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Building Blocks eRetail
Presented at eTailing India - Jaipur
Date: 19th Apr, 2013
Speaker : Samarjeet Singh
EBay 13+ Internet
Retail Experience,
Baazee.com
CRICKET Talkative
Tajonline Positive
Black Label
What do we do?
Iksula is an End-to-End Internet Retail Solutions and Service
Provider
Technology
Internet
Marketing
Content
Production
Consulting
About Iksula
2007
The Year Iksula was Founded
About Iksula
200+
Employees as of Dec-2012
About Iksula
40+
Man Years of Digital Expertise
About Iksula
200+
Ecommerce Websites powered by Iksula
About Iksula
3
Offices in Mumbai, New York
and
Singapore
Clients Across 5 Continents
A few of our Clients
Main Index
1. Introduction--------------------------------------------------------------------------------------------------------------------------------------------------------------------------12
2. Online Retail in India -------------------------------------------------------------------------------------------------------------------------------------------------------------18
3. Online Retail Operations --------------------------------------------------------------------------------------------------------------------------------------------------------21
3.a. Building blocks of Online Retail -------------------------------------------------------------------------------------------------------------------------------------------------------------24
3.b. Technology --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------25
3.c. Content & Imaging -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------48
3.d. Online Marketing -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------63
3.e. Fulfillment ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------77
3.f. Customer Support ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------95
4. Future of Ecommerce - Looking Ahead ----------------------------------------------------------------------------------------------------------------------------------106
4.a. M Commerce ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------107
4.b. Augmented Reality----------------------------------------------------------------------------------------------------------------------------------------------------------------------------109
4.c. Social Commerce------------------------------------------------------------------------------------------------------------------------------------------------------------------------------111
4.d. Group Buying-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------112
Ecommerce :: Introduction to Ecommerce through Eyes of a Consumer::
Effects on Purchase Decision.
Store 1
Store 2 Store 1
Store 1
Store 2
Search
Engines
Targeted Ads
Store 1 Online
Website
Store 1 Online
Website
Purchase Decisions have got very informative but very
complicated for retailers
Online Retail :: Introduction ::
Why E-Retail: The Reasons remain the same over years
E retail Consumer Value Proposition.
Convenience
Hard To Find
Price
Online Retail :: Online Retail in USA ::
Proposition of Online Retail in US.
Online Retail :: Online Retail in USA :: Proposition of Online Retail in US ::
Convenience : The Consumer Proposition
Convenience
Books, Music,
Movies,….
Sit @ Home
and Get it
Selection
Deep
Research
Value Proposition , Categories and Formats.
Hard to Find
Antiques, Coins,
Radio Controlled
Toys ….
C2C Commerce
Cannot get it
Anywhere Get it
here
Local became
National with
second hand goods
Online Retail :: Online Retail in USA :: Proposition of Online Retail in US ::
Hard to Find: The Consumer Proposition.
Value Proposition , Categories and Formats.
Inventory Clearance
Discount
Price
Electronics,
Computers,
Price Discovery
Auction, Volume
Aggregation
Online Retail :: Online Retail in USA :: Proposition of Online Retail in US ::
Price: The Consumer Proposition.
Value Proposition , Categories and Formats.
Online Retail :: Online Retail in India
Online Retail :: Online Retail in India :: Current Indian Online Retailers. ::
429+ significant players now operating…
and many more….
Source : Iksula Consulting
Ecommerce :: Ecommerce Business models ::
Indian E-Retail Landscape: A Summary
Vertical
Source : ‘India Goes Digital’ - Avendus
Online Retail :: Online Retail Operations.
Online Retail :: Online Retail in USA ::
Challenges faced initially by brick n mortar stores on Online medium???
How will we
reserve
Inventory ?
How do we plan
Supply for our store
plus online ?
We have no idea
about Online
Technologies !
How will we
Integrate with
our ERP ?
We don’t have a
Online Merchandising
Plan !
What is
Online
Marketing ? How do we ship
Individual Orders?
How do we
Manage Returns?
Does it seem like a same story everywhere ?
Ecommerce Master Class :: Online Retail ::
Index.
2.d. Online Retail Operations
a. Building Blocks of Online Retail
b. Technology .
c. Content.
d. Product Photography.
e. Online marketing.
f. Fulfillment
g. Packaging
h. Customer Support
Online Retail :: Online Retail Operations.
Building blocks of E-Retail.
Tech
Marketing
Fulfillment
cust care
Front End Back End
Customer 4
Content
2
3
1
5
Order Sent
Order Fulfilled
Key Components of Digital Retailing
Scaling your business by
implementing robust,
extensible & upgradable
“Technology”
1 Technology.
tech
1
:: Building blocks of E-Retail :: Technology ::
E-Retail Transaction Workflow.
:: Building blocks of E-Retail :: Technology ::
The building blocks of e-Retail technology.
Technology
Merchandising
Marketing
Social & Mobile
Backend
Management
Security
Maintenance
Support
Performance
:: Building blocks of E-Retail :: Technology :: Technology requirements today ::
Merchandising functionality. Merchandising
Product Zooms Product Options
Product
Comparisons
Soft Add to Cart
Swatch Options Unlimited Product Photos
:: Building blocks of E-Retail :: Technology ::
Cross Selling.
Why Amazon does this better????
1. First, they build relationship maps of product inventory and attributes
2. Then, they capture consumer intent and combine it with the “wisdom of the crowds.
3. On a page load, they run multiple recommendation types in real time to recommend the perfect products.
4. Finally, they measure the performance of the recommendations, creating a real time-feedback loop that
constantly optimizes them on a per placement and per page basis
:: Building blocks of E-Retail :: Technology ::
Up Selling.
:: Building blocks of E-Retail :: Technology ::
Personalization.
Marketing
Daily Deals Get found in search engines Create coupons & discounts
Post Customer reviews
for real time feedback
Send automated emails
and newsletters
Wish Lists
:: Building blocks of E-Retail :: Technology :: Technology requirements today ::
Marketing functionality.
Social & Mobile
Sell your products on
Facebook
Post directly to twitter &
facebook
Manage videos in a snap
Like it, Share it, tweet it. Mobile Sites
:: Building blocks of E-Retail :: Technology :: Technology requirements today ::
Integrations with Social & Mobile media.
Management
CRM Tools Inventory Management
Reporting Order Processing
:: Building blocks of E-Retail :: Technology :: Technology requirements today ::
Managing the E-Retail backend.
Security &
support
Industry Standard
Certifications
Control Access to the store
:: Building blocks of E-Retail :: Technology :: Technology requirements today ::
Security & support.
Performance
Source: Volusion.com
:: Building blocks of E-Retail :: Technology :: Technology requirements today ::
Performance and Uptime.
