Value Proposition canvas- Customer needs and pains
Shopelect.com customers
1.
2. About Us
We areafirstofitskindB2B ManagedMarketplaceEcommerceplatformin IndianElectricalIndustrywhichoffersyouthefollowingvalue
propositions
Our vision is to convert the traditional industrial distribution business
into a professionally managed, technology driven ecommerce
organization using our 45 years of industry experience
PAN INDIA
SOURCING
GLOBAL
REACH
EXCESS STOCK
LIQUIDATION
LOGISTICS
NETWORK
AUCTION
PLATFORM
3. Global and India Market Potential
NORTH AMERICA
LATIN AMERICA
JAPAN
USD
100B
More than USD
250B+
USD
100B
INDIAN
CONTINENT
ONLYINDIAMARKET OPPORTUNITYFOR SHOPELECT.COMCURRENTLYLISTEDPRODUCTSSTANDSAT APPROXIMATELY INR48,000
CRANDISREADY FORECOMMERCE CONVERSION
GLOBALLY ESTABLISHED
PLAYERS
Beta launchedin 2012, has2.5million listed
items
Publiclisted with a USD 19 Bvaluation, 15
million items and operations in 20+ countries
Publiclisted in Japan,started in 2000,
valuation of USD 4B and 7million listed
items
4. Emerging procurement trends
In the last 10 years,B2B buyers started undertaking
pre-purchase research online
before making the purchasing decision
FACT
ELECTRICAL& ENGINEERING PRODUCTSACCOUNTSFOR 10%OF NEW PROJECT COST.INEXISTING INSTALLEDBASE
MRO(MAINTAINANCE)PURCHASESACCOUNTFOR ASMUCHAS25% OFTHEINDIRECTPROCUREMENT.
5. The underlying challenge - traditional
B2B buying is inefficient
HIGHLYFRAGMENTED INDIANMARKET ARESTILLTHROUGHTHETRADITIONAL4TIER CHANNELMAKING SALESPROCESS
EXTREMELY INEFFICIENT
DISTRIBUTO
R
Each brand has 1000sofdistributors
holding huge stocks atdifferentdiscounts
CUSTOMER
Everyindustry needselectrical and
engineering items
TRADITIONAL
CHANNEL
Offline methodand highly inefficient for
both parties (e.g.catalogues, emails,
meetingsetc)
6. Understanding the value chain of
the problem
THE PROBLEM
The inefficient procurement value chain leads to
millions of dollars of losses year on year – what’s the
solution?
Matching specs, lacs of products,
comparing similar products, Long Tail
Difficulty in finding reliable
suppliers, Risk of duplicate
products, High Shutdown Cost
Issuesof price discovery & transparency
because ofa lack ofa correct price list,
discounts, taxes,packaging costs etc
Undertaking endless offline meetings,
calls and negotiations
7. Shopelect.com is
revolutionizing the way
B2B procurement
happens
Buyerselects theitemson our website,
froma current list ofover 2lac products
Choice topurchase theitem
immediately at thedisplayed discounted
price
Have Time then Conduct an e-auction
by paying an auction fee
Pan-India dealers notified and
participate in the online e-Reverse
Auction foravailability and lowest
price
Customerconfirms and pays,
closest warehouse delivers from
lowestcost supplier at Local VAT
8. How we create value for our customers
and suppliers
CUSTOMERS SUPPLIERS
Competitive/BestPrice
PAN India Sourcing
ImmediateDelivery
Single Source for Aggregation ofCategories& Brands
Easeof usein termsof time saved in product sourcing
Significant cost savings by removing the middleman
Increasein business efficiency
Increasein sales and brand awareness
Low cost oflead conversion
Wider global reach
Ability to liquidate excessstock
Getadditional turnoverdiscounts fromOEM
Leverageofexisting relationships to supply more products
9. A Pan-India logistics partner with outstanding
credentials on pure variable
Logistics Service Revenues in excess ofINR 1750 Cr
Morethan 13 offices, and over 88 operating locations across the country
Deployment of over 25,000 vehicles a month, across transportation operations
Operational space is over 5 million square feet for warehousing with Local VAT
registrations
Will promote shopelect.com totheir existing 200+large customers
10. Our successes till date
BUSINESS SIDE OPERATIONS SIDE
200,000+SKUs 3000+Dealers
Connected
1.3mil
Customers
Database
SellerPortal
Presenceatthe
Elecrama
exhibition
Strong orderbook
and testimonials
Strong
IntegratedERP
Technical Detailed
Contents /
Description
ISO CertifiedCompany
PAN India –
VAT,Excise Registration