The exclusive report on Indian Ecommerce Ecosystem by Accel Partners. This covers the ecommerce market size, Internet statistics of Indians, E commerce Trends the a great perspective on the growth story! Read On...
This document proposes an Aadhaar Enabled Payment System (AEPS) linked toll collection system for India's road network. AEPS allows cash withdrawals, deposits, balance checks and fund transfers using only an Aadhaar card, fingerprint and bank account. It offers advantages like quick money transfers, ATM access in rural areas, and reducing signature forgery and black money. However, challenges include the transaction cost for other banks being Rs. 15 and lack of awareness among some people. The system aims to provide a cost-effective alternative for toll payments after demonetization removed most cash in 2016.
Digital Opportunity - Indian Media & Entertainment 2017Harsh Wardhan Dave
The document discusses the disruption and opportunities in India's digital media and entertainment sector. Key points of disruption include the rapid growth of smartphones, changing demographics of digital users, increasing internet speeds and penetration, rising digital ad spend, and growth of mobile payments. This disruption creates opportunities for digital video, short-form content, partnerships in OTT and MCN platforms, e-celebrities, regional and vernacular content, mobile gaming, and innovative monetization strategies. India's large population, growing economy, and digital adoption present a substantial opportunity for the country's media and entertainment industry.
The document summarizes the 2015 Tech IPO Pipeline Report from CB Insights. It provides statistics on the 588 private technology companies in the 2015 Tech IPO Pipeline, including that they have raised $64.27B total, with $24B in 2014 alone. It also notes that 42 companies have valuations over $1B, up from 25 in 2014. Finally, it lists the top investors like Sequoia Capital, Andreessen Horowitz, and Accel Partners that have the most companies in the billion dollar valuation club.
The speed with which the digital revolution rocked our worlds has been shocking. 76 percent of marketers surveyed by Adobe agreed that marketing has changed more in the last two years than in the past 50. As brand marketers, we were just figuring out social and e-commerce and then mobile hit and we had to start all over again.
We scrambled, letting the dizzying array of devices, jargon, and acronyms intimidate the hell out of us. We were on edge. With digital budgets nearly doubling each year in China, we felt like we were riding the tiger. We hit the panic button. We set up “digital divisions”, hired “digital people”, and charged our chief talent officers to write jargon-filled employment ads for outsider “digital pirates”. We hoped an influx of “digital people” would save us and our campaigns.
In 2014, however, the avalanche of digital change is beginning to abate a bit, making this the year to turn the corner on digital paranoia and begin to do really great work with a significant digital component. First, digital growth rates are coming back to earth. eMarketer forecasts digital growth rates in China will drop another 50% in 2014 and even drop into the single digits by 2017.
These rapidly dropping growth rates give brand marketers breathing room in 2014 to better align their budgets to match the shift of eyeballs to digital.
Second, smartphones and tablets are no longer “future” devices, but instead they have become a familiar and ordinary part of our everyday lives. Like our target demographics, we use smartphones and tablets on a daily basis, and better understand how to harness these platforms for effective brand communication.
Finally, as the digital dust settles, brand marketers are coming to realize that the core of advertising – great content delivered to audiences at scale – has not changed. The few so-called digital specialists we brought onboard are helping us to migrate great content and campaigns onto new platforms and measure results. We have learned, however, that great campaigns cannot be outsourced to “digital pirates”.
2014 is a year for brand marketers to realize the value of their work at the heart of advertising, and put themselves into the digital driver seat.
With the stage set to make 2014 the “catch up” year for digital in China, the aim of this “playbook” is to help brand marketers raise their digital IQs over the course of 2014 in sensible and measured ways. We have created a checklist of 8 “must-dos in digital for 2014” to be spaced out over the course of the year. The playbook can help brand marketers prioritize and become familiar with new tools and opportunities presented by digital, and to inspire and guide, rather than to overwhelm.
This document proposes an Aadhaar Enabled Payment System (AEPS) linked toll collection system for India's road network. AEPS allows cash withdrawals, deposits, balance checks and fund transfers using only an Aadhaar card, fingerprint and bank account. It offers advantages like quick money transfers, ATM access in rural areas, and reducing signature forgery and black money. However, challenges include the transaction cost for other banks being Rs. 15 and lack of awareness among some people. The system aims to provide a cost-effective alternative for toll payments after demonetization removed most cash in 2016.
