copyright: Manish K Jha, 2015