Content Delivery Networks Uptime Issues.
Down is Revenue Loss
Technology Hardware
:: Building blocks of E-Retail :: Technology ::
Global Ecommerce technology Vendors.
:: Building blocks of E-Retail :: Technology ::
What shopping cart technology to use.
Starting Up Intermediate Advanced
Global
Company
2 – 5 Lac 5 – 10 Lac 50 L – 1 Cr
:: Building blocks of E-Retail :: Technology ::
Payment Gateways in India with charges
( Rate Card: Negotiations over and Above ;-).
Source: Iksula Consulting
Best Practice for Merchandizing
in E-Retail
:: Building blocks of E-Retail :: Technology ::
Case Study.
:: Building blocks of E-Retail :: Technology :: Case Study ::
Home Page.
•Proflowers.com displays on each page in the header banner saying “Need it today?”, which
clearly attracts people who need flowers now – today. 1800flowers.com displays a similar banner
only on the home page, but not in the header or anywhere else throughout the site.
•Proflowers.com homepage is more visually appealing and makes a selling point rather than just
display.
Multi-brand Websites integrated with single Check out
Highlighted
Customer Care
Number
Create Urgency
Need it today !!
Best Sellers on
homepage
Separate Category
for Occasion
Prominent Search
Box
International
Orders
Source: ProImpact7.com
By Jan Petrovic
:: Building blocks of E-Retail :: Technology :: Case Study ::
Category Page.
Detailed Choice
Options
Appealing Product
Photography
Upfront
Pricing
Bread Crumbs
Sorting Options
Shipping Info
Source: utsavfashion.in
:: Building blocks of E-Retail :: Technology :: Case Study ::
Product Page : Above the Fold.
Source: Yebhi.com
Product Zooms
Product Titles
Shipping Info
Customer Care Info
Pmt.
Info
Product Attributes
Product
Descriptions
Buying GuidesSocial Media
IntegrationsAlternate Images
Fold
Source: Yebhi.com
Social Acceptance
Up Sells
Cross Sells
Search History
Fold
Above the
Fold
Below the
Fold
:: Building blocks of E-Retail :: Technology :: Case Study ::
Product Page : Below the Fold.
Source: MyHabit.com
• Myhabit.com displays product videos into its product pages, the model shown above actually
walks and turns on the product page
Product 3D
Videos
:: Building blocks of E-Retail :: Technology :: Case Study ::
Product Page : Innovations.
Source: ProImpact7.com
By Jan Petrovic
•Proflowers.com displays their SSL security seal by Verisign on the bottom of the page
• Original website header and footer are replaced by progress indicator and “lighter” footer in order
not to distract shoppers from their task, which is to finish the checkout process. In both cases
through out the whole checkout process you will see what is in your basket,
Steps Remaining
Satisfaction
Guarantees
Trust Seals
Safe Transaction
Prompts
:: Building blocks of E-Retail :: Technology :: Case Study ::
Checkout Page.
Solution for Low page load time
1. Using Memcached
2. G-Zip compression for CSS / JS
3. Use of CDN servers [content delivery network]
4. Nearest server location as of the target user source.
5. Compress output
6. Leverage browser caching
7. PHP tweaks like allocate more memory to the application
8. Get rid of 404 errors.
9. Reduce http request
10.Use Sprite images.
Solution for increasing SKU
1. MySql Tuning
2. Indexing of Products
3. Query Caching
:: Building blocks of E-Retail :: Technology :: Technology requirements today :: Performance ::
Case Study : Performance Optimization a gifting website.
Problem
Low page load
time
Increasing SKU
Source: Iksula Consulting
e-commerce players increase
their conversion rate through
effective product page
“CONTENT”
2 Content
Descriptn Attributes
Meta
Keywords
Images
:: Building blocks of E-Retail :: Content :: Overview ::
Great product content why??
Convert
• SEO optimized content
which helps the
product page to gain
SEO rankings
• Structured product attributes
which helps users
understand the product
• Detailed images which help
consumers to get a feel of
the product
• Great sales pitch
• Highlight consumer benefits rather than
product features
• Better Conversions
Plays a key role in “attracting”, “engaging” and “converting” users
Main Product Image
• The best product
shot
• Helps to highlight
product look and feel
Related Items
• Gives customer a choice to
choose from other similar
products and accessorize
Product Title
• The first window to the
product along with the
thumbnail image
Product Description
• Gives the consumer a feel of how the product will
look and feel
Alternate Product Images
 Helps consumer to get a complete feel of the product
Key Features
• Gives a quick
overview of the key
selling features
Online Retail :: Online Retail Operations :: Building blocks of E-Retail ::
Product Page Content.2
Effective content is required to improve site conversion rates.
• Romanticize the product content to engage a consumer
• Inform the consumer about product features
• Seed SEO keywords
:: Building blocks of E-Retail :: Content :: Overview ::
Product Description.
Engage, inform and convert through well written product descriptions.
Engaging Product
Content keeps
customers glued
to the page and
SEO Rankings
:: Building blocks of E-Retail :: Content :: Overview ::
Product Attributes.
http://www.up.ac.za/saafecs/vol31/north.pdf
International Study by the University of Pretoria
The above research suggests that :
Price and Style are the most important
attribute in apparels category
Detailed product attributes which
helps a consumer to know the
product better
Detailed structured attribute which helps user comprehend products.
:: Building blocks of E-Retail :: Content :: Overview ::
Product Images.
Model shots give a better feel
of how the product will look
on a person
High resolution model shots help to get consumers a real life feel.
High resolution images gets close to real life experience
Ability to zoom to view fabric
detailing and designs
:: Building blocks of E-Retail :: Content :: Process Workflow ::
Creating product KITS.
Consumer Need
• Allows a consumer to
buy an entire set of
products
• Up sell opportunity
for the site
1. Identify all the products
which can be kitted
together
Sofa
Cushion
Chair
Side table
Furniture Category Example
Supplier: MGM Trading
Kit: Living Room Kit
Foot Stool Coffee table
2. Also leverage category knowledge to identify
other items which could go with this kit. Eg: Chests
Identifying and creating OPTIONS from manufacturer price sheets
Consumer Need
• Gives customer finer
choices on a product she
has chosen
Lighting Category Example
Supplier: Nulco
Product: Nulco Decorative Flush Mount
Available options
Pictured in tuscan bronze Image caption helps customers
understand the picture better and
also index images on SEs
:: Building blocks of E-Retail :: Content :: Process Workflow ::
Creating OPTIONS.
:: Building blocks of E-Retail :: Content :: Process Workflow ::
Creating CROSS SELLS on accessories and related Items.