Digital Opportunity - Indian Media & Entertainment 2017Harsh Wardhan Dave
The document discusses the disruption and opportunities in India's digital media and entertainment sector. Key points of disruption include the rapid growth of smartphones, changing demographics of digital users, increasing internet speeds and penetration, rising digital ad spend, and growth of mobile payments. This disruption creates opportunities for digital video, short-form content, partnerships in OTT and MCN platforms, e-celebrities, regional and vernacular content, mobile gaming, and innovative monetization strategies. India's large population, growing economy, and digital adoption present a substantial opportunity for the country's media and entertainment industry.
The document summarizes the 2015 Tech IPO Pipeline Report from CB Insights. It provides statistics on the 588 private technology companies in the 2015 Tech IPO Pipeline, including that they have raised $64.27B total, with $24B in 2014 alone. It also notes that 42 companies have valuations over $1B, up from 25 in 2014. Finally, it lists the top investors like Sequoia Capital, Andreessen Horowitz, and Accel Partners that have the most companies in the billion dollar valuation club.
The speed with which the digital revolution rocked our worlds has been shocking. 76 percent of marketers surveyed by Adobe agreed that marketing has changed more in the last two years than in the past 50. As brand marketers, we were just figuring out social and e-commerce and then mobile hit and we had to start all over again.
We scrambled, letting the dizzying array of devices, jargon, and acronyms intimidate the hell out of us. We were on edge. With digital budgets nearly doubling each year in China, we felt like we were riding the tiger. We hit the panic button. We set up “digital divisions”, hired “digital people”, and charged our chief talent officers to write jargon-filled employment ads for outsider “digital pirates”. We hoped an influx of “digital people” would save us and our campaigns.
In 2014, however, the avalanche of digital change is beginning to abate a bit, making this the year to turn the corner on digital paranoia and begin to do really great work with a significant digital component. First, digital growth rates are coming back to earth. eMarketer forecasts digital growth rates in China will drop another 50% in 2014 and even drop into the single digits by 2017.
These rapidly dropping growth rates give brand marketers breathing room in 2014 to better align their budgets to match the shift of eyeballs to digital.
Second, smartphones and tablets are no longer “future” devices, but instead they have become a familiar and ordinary part of our everyday lives. Like our target demographics, we use smartphones and tablets on a daily basis, and better understand how to harness these platforms for effective brand communication.
Finally, as the digital dust settles, brand marketers are coming to realize that the core of advertising – great content delivered to audiences at scale – has not changed. The few so-called digital specialists we brought onboard are helping us to migrate great content and campaigns onto new platforms and measure results. We have learned, however, that great campaigns cannot be outsourced to “digital pirates”.
2014 is a year for brand marketers to realize the value of their work at the heart of advertising, and put themselves into the digital driver seat.
With the stage set to make 2014 the “catch up” year for digital in China, the aim of this “playbook” is to help brand marketers raise their digital IQs over the course of 2014 in sensible and measured ways. We have created a checklist of 8 “must-dos in digital for 2014” to be spaced out over the course of the year. The playbook can help brand marketers prioritize and become familiar with new tools and opportunities presented by digital, and to inspire and guide, rather than to overwhelm.
The digital world has grown rapidly over the past 20 years, with over 2 billion people now online globally. However, two thirds of the world's population is still not connected to the internet. Meanwhile, the market has matured, with most global income now originating from online sources. Additionally, the rise of smartphones and tablets has caused PC growth to stall, with mobile devices now driving the growth of the entire digital market. While globally we are still in the early stages of the mobile revolution, markets like the US are past the halfway point of smartphone penetration. Future growth in the US will likely be slower and come from older, lower income users.
Global advertising expenditures increased 2.7% in the first half of 2012 compared to the same period in 2011. Television advertising saw the largest increase of 3.1% while magazines and newspapers saw budget cuts. Emerging markets like Latin America and the Middle East saw strong growth while advertising in Europe declined due to the economic crisis. Top spending sectors included healthcare, cosmetics, and automotive while Procter & Gamble, Unilever, and L'Oreal led global advertiser rankings.
