Mani Bhushan

Associate Vice President – Operations | Homeshop18

The E-Commerce Era!

Shopping has a new face!

Unorganized

Small Single Retail Format

Limited Categories

Low Stock size

10 Hour Open

Location Matters

Small, Single Retail Formats

Organized

Large Multi Retail Format

Varied Categories

Medium Stock size

12 Hour Open

Location Matters

Large, Multi Retail Formats

Organized

Huge E Retail Format

Varied Categories

Huge Stock size!

24 Hour Open!

Nothing called Location!

Huge, E Retail Formats

90% 9% 1%5%25% 70%

43%21%

36%

E-Shopping: Key Stakeholders

21

• Likes Shopping

• Likes having choices

• Prefers Convenience

• Wants Best Deals/ Better Value

• Expects Timely Delivery

• Wants Easy Returns

• Expects Good Customer Service/Support

• Dislikes Rush

• Avoids Inconvenience

• Hates Surfing Hiccups

• Does not wants to pay more

• Hates Delays

• Dislikes Follow-ups and Iterations

• Dislikes Inaccessibility/ Poor Response

Young | Internet Savvy | Busy Lifestyle

Understanding the E-Commerce Customer1

Brand Ambassador for the business

But What’s Behind?

E-Shopping: The Front!

COMPUTERS PHONESTELEVISION

A peek into the Chain!

There is MORE to KNOW

RETURNS/ REFUSALS

DELIVERY ATTEMPT FAILURES

DAMAGESLOSS!

OFFLOADING

NON-AVAILABILTY

ORDER CANCELLATIONS

DELAYS

DAMAGES

LOSS!DELAYS

The Chain has its Challenges

DELAYS: 20% - 25% DAMAGES: 4% PILFERAGE: 0.5% - 1%

• A Dissatisfied Customer• Doubts on the Mode of Shopping!

Resulting in:

What’s the mantra to fuel the E-Shopping Business?

Enhance Customers’ Shopping Experience by

building robust SCM processes to minimize delays, damages and pilferage

Satisfy Existing Customers

Build SCM Capacities to build a high growth, profit centric business

Robust, Scalable Business Model

Profit

Revenue Cost(-)

E-Commerce Sales is primarily driven by Range, Reach and Delivery

Technical/

ProgrammingMarketing

Customer

Service

SCM &

Logistics

Interface Building

Interface Maintenance

Upgrades and Licenses

Brand Management

Segmentation and Advertising

Trade Marketing

Pre-Sales Support

Post Sales Support

Query Resolution

Stock & Vendor Management

Reach across regions

Delivery & Pickups

Sourcing

Procurement: Range and Quality

Margin Negotiations

Deals/Discounts

Product

Sales

Service

Sales

B2B

B2C

Purchase and Sell

Marketplace

COD | Prepaid

Understanding the E-Commerce Business2

SCM &

Logistics

Fuelling the Growth….

Business Expansion Product ReachMode of Selling

Capability Building Technology Processes Speed

Customer Engagement Interface Marketing Service

P&L Revenue Margins Cash Flow

A Robust Supply Chain &

LogisticsSolution

to enhance Customer

Experience and fuel Business

Growth

Reach

Technology Processes Speed

Interface Service

Revenue Margins

ProductMode of Selling

Cash Flow

Paradigm Shift

In a Nutshell…..

E-Commerce is going to be the Biggest Shopping Destination in India

Driven by Robust Supply Chain and Logistics

Solutions

Directly Impacting

Top Line Bottom LineCustomer

ExperienceCash Positive

Business

Questions?

Happy Shopping!