Business Need
• Cross sell related items
to increase consumer
value
Plumbing Category Example
Supplier: Danze
Product: Danze D500058 Single Handle Pressure Balanced Tub, Shower
Trim and Valve with Rain Showerhead from the Parma Collection
Accessories Related ItemsMain Product
:: Building blocks of E-Retail :: Content :: Process Workflow ::
CATEGORIZATION and CLASSING into relevant categories.
Consumer Need
• Helps a consumer
narrow down on his
choice of products
Example: Classes & Attribute list for the Lighting Category
:: Building blocks of E-Retail :: Content :: Product Photography ::
Internet Product Photography & Why.
ALTERNATIVE VIEWS
Customers don’t buy what they can’t see, "You need to show
alternative views because you’re really trying to close the
touch-and-feel barrier that is lacking on the website that you
can experience in a store setting.
Source: Victorinox.com
Without the ability to touch, hold, smell, taste or otherwise handle the products
customers have only images to interact with.
CONVERSION RATE
Ultimately, the softer, tastier, flashier and more attractive
your products look to shoppers, the more confident they’ll
feel about purchasing from you and the better your
“conversion rate” will be.
EVALUATE PRODUCTS
Provide a competitive advantage. In a crowded e-commerce
landscape offering high quality images (and plenty of them)
helps users evaluate products and decide to buy.
:: Building blocks of E-Retail :: Content :: Product Photography ::
E- Retail Photography Operational Challenges
• Products handling and Re-packing.
• In house apparel ironing stations.
• Backend systems integration for quick photo uploads to system.
• Make up artists, Equipment Management and Studio Management.
• In house vs. Outsource Dilemma The Speed Vs Control Dilemma
• Maximum number of finished images per day
E-Retail Photography is process and
scale is the biggest challenge .
:: Building blocks of E-Retail :: Content :: Product Photography ::
A typical setup for smaller size products.
• Specialized Product Photography Cameras and Camera Box.
• Product Angle &
Background Setup
• Lighting Setup
Key Challenges:
• Products need to be very high resolution to
help in zoom.
• Low Setup time and higher number of Shots
/ Shift
• More Angles to ensure higher rotation for
Smaller Products.
:: Building blocks of E-Retail :: Content :: Product Photography ::
Apparel Photo Shoot with Models.
:: Building blocks of E-Retail :: Content :: Product Photography ::
E Retail Photo Shoot Best Practices.
•CATEGORY PAGE IMAGES. •PRODUCT PAGE IMAGES. •ZOOMED/DETAILED PRODUCT IMAGES.
For category images it makes sense to:
1. Use images to complement text descriptions.
2. Be sure images are large enough for
comparisons.
3. Display color swatches.
For product images it makes sense to:
1. Offer detailed images and multiple views.
2. Enable users to see product variations.
3. Don’t group products into the same
image.
4. Make it easy for users to switch between
views and variations.
For zoomed images it makes sense to:
1. For exceptionally large items, offer many
views..
2. Have Adequate resolution.
3. In Focus with the mouse over.
Source: completeusability.com
Sales in Online
Marketing in primarily
driven by highly
efficient
“Online Marketing”
Online Marketing.3
Online
Marketing
Search
Engine
Optimization
Social Media
Optimization
Email
Marketing
Affiliate
Marketing
Online
Channel
Management
Paid
Advertising
Online Retail :: Online Retail Operations :: Building blocks of E-Retail ::
Online Marketing.
Potential Objectives.
•Driving targeted traffic to a Web site and
converting visitors to customers.
•Customer retention and increasing LTV
of a customer.
•Establishing Brand-Awareness
Strategies and tactics applied on the internet to support an organization’s overall online marketing objectives.
1
2
3
4
5
6
:: Building blocks of E-Retail :: Online Marketing :: Search Marketing:
SEO and PPC ( Dominance of Google )
Pay Per Click
Advertisements
Pay Per Click
Advertisements
Search Engine
Optimized
Results.
1
:: Building blocks of E-Retail :: Online Marketing :: Search Marketing:
Search Engine Optimization.
What is SEO?
Combination of activities that prepare website to get into higher ranks in the natural search.
A snapshot of search results page
Benefits of SEO:
 Reach out to wider global audience
 Position the brand and position it right!
 Spread awareness and engage consumer.
 Very cost effective marketing
Popular search engines
Why do SEO?
 Search engines can read your website
properly & understand it
Improve credibility of your site on the
internet
Drive traffic from other sites to your
site
1
Higher Revenues
Site Outreach
– Off Page
Optimization
Increase page
rank and traffic
by reaching out
to relevant sites
On Site
Optimization
SEO Audit -
Structural &
Content
Analysis,
Execution
Keyword
Research &
Strategy
Internal,
Market and
Competition
analysis
:: Building blocks of E-Retail :: Online Marketing :: Search Engine Optimization ::
SEO approach
2.
1.
3.
SEO approach should be “end result driven” & “comprehensive”
A constant focus on
what matters most –
conversion and
revenues
Organic Visitors
1
:: Building blocks of E-Retail :: Online Marketing :: Search Engine Optimization ::
1. Keyword strategy: Detailed keyword research, classification and execution plan.
• Arrive at relevant keywords
as per target audience &
internal strategy
•Current product lines
•TG & demographic research
•Most searched keywords on
site
•Keyword density for top site
pages
•Strategic keywords
Internal
Research
• Benchmark strengths and
opportunities with market &
competition
•Keyword competition analysis
•Identity and leverage niche
long tail opportunities
•Keyword suggestions
•Seasonal trends & it’s impacts
Market
research
• Classify and drive activities
as per keyword buckets
•Keyword classification –
Strategic, High Volume, Long
Tail, Virgin, Phrase
•Customized activities for each
bucket of keywords
Keyword
strategy
Keyword classification & strategy
Keyword research
Keyword classification Definition Strategy
Strategic Keywords most relevant to my product lines and
TG and with high search volumes
High density use in site elements, meta data, content along
with targeted off page activities
High volume Keywords indirectly relevant to my product lines
and with very high search volumes
Very low density use in meta keywords along with broad
targeting through off page activities
Long tail Keywords relevant to my product lines and TG,
but with very low search volumes
Low density use in meta data along with broad targeting
through off page activities
Virgin Keywords relevant to my product lines and TG,
but with very low search volumes
High density in page content, medium density in meta data
along with targetted off page activities; evaluate auto
creation of pages specific to search queries
Long search queries Phrase search queries (typically very high
conversions)
Evaluate auto creation of pages specific to search queries
along with link building
1
1 Page Title 2 URL Structure 3 Meta Keywords
6 Image Alt Tags 5 Key word density
4 Meta Description
Optimize most visited pages through customized “structure” and “content”
:: Building blocks of E-Retail :: Online Marketing :: Search Engine Optimization ::
2. On Site Optimization: A “3 step” comprehensive process to optimize and index pages
Optimize long tail pages through a “page content” and “auto template” based fillStep 2.