The document discusses how digital technology is changing consumer shopping behavior. It finds that while e-commerce currently accounts for a small percentage of consumer packaged goods (CPG) sales, it is the fastest growing retail channel. Certain CPG categories like diapers and vitamins are better suited to online shopping due to barriers like an urgency to consume or need to inspect products. The document examines how shopper needs around convenience, choice, and value can be met through both online and brick-and-mortar retail formats. It emphasizes that understanding shopper behavior and category characteristics is key to marketing success in the digital world.
1) Social media usage continues to grow rapidly and is now integral to daily life for many globally.
2) Mobile access to social media is driving much of the growth, now accounting for over 60% of time spent on social networks.
3) While Facebook and Twitter remain popular, Pinterest has seen enormous growth in 2012, becoming the network with the largest increase in unique audience and time spent across devices.
TFC is an integrated strategic consulting & full service digital agency that is considered an end-to-end online partner by our clients.
We understand every aspect of the digital customer journey from search through to conversion and retention.
Read on to know more about us!
The mobile age has arrived and is here to stay. Worldwide shipments of mobile devices in 2012 is expected to be 56% higher than that of 2009. Mobile advertising spending is expected to increase to US$12.8 billion in 2011 (compared with US$1.7 billion in 2007) — an increase of 758%.
Read on to know more details and trends...
Digital India is experiencing rapid online growth, with India now having 124.7 million internet users as of July 2012, a 41% increase from the previous year. Several key online categories are growing much faster in India than global averages, including travel, search, social networking, and news. Youth under 35 are the main drivers of growth, making up 75% of the online population. Popular sites include Facebook, YouTube, Flipkart, Snapdeal and others. Mobile engagement is also increasing, with pages viewed on mobile growing from 3% to 7% between July 2011 and July 2012. The rapid expansion of internet access and online commerce and entertainment is expected to continue driving India's digital growth.
Social networks and blogs continue to dominate Americans' time spent online, accounting for nearly a quarter of total time. Social media usage has grown rapidly, with nearly 80% of active internet users visiting social networks and blogs. Americans now spend more time on Facebook than any other website. Close to 40% of social media users access social content from their mobile phone.
Ready to Unlock the Power of Blockchain!Toptal Tech
Imagine a world where data flows freely, yet remains secure. A world where trust is built into the fabric of every transaction. This is the promise of blockchain, a revolutionary technology poised to reshape our digital landscape.
Toptal Tech is at the forefront of this innovation, connecting you with the brightest minds in blockchain development. Together, we can unlock the potential of this transformative technology, building a future of transparency, security, and endless possibilities.
HijackLoader Evolution: Interactive Process HollowingDonato Onofri
CrowdStrike researchers have identified a HijackLoader (aka IDAT Loader) sample that employs sophisticated evasion techniques to enhance the complexity of the threat. HijackLoader, an increasingly popular tool among adversaries for deploying additional payloads and tooling, continues to evolve as its developers experiment and enhance its capabilities.
In their analysis of a recent HijackLoader sample, CrowdStrike researchers discovered new techniques designed to increase the defense evasion capabilities of the loader. The malware developer used a standard process hollowing technique coupled with an additional trigger that was activated by the parent process writing to a pipe. This new approach, called "Interactive Process Hollowing", has the potential to make defense evasion stealthier.
Gen Z and the marketplaces - let's translate their needsLaura Szabó
The product workshop focused on exploring the requirements of Generation Z in relation to marketplace dynamics. We delved into their specific needs, examined the specifics in their shopping preferences, and analyzed their preferred methods for accessing information and making purchases within a marketplace. Through the study of real-life cases , we tried to gain valuable insights into enhancing the marketplace experience for Generation Z.
The workshop was held on the DMA Conference in Vienna June 2024.
The digital world has grown rapidly over the past 20 years, with over 2 billion people now online globally. However, two thirds of the world's population is still not connected to the internet. Meanwhile, the market has matured, with most global income now originating from online sources. Additionally, the rise of smartphones and tablets has caused PC growth to stall, with mobile devices now driving the growth of the entire digital market. While globally we are still in the early stages of the mobile revolution, markets like the US are past the halfway point of smartphone penetration. Future growth in the US will likely be slower and come from older, lower income users.
