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E-Commerce in India
Dr. Ashok Kumar Jetawat (Chairman)
Ph.D., M.Tech, MBA, MCA, MAJM, MSW
SCJP, MCP, IGCBP, Geneva (Switzerland)
Motivational Society of Achievers
email : motivationalsociety@gmail.com
Web: http://motivationalsociety.in
(M) 9001556010

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Session Structure
• What is E-Commerce?
• Types of E-Commerce
• Amazon.com
• Online Retailing Evolution in India
• Major Players of E-Commerce in India
• Top 10 Indian E-Commerce Companies on Facebook
• Statics of online shopping in India
• E-Commerce Friendly States and Cities
• Key Drivers of E-Commerce market in India
• Factors for doing online purchase in India

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Session Structure Cont…
• What is driving E-Commerce Adoption in Small Towns?
• What Indian consumers search on Google?
• Highest growing and least growing countries in E-Commerce
• E-Commerce sales in India
• Future of M-Commerce in India
• Payment Gateways in India
• Pros and Cons of E-Commerce
• Government Rules and Legal Aspects of E-Commerce
• Some Top E-Commerce Investments in 2014
• Black Friday and Cyber Monday

What is E-Commerce
E-Commerce refers to any type of business or
commercial transaction, purchase or sale of
goods / services that involves the transfer of
information via electronic channels such as the
Internet.
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Types of E-Commerce
B2B (Business-to-Business)
Companies doing business with each other such as manufacturers selling to
distributors and wholesalers selling to retailers. Pricing is based on
quantity of order and is often negotiable.
B2C (Business-to-Consumer)
The model denotes a financial transaction or online sale between a
business and consumer. B2C involves a service or product exchange from a
business to a consumer.
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Types of E-Commerce (Contd.)
C2B (Consumer-to-Business)
A consumer posts his project with a set budget online and companies review
the consumer's requirements and bid on the project. The consumer reviews
the bids and selects the company that will complete the project.
C2C (Consumer-to-Consumer)
There are many sites offering free classifieds, auctions and forums where
individuals can buy and sell. Thanks to online payment systems like PayPal
where people can send and receive money online with ease.
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Amazon.com
Amazon was incorporated in 1994 in the state of Washington by Jeff Bezos, went online in
1995, and issued an IPO on May 15, 1997. Amazon is the world's largest online retailer,
selling over forty categories of goods, from books to electronics to groceries to jewelry to
auto parts.
Many developments, controversies and setbacks attended Amazon's eventual success:
• Amazon aimed for market share and did not make a profit till 2001.
• Not all growth was organic. From 1998 onwards, Amazon acquired several companies, notably
Bookpages.co.uk (1998), Joyo.com, a Chinese ecommerce website (2004) and BookSurge a POD
company, (2005), Mobipocket.com, an eBook software company (2005) and The Book Depository
(2011).
• Book reviews proved not to be so independent, but what authors, publishers and marketing
companies shamelessly exploited in promotion.
• Kindle, Amazon's ebook reader, proved a runaway success, inspiring many lookalikes and allowing
more ebooks than hardbacks to be sold in July 2010, and books altogether by August 2012.

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Amazon.com
As on 1st Jan 2015 its net worth was $29.7 billion.
Amazon has experienced great success and failure. It’s share
price oscillated to
1999 $106
2001 $6
2003 $60
2006 $27
Present $383

Online Retailing Evolution in India
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Flipkart
• Founded by Sachin Bansal, Binny Bansal in 2007
• From online books to electronic goods and other variety of products and offers cash on delivery.
• Flipkart concentrated on online sales of books in the initial years but later on expanded to electronic
goods and other products.
Snapdeal
• Founded by Kunal Bahl and Rohit Bansal (IIT Delhi graduate) in 2010
• Products categories like mobiles, electronics, fashion, home goods etc.
Myntra
• Founded by Mukesh Bansal, Ashutosh Lawania and Vineet Saxena in 2007
• Focus on fashion and lifestyle products
Fashionandyou
• Founded by Harish Bahl and Pearl Uppal in 2010
• A private invitation for shopping clubs only
• It deals in fashion apparel, footwear, accessories and home decor items
Major Players of E-Commerce in India

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Inkfruit
• Kashyap Dalal (IIM Lucknow alumni) is the CEO of Inkfruit, 2007 Mumbai.
• Inkfruit is an online t-shirt store, where t-shirt designs are submitted and voted for by a group of people.
• This concept is taken from Threadless to India by Inkfruit.
Dealsandyou
• Dealsandyou is a website to find the best deals in Indian shopping.
• The site provides offers for local services such as full body massages or buffet restaurants.
Homeshop18
• Online and on-air retail and distribution venture of Network 18 Group, headquartered in Noida.
• India's first 24-hour Home Shopping TV channel where anchors performed live demonstration of products on
sale.
Yebhi.com
• Yebhi.com is an online shopping portal for Home, Lifestyle & Fashion e-retailer started in 2009.
• Yebhi (began as BigShoeBazaar.com) deals in fashion apparel, footwear, accessories and home decors.
Major Players of E-Commerce in India

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Major Players of E-Commerce in India

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Yepme Shopping Junglee.com Amazon India Flipkart Jabong eBay India Snapdeal Myntra.com ShopClues Yebhi.com
Fans 5,645,060 5,637,352 4,425,388 4,268,126 3,415,899 3,317,470 2,876,726 2,672,910 2,258,489 1,567,881
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
Top 10 Indian E-Commerce Companies on Facebook

In India, online shopping of physical goods will grow to $8.5 Bn in 2016.