Step 1.
Site Map submissions – create & manually submit XML site maps
to search enginesStep 3.
1
:: Building blocks of E-Retail :: Online Marketing :: Search Engine Optimization ::
3. Site Outreach – Off Page Optimization: Increase site authority & drive traffic from back links
A concerted drive to reach out to high authority and relevant sites with information on
the website leading to
• Increased authority of the site and Indexed pages to improve page rank
• Increased traffic from links linking back to the site
“8 step process” to create back links, to improve Page Rank & driving traffic
1. Directory Submissions (Site & Individual Pages).
2. Write and Maintain Blogs.
3. Comments on other Blogs, Groups, Forums.
4. Article Submissions.
5. Video Submissions.
6. Social Media & Bookmarks.
7. Image SEO.
8. Local SEO.
1
:: Building blocks of E-Retail :: Online Marketing ::
Social Media Marketing.
3
:: Building blocks of E-Retail :: Online Marketing ::
Email Marketing (Permission Based)
• Promotion of Products and Services via Email
• Lower Cost and More Flexible Than Direct Mail
• Build, Retain and Strengthen Customer Relationships
• Builds Brand-awareness
Campaign
Objectives
• Sales
• Leads
• Awareness
Create Media
Message
• Text
• Images
• Audio
Deliver
Broadcast
• Email
• Link Codes
Analyze
Performance
• Open
• Click
• Buy / Action
Approach to Email Marketing
4
:: Building blocks of E-Retail :: Online Marketing :: Email Marketing ::
Email Marketing: Details …..
SUBJECT : Sandesh, Season of Sale on Myntra - Up to 50% OFF on 200+ Brands
To unsubscribe, click here
Send this message to a friend.
To view a web version of this message, click here
Up to 50% Off on Footwear for Men & Women. Rs. 125 onwards.
SHOP NOW
Up to 50% Off on Accessories for Men & Women. Rs. 125 onwards.
SHOP NOW
Create Urgency
Personalization
Sharing
Opt out option
High Quality Images
4
:: Building blocks of E-Retail :: Online Marketing :: Affiliate Marketing ::
Affiliate Marketing management websites.
1
2
National
National
International
3
5
:: Building blocks of E-Retail :: Online Marketing :: Affiliate Marketing ::
Price Comparison Websites
Book pricing
comparison
Pricing comparison websites are different for different categories.
5
Brand Products
:: Building blocks of E-Retail :: Online Marketing ::
Online Multichannel Marketing
Sell products on Multichannel to Increase Coverage and sales.
6
Manage last mile order
delivery and returns
through robust
“Fulfillment”
4 Fulfillment.
:: Building blocks of E-Retail :: Order Management & Fulfillment ::
Most important aspects of fulfillment.
Source: Nielsen Wire US 2011
Fulfillment is the key to Service
:: Building blocks of E-Retail :: Order Management & Fulfillment ::
Goods movement post purchase.
Vendor,
Dropshipper,
Direct supply Manufacturer
BA
C
Is
Stock
Avl.
D
Shipped to customer
FCourier
Yes
No
Returns
H
ESupplier/
Mft.
Warehouse
Stock supply to warehouse
G
G
Shipped to customer
Efulfillment.
Order Allocator System: In Multi Vendor EnvironmentA
•The order allocator system will decide where the order will be placed
i.e to our own warehouse or to third party supplier based on a set
algorithm.
•This may depend on the order in stock in our warehouse or
availability.
Process
Warehouse Management SystemB
•The warehouse management system will track the in‟s and out of inventory from
the warehouse.
•This system will work closely with the inventory management software.
•Shipping labels to be generated for the packing team.
Process
:: Building blocks of E-Retail :: Order Management & Fulfillment ::
Ecommerce dedicated warehouses : USA.
Vendor Management SystemC
•The vendor management system will track the activities of the
vendor.
•The vendor management team will have their frontend wherein they
can track & update the status of the order with the vendor and
monitor the vendors.
Process
Inventory Management SystemD
•The inventory management system will keep a check on the available inventory
at our warehouse.
•Inventory with TP vendor can also be mapped in this system.
•Returns data and replenishment will have to be integrated here.
•The inventory management system will coordinate with the
supplier so that there are no “out of stock items” and required
inventory is replenished on time.
Process
Supplier Management SystemE
•The supplier management system will track the supply from the manufacturer.
•It should manage the inventory supply to our warehouse and make sure we have
enough stock on hand always for fulfillment.
•The supplier management system is to be mapped with the inventory
management for this purpose of „Inventory Replenishment‟
•We have to make provisions and arrangements of „Just in Time‟ delivery order
with the supplier.
Process
•The courier management system will allocate the order to the specific courier
company.
•This system by decided logic will decide who will be the most cost effective
courier for a particular order.
• Data provided by courier companies. Eg price, destination pin codes, weight to
be mapped in this system for logic to work
•This system will also be integrated with the „Order tracking
system‟ to track orders.
Courier Allocator SystemF
Process
Order Tracking SystemG
•The order tracking system will track orders by Order ID.
•This functionality has to be made available to the customer ,vendor
& supplier management team as well as the customer support call
centre team who will be up to date with the current happenings of a
particular order.
Process
Returns Management SystemH
•The returns management system will manage the returns by the customer.
•Returns authorization team will approve the returns / money back to the
customer and will generate a return authorization number.
•Returns inventory data mapping.
•The system will work with the warehouse/ Third Party vendor to ship a
replacement product or write off the order if the customer decides to get his
money Back.
Process
:: Building blocks of E-Retail :: Order Management & Fulfillment ::
Warehousing.
Ecommerce dedicated warehouses : USA.
Video of Diapers.com warehouse in the main folder.
:: Building blocks of E-Retail :: Order Management & Fulfillment ::
Third Party Logistics Services for Ecommerce.
Ecommerce :: Ecommerce in India :: Ecosystem :: Ecommerce Supply Chain ::
Owned vs. Outsourced delivery.
In the short to medium term, it seems increasingly likely that e-commerce companies will
follow a two-pronged strategy:
A ) Developing their own delivery channel for the metros.
B) Relying on outsourced parties for tier 2 and 3 cities where they are subscale.
Supply Chain & Logistics
Source : ‘India Goes Digital’ - Avendus
:: Building blocks of E-Retail :: Order Management & Fulfillment ::
Packaging.
Amazon Certified Frustration-Free Packaging
Amazon works directly with manufacturers to box products in
Frustration-Free Packages right off the assembly lines, which reduces
the overall amount of packing materials used.