Global advertising expenditures increased 2.7% in the first half of 2012 compared to the same period in 2011. Television advertising saw the largest increase of 3.1% while magazines and newspapers saw budget cuts. Emerging markets like Latin America and the Middle East saw strong growth while advertising in Europe declined due to the economic crisis. Top spending sectors included healthcare, cosmetics, and automotive while Procter & Gamble, Unilever, and L'Oreal led global advertiser rankings.
The document discusses how digital technology is changing consumer shopping behavior. It finds that while e-commerce currently accounts for a small percentage of consumer packaged goods (CPG) sales, it is the fastest growing retail channel. Certain CPG categories like diapers and vitamins are better suited to online shopping due to barriers like an urgency to consume or need to inspect products. The document examines how shopper needs around convenience, choice, and value can be met through both online and brick-and-mortar retail formats. It emphasizes that understanding shopper behavior and category characteristics is key to marketing success in the digital world.
1) Social media usage continues to grow rapidly and is now integral to daily life for many globally.
2) Mobile access to social media is driving much of the growth, now accounting for over 60% of time spent on social networks.
3) While Facebook and Twitter remain popular, Pinterest has seen enormous growth in 2012, becoming the network with the largest increase in unique audience and time spent across devices.
TFC is an integrated strategic consulting & full service digital agency that is considered an end-to-end online partner by our clients.
We understand every aspect of the digital customer journey from search through to conversion and retention.
Read on to know more about us!
The mobile age has arrived and is here to stay. Worldwide shipments of mobile devices in 2012 is expected to be 56% higher than that of 2009. Mobile advertising spending is expected to increase to US$12.8 billion in 2011 (compared with US$1.7 billion in 2007) — an increase of 758%.
Read on to know more details and trends...
Digital India is experiencing rapid online growth, with India now having 124.7 million internet users as of July 2012, a 41% increase from the previous year. Several key online categories are growing much faster in India than global averages, including travel, search, social networking, and news. Youth under 35 are the main drivers of growth, making up 75% of the online population. Popular sites include Facebook, YouTube, Flipkart, Snapdeal and others. Mobile engagement is also increasing, with pages viewed on mobile growing from 3% to 7% between July 2011 and July 2012. The rapid expansion of internet access and online commerce and entertainment is expected to continue driving India's digital growth.
Social networks and blogs continue to dominate Americans' time spent online, accounting for nearly a quarter of total time. Social media usage has grown rapidly, with nearly 80% of active internet users visiting social networks and blogs. Americans now spend more time on Facebook than any other website. Close to 40% of social media users access social content from their mobile phone.
Ready to Unlock the Power of Blockchain!Toptal Tech
Imagine a world where data flows freely, yet remains secure. A world where trust is built into the fabric of every transaction. This is the promise of blockchain, a revolutionary technology poised to reshape our digital landscape.
Toptal Tech is at the forefront of this innovation, connecting you with the brightest minds in blockchain development. Together, we can unlock the potential of this transformative technology, building a future of transparency, security, and endless possibilities.
HijackLoader Evolution: Interactive Process HollowingDonato Onofri
CrowdStrike researchers have identified a HijackLoader (aka IDAT Loader) sample that employs sophisticated evasion techniques to enhance the complexity of the threat. HijackLoader, an increasingly popular tool among adversaries for deploying additional payloads and tooling, continues to evolve as its developers experiment and enhance its capabilities.
In their analysis of a recent HijackLoader sample, CrowdStrike researchers discovered new techniques designed to increase the defense evasion capabilities of the loader. The malware developer used a standard process hollowing technique coupled with an additional trigger that was activated by the parent process writing to a pipe. This new approach, called "Interactive Process Hollowing", has the potential to make defense evasion stealthier.
Gen Z and the marketplaces - let's translate their needsLaura Szabó
The product workshop focused on exploring the requirements of Generation Z in relation to marketplace dynamics. We delved into their specific needs, examined the specifics in their shopping preferences, and analyzed their preferred methods for accessing information and making purchases within a marketplace. Through the study of real-life cases , we tried to gain valuable insights into enhancing the marketplace experience for Generation Z.