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Top 2 E-Commerce States
Karnataka
Maharashtra
Top 10 Cities
Delhi
Bangalore
Mumbai
Pune
Hyderabad
Chennai
Kolkata
Ahmedabad
Jaipur
Panji
E-Commerce Friendly States and Cities

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Key Drivers of E-Commerce market in India
• Increasing broadband Internet and 3G penetration.
• Rapidly increasing the living standards of middle class community with high disposable incomes.
• Availability of much wider product range compared to what is available at retailers show room.
• Busy lifestyles, urban traffic and lack of time for offline shopping
• Lower prices as compared to retailers because of disintermediation and reduced inventory cost.
• Increased number of online sites with more consumer buying and selling second-hand goods.

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Range of
Products
Easy to Buy
Time Saving
Sometimes
Free Delivery
Easy to Compare
Shopping
Convenience
Low Prices
Why People
Buy
Online?

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Rising Living
Standards
Increased Awareness
Greater Wireless
Internet Access through
Mobiles
Lack of good offline
retail channels
Improving Online
Availability
New Payment
Options
What is driving E-Commerce Adoption in Small Towns?

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Quick Stats:

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Quick Stats:

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Quick Stats:

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Quick Stats:

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Quick Stats:

Payment Gateways in India
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Pros for Consumers
• Lower Prices
• 24/7 Business Hours
• Wider Selection of Product
• International Customer
• No Inventory Needed
• Shop in the Comfort of your own Home
• Products are easy to find in categories and easy to be compared
Pros for Business
• Increase Market Share
• Enable Access to an International Market
• Increase Productivity
Pros and Cons of E-Commerce

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Cons for Consumers
• Shipping Costs
• Cannot Feel, Touch or Try on Items
• Required Credit Card for Security Purposes
• Distribution of Private Information (Name, Address, Contact no.)
Cons for Business
• Difficult to Build Costumer Trust
• Cost to Build a Website has certain Hardware and Software Requirement
Pros and Cons of E-Commerce

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Government Rules and Regulations and Legal Aspects (IT Laws)
• No specific E-Commerce rules and regulations are there in India. IT Act 2000 is the sole cyber
law which governs all the online issues.
• Legal issues of E-Commerce are different for different categories of E-Commerce.
• The legal requirements for undertaking E-Commerce in India also involve compliance with other laws
like contract law, Indian penal code, banking and financial norms etc.
• Perry4Law and Perry4Law Techno Legal Base (PTLB) recommend that all E-Commerce entrepreneurs
and owners must do a proper techno legal exercise before opening an E-Commerce website.
• E-Commerce websites in India must ensure privacy protection, data protection, data security,
cyber security, confidentiality, maintenance etc.

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July 2014: Flipkart
Amount invested: $1,000 mn
Prominent Private Equity (PE) investors: Accel Partners, Tiger Global, Morgan Stanley,
Digital Sky, GIC Special Investments, Naspers, Sofina, Iconiq
Oct 2014: Snapdeal
Amount invested: $627 mn
Prominent PE investors: Softbank and other existing investors
Oct 2014: Olacabs
Amount invested: $210 mn
Prominent PE investors: Softbank, Tiger Global, Matrix Partners India, Steadview Capital
May 2014: Flipkart
Amount invested: $210 mn
Prominent PE investors: Naspers, Tiger Global Management, DST Global, Iconiq Capital
Feb 2014: Snapdeal
Amount invested: $134 mn
Prominent PE investors: Kalaari Capital, Nexus Venture Partners, Bessemer Venture Partners,
Intel Capital and Saama Capital
Some Top Investments in 2014

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May 2014: Snapdeal
Amount invested: $100 mn
Prominent PE investors: Premji Invest, Temasek Holdings, BlackRock, Myriad and Tybourne
March 2014: Quikr
Amount invested: $90 mn
Prominent PE investors: Kinnevik, Warburg Pincus, eBay, Omidyar Network, Matrix Partners
India, Nokia Growth Partners & Norwest Venture Partners
Sept 2014: Quikr
Amount invested: $60 mn
Prominent PE investors: Tiger Global Management, Kinnevik, Matrix Partners India, Nokia
Growth Partners, Norwest Venture Partners, Omidyar Network, Warburg Pincus and eBay Inc.
Aug 2014: Foodpanda
Amount invested: $60 mn
Prominent PE investors: Falcon Edge Capital and Rocket Internet AG
Feb 2014: Myntra
Amount invested: $50 mn
Prominent PE investors: Premji Invest, Tiger Global, Accel Partners, IDG Ventures India and
Kalaari Capital
Some Top Investments in 2014

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Black Friday is the Friday following Thanksgiving Day in the United States (the
fourth Thursday of November).
Since the early 2000s, it has been regarded as the beginning of the Christmas
shopping season in the US. Black Friday is not a public holiday, but California and
some other states observe as a holiday for state government employees.
Black Friday (Christmas shopping season in US)

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Cyber Monday
Cyber Monday is a marketing term for the Monday after the Thanksgiving holiday
in the United States. The term "Cyber Monday" was created by marketing
companies to persuade people to shop online. The term made its debut on November
28, 2005, in a Shop.org press release entitled "Cyber Monday Quickly Becoming
One of the Biggest Online Shopping Days of the Year"

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500 × 200 - bodytechniques.com

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Thank you!
Any queries?
email : motivationalsociety@gmail.com
Web: www.motivationalsociety.in
(M) 9001556010