Why put a box into a box ??
:: Building blocks of E-Retail :: Order Management & Fulfillment :: Packaging ::
More Examples.
:: Building blocks of E-Retail :: Order Management & Fulfillment :: Packaging ::
Lets took Pictures of all Indian Packaging we have: Still some way to go
Myntra.com Flipkart.com
Retain and assist
customers through
incredible
“Customer Service”
5 Customer Service.
Online Retail :: Online Retail Operations :: Building blocks of E-Retail ::
Customer Support: The Objective5
• Goods Tracking.
• Orders over the phone.
• Customer Care.
• Vendor Management.
• Feedback from Customers.
:: Building blocks of E-Retail :: Customer Service ::
Reasons for Customer Support.
Customer service will be a differentiating factor between eTailers.
Email
Live Chat
Phone
1
2
3
:: Building blocks of E-Retail :: Customer Service ::
3 Famous Mediums of Customer Support.
Online Retail :: Case Study
Retail versus Online Retail.
Online Retail :: Online Retail in USA ::
Case Study.
Walmart. vs Amazon.
Round 1. Market Performance.
Walmart. vs Amazon.
Round 2. Products & Prices.
Food For thought
If the cost of monthly shipment and cost of trips to retail shops equals Amazon
would always be cheaper and occupy the pricing proposition completely
Walmart. vs Amazon.
Round 3. Brand Performance.
Amazon by proving higher brand ranking and customer service has proven that
this model can deliver to consumer expectations
Walmart. vs Amazon.
Round 4. Expansion & Innovation.
Walmart. vs Amazon.
Projected Revenue.
Key Take Away
•Amazon is projected to surpass
Wal-Mart in sales revenues in the
year 2024.
Future of Ecommerce
Future of Ecommerce :: mCommerce :: Payments ::
Ease and Payments at a Click of a Button.
New innovative payment solutions.
Future of Ecommerce :: mCommerce :: SMS Buying ::
Buy using a text.
Buying through mobile texting.
Future of Ecommerce :: Augmented reality ::
Buying as you think it in real world by
watching in real world through digital eyes.
Retailing Experience.
Future of Ecommerce :: Augmented reality ::
Buying as you think it in real world by watching
in real world by Digital eyes …..
Retailing Experience.
Future of Ecommerce :: Social Buying ::
Buying with Approval, Kaisa Lag raha hain?
Instant show and Tell.
Future of Ecommerce :: Social Buying ::
What do my friends like? Peer Acceptance is
Key in Shopping Process. Isn't it ….
Instant show and Tell.
Future of Ecommerce :: Social Buying ::
Buy with Approval of Friends and Family.
Instant show and Tell.
Future of Ecommerce :: Group Deals ::
Group buying behavior as we do it.
Collaboration.
Future of Ecommerce :: Group Deals ::
Pay as a Group for Gifts and more…
Collaboration.
Thank You @ Welcome to
Ecommerce World
Feel free to contact us for further queries
knowledge@iksula.com

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Building Blocks @eTailingIndia Jaipur Conclave Apr 2013

  • 1. Building Blocks eRetail Presented at eTailing India - Jaipur Date: 19th Apr, 2013
  • 2. Speaker : Samarjeet Singh EBay 13+ Internet Retail Experience, Baazee.com CRICKET Talkative Tajonline Positive Black Label
  • 3. What do we do? Iksula is an End-to-End Internet Retail Solutions and Service Provider Technology Internet Marketing Content Production Consulting
  • 4. About Iksula 2007 The Year Iksula was Founded
  • 6. About Iksula 40+ Man Years of Digital Expertise
  • 8. About Iksula 3 Offices in Mumbai, New York and Singapore
  • 9. Clients Across 5 Continents
  • 10. A few of our Clients
  • 11. Main Index 1. Introduction--------------------------------------------------------------------------------------------------------------------------------------------------------------------------12 2. Online Retail in India -------------------------------------------------------------------------------------------------------------------------------------------------------------18 3. Online Retail Operations --------------------------------------------------------------------------------------------------------------------------------------------------------21 3.a. Building blocks of Online Retail -------------------------------------------------------------------------------------------------------------------------------------------------------------24 3.b. Technology --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------25 3.c. Content & Imaging -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------48 3.d. Online Marketing -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------63 3.e. Fulfillment ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------77 3.f. Customer Support ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------95 4. Future of Ecommerce - Looking Ahead ----------------------------------------------------------------------------------------------------------------------------------106 4.a. M Commerce ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------107 4.b. Augmented Reality----------------------------------------------------------------------------------------------------------------------------------------------------------------------------109 4.c. Social Commerce------------------------------------------------------------------------------------------------------------------------------------------------------------------------------111 4.d. Group Buying-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------112
  • 12. Ecommerce :: Introduction to Ecommerce through Eyes of a Consumer:: Effects on Purchase Decision. Store 1 Store 2 Store 1 Store 1 Store 2 Search Engines Targeted Ads Store 1 Online Website Store 1 Online Website Purchase Decisions have got very informative but very complicated for retailers
  • 13. Online Retail :: Introduction :: Why E-Retail: The Reasons remain the same over years E retail Consumer Value Proposition.
  • 14. Convenience Hard To Find Price Online Retail :: Online Retail in USA :: Proposition of Online Retail in US.
  • 15. Online Retail :: Online Retail in USA :: Proposition of Online Retail in US :: Convenience : The Consumer Proposition Convenience Books, Music, Movies,…. Sit @ Home and Get it Selection Deep Research Value Proposition , Categories and Formats.
  • 16. Hard to Find Antiques, Coins, Radio Controlled Toys …. C2C Commerce Cannot get it Anywhere Get it here Local became National with second hand goods Online Retail :: Online Retail in USA :: Proposition of Online Retail in US :: Hard to Find: The Consumer Proposition. Value Proposition , Categories and Formats.
  • 17. Inventory Clearance Discount Price Electronics, Computers, Price Discovery Auction, Volume Aggregation Online Retail :: Online Retail in USA :: Proposition of Online Retail in US :: Price: The Consumer Proposition. Value Proposition , Categories and Formats.
  • 18. Online Retail :: Online Retail in India
  • 19. Online Retail :: Online Retail in India :: Current Indian Online Retailers. :: 429+ significant players now operating… and many more…. Source : Iksula Consulting
  • 20. Ecommerce :: Ecommerce Business models :: Indian E-Retail Landscape: A Summary Vertical Source : ‘India Goes Digital’ - Avendus
  • 21. Online Retail :: Online Retail Operations.