The workshop was held on the DMA Conference in Vienna June 2024.
Discover the benefits of outsourcing SEO to Indiadavidjhones387
"Discover the benefits of outsourcing SEO to India! From cost-effective services and expert professionals to round-the-clock work advantages, learn how your business can achieve digital success with Indian SEO solutions.
4. Executive summary
4
$2Bn
2013
$8.5Bn
2016P
Online Shopping defined in this presentation does not include travel, ticketing and food ordering – only physical goods commerce
Online shopping of physical goods in India, will grow to $8.5Bn in 2016.
Number of online shoppers in India will more than double to 40M.
Key finding
2x Indian shoppers X 1.1x number of orders per year per shopper X 2x average order value
63% CAGR
KEY FINDING
25% CAGR
20M
40M
CY2013 CY2016P
Indian online shoppers will double
Accel estimates and Industry sources
5. $278 M
$559 M
$2,811 M
CY2012 CY2013 CY2016P
Fashion + Footwear + Accessories GMV
INR 1,080
INR 1,860
INR 3,600
CY2012 CY2013 CY2016P
Increasing average order value
Executive summary
Key findings
5
67%
25%
CAGR
KEY FINDING
1. Last year there was a significant jump in average
order value as there was a penetration of new
categories like jewellery, home décor etc.
2. Also, users are becoming more comfortable
buying higher priced items online.
100%
Growth
71%
CAGR
1. Last year was the rise of the fashion category –
fashion e-commerce GMV doubled since 2012.
2. Given the young demographic which is shopping
for latest looks online and increasing choice
online – we estimate that this category will see
400% growth in the next 3 years and rival
electronics and mobile category in GMV.
Accel estimates and Industry sources
Average order values climbing up rapidly
Fashion category doubled last year
6. Executive summary
6
1x 8x
27x
2012 2013 2016P
Online Shopping defined in this presentation does not include travel, ticketing and food ordering
1x
4x
24x
Mobile shopping is seeing phenomenal growth
Women influenced sales will grow 5x
in next 3 years
1. Mobile shopping infrastructure is improving –
smartphones, connectivity, mobile websites
and apps
2. People are becoming more comfortable in
ordering higher priced items online
1. 35% of online GMV in 2016 will be influenced by
women
2. Key factor in this growth is increasing supply of
women specific categories e.g. jewellery, lingerie,
motherhood products
Trends
2012 2013 2016P Accel estimates and Industry sources
TRENDS
7. Executive Summary
7
Trends: Rise of EMIs &Wallets
• With increasing order values, we are seeing an uptick of EMI payments
• 3rd party wallets albeit a new phenomenon, have a strong value proposition and
will be quick to become popular – similar to China
TRENDS
60%
16%
12% 12%
1% 0%
50%
12%
15%
11%
5% 7%
COD Credit Cards Debit Cards Net banking EMI 3rd party wallets
Indian payment landscape - rise of EMIs and Wallets
(Total: 100%)
2013 2016P
Accel estimates, Accel portfolio companies and Industry sources: PayU, EMVantage
8. Executive summary
8Online Shopping defined in this presentation does not include travel, ticketing and food ordering
More penetration in Tier-II and Tier-III towns
New shoppers will come from the 40M+ Gen-Y FB users
1. Tier 2 cities growing much faster in eCommerce
adoption than Tier 1
2. Some states completely lagging in ecommerce,
waiting for infrastructure to be put in place
1. Potentially 40M shoppers between ages of 19 –
24 years, will start spending money online
2. These shoppers also have a propensity to
spend more money than Gen-X shoppers
Growth factors
20M
Gen-Y
shoppers
20M
Gen-X
shoppers
GROWTH FACTORS