  • 22. Online Retail :: Online Retail in USA :: Challenges faced initially by brick n mortar stores on Online medium??? How will we reserve Inventory ? How do we plan Supply for our store plus online ? We have no idea about Online Technologies ! How will we Integrate with our ERP ? We don’t have a Online Merchandising Plan ! What is Online Marketing ? How do we ship Individual Orders? How do we Manage Returns? Does it seem like a same story everywhere ?
  • 23. Ecommerce Master Class :: Online Retail :: Index. 2.d. Online Retail Operations a. Building Blocks of Online Retail b. Technology . c. Content. d. Product Photography. e. Online marketing. f. Fulfillment g. Packaging h. Customer Support
  • 24. Online Retail :: Online Retail Operations. Building blocks of E-Retail. Tech Marketing Fulfillment cust care Front End Back End Customer 4 Content 2 3 1 5 Order Sent Order Fulfilled Key Components of Digital Retailing
  • 25. Scaling your business by implementing robust, extensible & upgradable “Technology” 1 Technology. tech 1
  • 26. :: Building blocks of E-Retail :: Technology :: E-Retail Transaction Workflow.
  • 27. :: Building blocks of E-Retail :: Technology :: The building blocks of e-Retail technology. Technology Merchandising Marketing Social & Mobile Backend Management Security Maintenance Support Performance
  • 28. :: Building blocks of E-Retail :: Technology :: Technology requirements today :: Merchandising functionality. Merchandising Product Zooms Product Options Product Comparisons Soft Add to Cart Swatch Options Unlimited Product Photos
  • 29. :: Building blocks of E-Retail :: Technology :: Cross Selling. Why Amazon does this better???? 1. First, they build relationship maps of product inventory and attributes 2. Then, they capture consumer intent and combine it with the “wisdom of the crowds. 3. On a page load, they run multiple recommendation types in real time to recommend the perfect products. 4. Finally, they measure the performance of the recommendations, creating a real time-feedback loop that constantly optimizes them on a per placement and per page basis
  • 30. :: Building blocks of E-Retail :: Technology :: Up Selling.
  • 31. :: Building blocks of E-Retail :: Technology :: Personalization.
  • 32. Marketing Daily Deals Get found in search engines Create coupons & discounts Post Customer reviews for real time feedback Send automated emails and newsletters Wish Lists :: Building blocks of E-Retail :: Technology :: Technology requirements today :: Marketing functionality.
  • 33. Social & Mobile Sell your products on Facebook Post directly to twitter & facebook Manage videos in a snap Like it, Share it, tweet it. Mobile Sites :: Building blocks of E-Retail :: Technology :: Technology requirements today :: Integrations with Social & Mobile media.
  • 34. Management CRM Tools Inventory Management Reporting Order Processing :: Building blocks of E-Retail :: Technology :: Technology requirements today :: Managing the E-Retail backend.
  • 35. Security & support Industry Standard Certifications Control Access to the store :: Building blocks of E-Retail :: Technology :: Technology requirements today :: Security & support.
  • 36. Performance Source: Volusion.com :: Building blocks of E-Retail :: Technology :: Technology requirements today :: Performance and Uptime. Content Delivery Networks Uptime Issues. Down is Revenue Loss Technology Hardware
  • 37. :: Building blocks of E-Retail :: Technology :: Global Ecommerce technology Vendors.
  • 38. :: Building blocks of E-Retail :: Technology :: What shopping cart technology to use. Starting Up Intermediate Advanced Global Company 2 – 5 Lac 5 – 10 Lac 50 L – 1 Cr
  • 39. :: Building blocks of E-Retail :: Technology :: Payment Gateways in India with charges ( Rate Card: Negotiations over and Above ;-). Source: Iksula Consulting
  • 40. Best Practice for Merchandizing in E-Retail :: Building blocks of E-Retail :: Technology :: Case Study.
  • 41. :: Building blocks of E-Retail :: Technology :: Case Study :: Home Page. •Proflowers.com displays on each page in the header banner saying “Need it today?”, which clearly attracts people who need flowers now – today. 1800flowers.com displays a similar banner only on the home page, but not in the header or anywhere else throughout the site. •Proflowers.com homepage is more visually appealing and makes a selling point rather than just display. Multi-brand Websites integrated with single Check out Highlighted Customer Care Number Create Urgency Need it today !! Best Sellers on homepage Separate Category for Occasion Prominent Search Box International Orders Source: ProImpact7.com By Jan Petrovic
  • 42. :: Building blocks of E-Retail :: Technology :: Case Study :: Category Page. Detailed Choice Options Appealing Product Photography Upfront Pricing Bread Crumbs Sorting Options Shipping Info Source: utsavfashion.in
  • 43. :: Building blocks of E-Retail :: Technology :: Case Study :: Product Page : Above the Fold. Source: Yebhi.com Product Zooms Product Titles Shipping Info Customer Care Info Pmt. Info Product Attributes Product Descriptions Buying GuidesSocial Media IntegrationsAlternate Images Fold
  • 44. Source: Yebhi.com Social Acceptance Up Sells Cross Sells Search History Fold Above the Fold Below the Fold :: Building blocks of E-Retail :: Technology :: Case Study :: Product Page : Below the Fold.
  • 45. Source: MyHabit.com • Myhabit.com displays product videos into its product pages, the model shown above actually walks and turns on the product page Product 3D Videos :: Building blocks of E-Retail :: Technology :: Case Study :: Product Page : Innovations.
  • 46. Source: ProImpact7.com By Jan Petrovic •Proflowers.com displays their SSL security seal by Verisign on the bottom of the page • Original website header and footer are replaced by progress indicator and “lighter” footer in order not to distract shoppers from their task, which is to finish the checkout process. In both cases through out the whole checkout process you will see what is in your basket, Steps Remaining Satisfaction Guarantees Trust Seals Safe Transaction Prompts :: Building blocks of E-Retail :: Technology :: Case Study :: Checkout Page.
  • 47. Solution for Low page load time 1. Using Memcached 2. G-Zip compression for CSS / JS 3. Use of CDN servers [content delivery network] 4. Nearest server location as of the target user source. 5. Compress output 6. Leverage browser caching 7. PHP tweaks like allocate more memory to the application 8. Get rid of 404 errors. 9. Reduce http request 10.Use Sprite images. Solution for increasing SKU 1. MySql Tuning 2. Indexing of Products 3. Query Caching :: Building blocks of E-Retail :: Technology :: Technology requirements today :: Performance :: Case Study : Performance Optimization a gifting website. Problem Low page load time Increasing SKU Source: Iksula Consulting
  • 48. e-commerce players increase their conversion rate through effective product page “CONTENT” 2 Content
  • 49. Descriptn Attributes Meta Keywords Images :: Building blocks of E-Retail :: Content :: Overview :: Great product content why?? Convert • SEO optimized content which helps the product page to gain SEO rankings • Structured product attributes which helps users understand the product • Detailed images which help consumers to get a feel of the product • Great sales pitch • Highlight consumer benefits rather than product features • Better Conversions Plays a key role in “attracting”, “engaging” and “converting” users
  • 50. Main Product Image • The best product shot • Helps to highlight product look and feel Related Items • Gives customer a choice to choose from other similar products and accessorize Product Title • The first window to the product along with the thumbnail image Product Description • Gives the consumer a feel of how the product will look and feel Alternate Product Images  Helps consumer to get a complete feel of the product Key Features • Gives a quick overview of the key selling features Online Retail :: Online Retail Operations :: Building blocks of E-Retail :: Product Page Content.2 Effective content is required to improve site conversion rates.