Accel estimates, Google, Facebook, NSSO, Accel portfolio companies
9. Enough headroom for growth
Online retail is still a very small portion of retail in India
9
Online sales,
4 Mn, 2%
Offline sales,
243 Mn, 98%
247Mn mobiles shipments in India CY2013
Online sales,
45 Mn, 7%
Offline sales,
555 Mn,
93%
600Mn books sold in India CY 2013
Online sales,
$0.08 Bn, 0.2%
Offline sales,
$44.92 Bn,
99.8%
USD 45Bn jewellery sales in India CY 2013
Online sales,
$0.5 Bn, 1%
Offline sales,
$42 Bn, 99%
USD 43Bn fashion + footwear sales in India CY 2013
Accel estimates, Accel portfolio companies and industry sources: CMR, FICCI, Deloitte
GROWTH FACTORS
11. $816 M
$1,983 M
$8,519 M
CY2012 CY2013 CY2016P
Annualized online shopping GMV
Growth of India online shopping
11
Market
Trends
Growth Factors
Payments
BRICS
140 M
213 M
400 M
CY2012 CY2013 CY2016P
Internet users in India
% of internet users who visit e-
commerce sites = 60%
4M
5M
12M
CY2012 CY2013 CY2016P
# of orders per month
3.00%
2.70%
2.90%
CY2012 CY2013 CY2016P
Conversion from visitors to buyers
1.50
1.55
1.70
CY2012 CY2013 CY2016P
Orders per buyer per month
$18
$31
$60
CY2012 CY2013 CY2016P
Average order value
Accel estimates, Accel portfolio companies, comScore & IAMAI
12. Growth of India online shopping
12
Market
Trends
Growth Factors
Payments
BRICS
140 M
213 M
400 M
CY2012 CY2013 CY2016P
Internet users in India
Accel estimates, Accel portfolio companies, comScore & IAMAI
13. Growth of India online shopping
13
Market
Trends
Growth Factors
Payments
BRICS
140 M
213 M
400 M
CY2012 CY2013 CY2016P
Internet users in India
% of internet users who visit e-
commerce sites = 60%
3.00%
2.70%
2.90%
CY2012 CY2013 CY2016P
Conversion from visitors to buyers
• India e-commerce market will start maturing
and display characteristics similar to China –
which traditionally has higher conversion rates
(nearly 3.5%)
• This is due to e-commerce being only choice for
availability of goods in parts of the country and
easy payment options like COD – which are not
problems in western countries
Accel estimates, Accel portfolio companies, comScore & IAMAI
14. Growth of India online shopping
14
Market
Trends
Growth Factors
Payments
BRICS
140 M
213 M
400 M
CY2012 CY2013 CY2016P
Internet users in India
% of internet users who visit e-
commerce sites = 60%
• As e-commerce sites gain trust, users are
beginning to order more frequently
• Also, repeat users – acquired more than 1yr old
- are more comfortable ordering online and
order significantly more than first time buyers
4M
5M
12M
CY2012 CY2013 CY2016P
# of orders per month
3.00%
2.70%
2.90%
CY2012 CY2013 CY2016P
Conversion from visitors to buyers
1.50
1.55
1.70
CY2012 CY2013 CY2016P
Orders per buyer per month
• India e-commerce market will start maturing
and display characteristics similar to China –
which traditionally has higher conversion rates
(nearly 3.5%)
• This is due to e-commerce being only choice for
availability of goods in parts of the country and
easy payment options like COD – which are not
problems in western countries
Accel estimates, Accel portfolio companies, comScore & IAMAI
15. Growth of India online shopping
15
Market
Trends
Growth Factors
Payments
BRICS
140 M
213 M
400 M
CY2012 CY2013 CY2016P
Internet users in India
% of internet users who visit e-
commerce sites = 60%
• Last year there was a significant jump in
average order value as there was a
penetration of new categories like jewellery,
home décor etc
• Also, users are becoming more comfortable
buying higher priced items online
4M
5M
12M
CY2012 CY2013 CY2016P
# of orders per month
3.00%
2.70%
2.90%
CY2012 CY2013 CY2016P
Conversion from visitors to buyers
1.50
1.55
1.70
CY2012 CY2013 CY2016P
Orders per buyer per month
$18
$31
$60
CY2012 CY2013 CY2016P
Average order value
Accel estimates, Accel portfolio companies, comScore & IAMAI
16. Growth of India online shopping
16
Market
Trends
Growth Factors
Payments
BRICS
140 M
213 M
400 M
CY2012 CY2013 CY2016P
Internet users in India
% of internet users who visit e-
commerce sites = 60%
• Last year there was a significant jump in
average order value as there was a
penetration of new categories like jewellery,
home décor etc
• Also, users are becoming more comfortable
buying higher priced items online
4M
5M
12M
CY2012 CY2013 CY2016P
# of orders per month
3.00%
2.70%
2.90%
CY2012 CY2013 CY2016P
Conversion from visitors to buyers
1.50
1.55
1.70
CY2012 CY2013 CY2016P
Orders per buyer per month
$18
$31
$60
CY2012 CY2013 CY2016P
Average order value
$816 M
$1,983 M
$8,519 M
CY2012 CY2013 CY2016P
Annualized online shopping GMV
Accel estimates, Accel portfolio companies, comScore & IAMAI
17. Other observations
17
Market
Trends
Growth Factors
Payments
BRICS
1. ~200M of Indians will come online in next 3 years
2. Majority of these will come online on
smartphones
3. E-Commerce companies are building their
brands, thus gaining trust of users
1. Existing shoppers shop more number of times
than new shoppers (in that year)
2. As India’s e-commerce market grows the
proportion of existing shoppers will increase from
30% (in 2013) to 50% (in 2016)
13M
20M
40M
CY2012 CY2013 CY2016P
# of online shoppers in India
3.4
3.2
3.55
CY2012 CY2013 CY2016P
# of orders per customer / year
Accel estimates & Accel portfolio companies
18. E-commerce is a small sliver of Indian retail
18
91.0%
8.7%
0.3%
Unorganized retail Organized retail - offline Organized retail - online
92.0%
7.8%
0.2%
2012
2013
Market
Trends
Growth Factors
Payments
BRICS
Accel estimates & Deloitte
20. Mobile
There is a traffic to revenue gap on mobile e-commerce in India
20
Factors leading to major adoption of mobile as a channel:
• 70% of the growth in Indian internet users was mobile only
• Showrooming – a growing habit
Reasons why there is not a 1:1 conversion of traffic to mobile:
• Most e-retailers do not have mobile optimized sites
• Most transactions are for low ticket items
• Mobile marketing budgets are < 10% of overall digital marketing
budgets, even though they have increased 100% Y-o-Y, even
though overall ad spends have increased 20% Y-o-Y
23%
27%
33%
9% 10%
33%
India China Japan
Mobile revenue share is lagging mobile
traffic share in India and China
Mobile Traffic %
9%
4%
N/A
9.8%
India Brazil Russia China
India vs rest of BRICS - mobile shopping GMV as % of
overall GMV
1x 8x 27x
2012 2013 2016
Mobile shopping grew 800% in 2013, we
expect it to grow at a 150% CAGR till 2016
Market
Trends
Growth Factors
Payments
BRICS
Accel estimates, Accel portfolio companies, CNNIC and other industry sources
21. $122 M / 1x
$511 M / 4x
$3Bn / 24x
2012 2013 2016P
Women influenced GMV
Women shoppers – a growing force
21
Male Female
Women spend 60% more time
on jewellery sites than men
Male Female
Women spend 40% more
time on fashion sites
1.3x
1.1x
1.0x
Luxury/Jewellery Apparel Home furnishings
Women spend upto 30% more time on
luxury sites than on home furnishing
Market
Trends
Growth Factors
Payments
BRICS
15% of
market
26% of
market
35% of
market
1. Working women segment grew 43% in 2013 and
constitutes nearly 10% of Active internet users in
India according to i-Cube & IAMAI
2. Categories like baby care, home décor, jewellery
etc have traditionally been influenced by women
decision makers. As more choice become
available more women are shopping online.