  • 51. • Romanticize the product content to engage a consumer • Inform the consumer about product features • Seed SEO keywords :: Building blocks of E-Retail :: Content :: Overview :: Product Description. Engage, inform and convert through well written product descriptions. Engaging Product Content keeps customers glued to the page and SEO Rankings
  • 52. :: Building blocks of E-Retail :: Content :: Overview :: Product Attributes. http://www.up.ac.za/saafecs/vol31/north.pdf International Study by the University of Pretoria The above research suggests that : Price and Style are the most important attribute in apparels category Detailed product attributes which helps a consumer to know the product better Detailed structured attribute which helps user comprehend products.
  • 53. :: Building blocks of E-Retail :: Content :: Overview :: Product Images. Model shots give a better feel of how the product will look on a person High resolution model shots help to get consumers a real life feel. High resolution images gets close to real life experience Ability to zoom to view fabric detailing and designs
  • 54. :: Building blocks of E-Retail :: Content :: Process Workflow :: Creating product KITS. Consumer Need • Allows a consumer to buy an entire set of products • Up sell opportunity for the site 1. Identify all the products which can be kitted together Sofa Cushion Chair Side table Furniture Category Example Supplier: MGM Trading Kit: Living Room Kit Foot Stool Coffee table 2. Also leverage category knowledge to identify other items which could go with this kit. Eg: Chests
  • 55. Identifying and creating OPTIONS from manufacturer price sheets Consumer Need • Gives customer finer choices on a product she has chosen Lighting Category Example Supplier: Nulco Product: Nulco Decorative Flush Mount Available options Pictured in tuscan bronze Image caption helps customers understand the picture better and also index images on SEs :: Building blocks of E-Retail :: Content :: Process Workflow :: Creating OPTIONS.
  • 56. :: Building blocks of E-Retail :: Content :: Process Workflow :: Creating CROSS SELLS on accessories and related Items. Business Need • Cross sell related items to increase consumer value Plumbing Category Example Supplier: Danze Product: Danze D500058 Single Handle Pressure Balanced Tub, Shower Trim and Valve with Rain Showerhead from the Parma Collection Accessories Related ItemsMain Product
  • 57. :: Building blocks of E-Retail :: Content :: Process Workflow :: CATEGORIZATION and CLASSING into relevant categories. Consumer Need • Helps a consumer narrow down on his choice of products Example: Classes & Attribute list for the Lighting Category
  • 58. :: Building blocks of E-Retail :: Content :: Product Photography :: Internet Product Photography & Why. ALTERNATIVE VIEWS Customers don’t buy what they can’t see, "You need to show alternative views because you’re really trying to close the touch-and-feel barrier that is lacking on the website that you can experience in a store setting. Source: Victorinox.com Without the ability to touch, hold, smell, taste or otherwise handle the products customers have only images to interact with. CONVERSION RATE Ultimately, the softer, tastier, flashier and more attractive your products look to shoppers, the more confident they’ll feel about purchasing from you and the better your “conversion rate” will be. EVALUATE PRODUCTS Provide a competitive advantage. In a crowded e-commerce landscape offering high quality images (and plenty of them) helps users evaluate products and decide to buy.
  • 59. :: Building blocks of E-Retail :: Content :: Product Photography :: E- Retail Photography Operational Challenges • Products handling and Re-packing. • In house apparel ironing stations. • Backend systems integration for quick photo uploads to system. • Make up artists, Equipment Management and Studio Management. • In house vs. Outsource Dilemma The Speed Vs Control Dilemma • Maximum number of finished images per day E-Retail Photography is process and scale is the biggest challenge .
  • 60. :: Building blocks of E-Retail :: Content :: Product Photography :: A typical setup for smaller size products. • Specialized Product Photography Cameras and Camera Box. • Product Angle & Background Setup • Lighting Setup Key Challenges: • Products need to be very high resolution to help in zoom. • Low Setup time and higher number of Shots / Shift • More Angles to ensure higher rotation for Smaller Products.
  • 61. :: Building blocks of E-Retail :: Content :: Product Photography :: Apparel Photo Shoot with Models.