Accel estimates, Accel portfolio companies & comScore
23. 149M
132M 132M
102M
19M
40M
20M 8M
13%
30%
15%
8%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0M
20M
40M
60M
80M
100M
120M
140M
160M
13 - 18 19 - 24 25 - 30 31 - 36
20M new shoppers could come just from the 19-24 age group
India population FB users (2013) FB users %
Young India will become dominant presence in e-Commerce
23
Market
Trends
Growth Factors
Payments
BRICS
Young Indians (19-24yrs) are more comfortable with online services e.g. FB and thus could
potentially add upto 40M new shoppers in next 3 years – if we just take the Facebook users
Accel estimates, NSSO, Facebook
24. E-commerce friendly states
24
• 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
Central & North-Eastern India appears to have low adoption of e-commerce
Market
Trends
Growth Factors
Payments
BRICS
Accel estimates, Accel portfolio companies, Google
25. Categories
Books
7%
Mobile, Tablets &
Accessories
35%
Computers,
Cameras,
Electronics &
Appliances
18%
Health &
Personal care
2%
Babycare
3%
Fashion, Footwear
& Accessories
28%
Jewellery
2%
Home décor
3%
Others
2%
Categories by GMV (%)
Books
21%
Mobile,
Tablets &
Accessories
9%
Computers,
Cameras,
Electronics &
Appliances
10%Health &
Personal care
4%
Babycare
8%
Fashion,
Footwear &
Accessories
35%
Jewellery
1% Home
décor
8%
Others
4%
Categories by # of trxns. (%)
Books category contributed to 21% of
the transactions …
… but only 7% of the GMV
Market
Trends
Growth Factors
Payments
BRICS
Accel estimates & Accel portfolio companies
27. Payments
27
COD
60%
Credit
Cards
16%
Debit
Cards
11%
Net
banking
12%
EMI
1%
2013
Market
Trends
Growth Factors
Payments
BRICS
With most e-commerce players launching their wallets, we believe that 3rd
party wallets will become a significant alternative to COD in coming years.
COD
50%
Credit Cards
12%
Debit Cards
15%
Net banking
11%
EMI
5%
3rd party
wallets
7%
2016P
Accel estimates & Accel portfolio companies
29. Indian online shopping has tremendous growth potential
Significant headroom for growth
29
1,249
200 144
1,358
213
99 66
591
17%
50%
46% 44%
0%
10%
20%
30%
40%
50%
60%
-
500
1,000
1,500
India Brazil Russia China
InMillions
Only 17% of Indians are online, compared to >40% for other countries …
Population Online population Internet penetration %
213
99
66
591
19 31 30
280
9%
31%
45% 47%
0%
20%
40%
60%
80%
100%
-
100
200
300
400
500
600
700
India Brazil Russia China
inMillions
… only 9% of online Indians shop, compared to >30% in other countries
Online population Online shoppers Online shopper penetration %
Market
Trends
Growth Factors
Payments
BRICs
Accel estimates & Industry sources
30. BRICs B2C online shopping market
India is quite small compared to rest of BRIC countries…
30
$ 1.8 Bn / 1x
$ 13 Bn / 7x $ 16 Bn / 9x
$ 106 Bn / 60x
India Brazil Russia China
Indian e-Commerce market is $1.8Bn, 60x smaller than the Chinese market …
$ 93
$ 421
$ 533
$ 380
India Brazil Russia China
… annual spend by an Indian online shopper is $93 - 4x smaller than Chinese one
Market
Trends
Growth Factors
Payments
BRICs
Accel estimates & Industry sources
31. 0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Onlineshopperpenetration
Internet Penetration
(size of bubble indicates market size)
Indian e-commerce needs better infrastructure to grow
88% of the growth in India online shopping will come from more Indians online
Infrastructure issues
Shopping issues
Happy shoppers
Willing shoppers but
infrastructure problems
31
India
China
Brazil
Russia
Market
Trends
Growth Factors
Payments
BRICs
Accel estimates & Industry sources
33. Disclaimer
The information and opinions in this Report have been prepared or complied by ACCEL
PARTNERS and are subject to change/modification without any notice. The information
contained in this Report is believed to be accurate at the time of date of issue of this
Report, but no representation or warranty is given (express or implied) as to its accuracy,
completeness or correctness. ACCEL PARTNERS accepts no liability whatsoever for any
direct, indirect or consequential loss or damage arising in any way from any use of or
reliance placed on this material for any purpose. The contents of this Report are the
copyright of ACCEL PARTNERS. Nothing on this Report constitutes advice, nor creates
any contractual relationship.
33