  • 62. :: Building blocks of E-Retail :: Content :: Product Photography :: E Retail Photo Shoot Best Practices. •CATEGORY PAGE IMAGES. •PRODUCT PAGE IMAGES. •ZOOMED/DETAILED PRODUCT IMAGES. For category images it makes sense to: 1. Use images to complement text descriptions. 2. Be sure images are large enough for comparisons. 3. Display color swatches. For product images it makes sense to: 1. Offer detailed images and multiple views. 2. Enable users to see product variations. 3. Don’t group products into the same image. 4. Make it easy for users to switch between views and variations. For zoomed images it makes sense to: 1. For exceptionally large items, offer many views.. 2. Have Adequate resolution. 3. In Focus with the mouse over. Source: completeusability.com
  • 63. Sales in Online Marketing in primarily driven by highly efficient “Online Marketing” Online Marketing.3
  • 64. Online Marketing Search Engine Optimization Social Media Optimization Email Marketing Affiliate Marketing Online Channel Management Paid Advertising Online Retail :: Online Retail Operations :: Building blocks of E-Retail :: Online Marketing. Potential Objectives. •Driving targeted traffic to a Web site and converting visitors to customers. •Customer retention and increasing LTV of a customer. •Establishing Brand-Awareness Strategies and tactics applied on the internet to support an organization’s overall online marketing objectives. 1 2 3 4 5 6
  • 65. :: Building blocks of E-Retail :: Online Marketing :: Search Marketing: SEO and PPC ( Dominance of Google ) Pay Per Click Advertisements Pay Per Click Advertisements Search Engine Optimized Results. 1
  • 66. :: Building blocks of E-Retail :: Online Marketing :: Search Marketing: Search Engine Optimization. What is SEO? Combination of activities that prepare website to get into higher ranks in the natural search. A snapshot of search results page Benefits of SEO:  Reach out to wider global audience  Position the brand and position it right!  Spread awareness and engage consumer.  Very cost effective marketing Popular search engines Why do SEO?  Search engines can read your website properly & understand it Improve credibility of your site on the internet Drive traffic from other sites to your site 1
  • 67. Higher Revenues Site Outreach – Off Page Optimization Increase page rank and traffic by reaching out to relevant sites On Site Optimization SEO Audit - Structural & Content Analysis, Execution Keyword Research & Strategy Internal, Market and Competition analysis :: Building blocks of E-Retail :: Online Marketing :: Search Engine Optimization :: SEO approach 2. 1. 3. SEO approach should be “end result driven” & “comprehensive” A constant focus on what matters most – conversion and revenues Organic Visitors 1
  • 68. :: Building blocks of E-Retail :: Online Marketing :: Search Engine Optimization :: 1. Keyword strategy: Detailed keyword research, classification and execution plan. • Arrive at relevant keywords as per target audience & internal strategy •Current product lines •TG & demographic research •Most searched keywords on site •Keyword density for top site pages •Strategic keywords Internal Research • Benchmark strengths and opportunities with market & competition •Keyword competition analysis •Identity and leverage niche long tail opportunities •Keyword suggestions •Seasonal trends & it’s impacts Market research • Classify and drive activities as per keyword buckets •Keyword classification – Strategic, High Volume, Long Tail, Virgin, Phrase •Customized activities for each bucket of keywords Keyword strategy Keyword classification & strategy Keyword research Keyword classification Definition Strategy Strategic Keywords most relevant to my product lines and TG and with high search volumes High density use in site elements, meta data, content along with targeted off page activities High volume Keywords indirectly relevant to my product lines and with very high search volumes Very low density use in meta keywords along with broad targeting through off page activities Long tail Keywords relevant to my product lines and TG, but with very low search volumes Low density use in meta data along with broad targeting through off page activities Virgin Keywords relevant to my product lines and TG, but with very low search volumes High density in page content, medium density in meta data along with targetted off page activities; evaluate auto creation of pages specific to search queries Long search queries Phrase search queries (typically very high conversions) Evaluate auto creation of pages specific to search queries along with link building 1
  • 69. 1 Page Title 2 URL Structure 3 Meta Keywords 6 Image Alt Tags 5 Key word density 4 Meta Description Optimize most visited pages through customized “structure” and “content” :: Building blocks of E-Retail :: Online Marketing :: Search Engine Optimization :: 2. On Site Optimization: A “3 step” comprehensive process to optimize and index pages Optimize long tail pages through a “page content” and “auto template” based fillStep 2. Step 1. Site Map submissions – create & manually submit XML site maps to search enginesStep 3. 1
  • 70. :: Building blocks of E-Retail :: Online Marketing :: Search Engine Optimization :: 3. Site Outreach – Off Page Optimization: Increase site authority & drive traffic from back links A concerted drive to reach out to high authority and relevant sites with information on the website leading to • Increased authority of the site and Indexed pages to improve page rank • Increased traffic from links linking back to the site “8 step process” to create back links, to improve Page Rank & driving traffic 1. Directory Submissions (Site & Individual Pages). 2. Write and Maintain Blogs. 3. Comments on other Blogs, Groups, Forums. 4. Article Submissions. 5. Video Submissions. 6. Social Media & Bookmarks. 7. Image SEO. 8. Local SEO. 1
  • 71. :: Building blocks of E-Retail :: Online Marketing :: Social Media Marketing. 3
  • 72. :: Building blocks of E-Retail :: Online Marketing :: Email Marketing (Permission Based) • Promotion of Products and Services via Email • Lower Cost and More Flexible Than Direct Mail • Build, Retain and Strengthen Customer Relationships • Builds Brand-awareness Campaign Objectives • Sales • Leads • Awareness Create Media Message • Text • Images • Audio Deliver Broadcast • Email • Link Codes Analyze Performance • Open • Click • Buy / Action Approach to Email Marketing 4
  • 73. :: Building blocks of E-Retail :: Online Marketing :: Email Marketing :: Email Marketing: Details ….. SUBJECT : Sandesh, Season of Sale on Myntra - Up to 50% OFF on 200+ Brands To unsubscribe, click here Send this message to a friend. To view a web version of this message, click here Up to 50% Off on Footwear for Men & Women. Rs. 125 onwards. SHOP NOW Up to 50% Off on Accessories for Men & Women. Rs. 125 onwards. SHOP NOW Create Urgency Personalization Sharing Opt out option High Quality Images 4
  • 74. :: Building blocks of E-Retail :: Online Marketing :: Affiliate Marketing :: Affiliate Marketing management websites. 1 2 National National International 3 5
  • 75. :: Building blocks of E-Retail :: Online Marketing :: Affiliate Marketing :: Price Comparison Websites Book pricing comparison Pricing comparison websites are different for different categories. 5
  • 76. Brand Products :: Building blocks of E-Retail :: Online Marketing :: Online Multichannel Marketing Sell products on Multichannel to Increase Coverage and sales. 6
  • 77. Manage last mile order delivery and returns through robust “Fulfillment” 4 Fulfillment.
  • 78. :: Building blocks of E-Retail :: Order Management & Fulfillment :: Most important aspects of fulfillment. Source: Nielsen Wire US 2011 Fulfillment is the key to Service
  • 79. :: Building blocks of E-Retail :: Order Management & Fulfillment :: Goods movement post purchase. Vendor, Dropshipper, Direct supply Manufacturer BA C Is Stock Avl. D Shipped to customer FCourier Yes No Returns H ESupplier/ Mft. Warehouse Stock supply to warehouse G G Shipped to customer Efulfillment.
  • 80. Order Allocator System: In Multi Vendor EnvironmentA •The order allocator system will decide where the order will be placed i.e to our own warehouse or to third party supplier based on a set algorithm. •This may depend on the order in stock in our warehouse or availability. Process
  • 81. Warehouse Management SystemB •The warehouse management system will track the in‟s and out of inventory from the warehouse. •This system will work closely with the inventory management software. •Shipping labels to be generated for the packing team. Process
  • 82. :: Building blocks of E-Retail :: Order Management & Fulfillment :: Ecommerce dedicated warehouses : USA.
  • 83. Vendor Management SystemC •The vendor management system will track the activities of the vendor. •The vendor management team will have their frontend wherein they can track & update the status of the order with the vendor and monitor the vendors. Process
  • 84. Inventory Management SystemD •The inventory management system will keep a check on the available inventory at our warehouse. •Inventory with TP vendor can also be mapped in this system. •Returns data and replenishment will have to be integrated here. •The inventory management system will coordinate with the supplier so that there are no “out of stock items” and required inventory is replenished on time. Process
  • 85. Supplier Management SystemE •The supplier management system will track the supply from the manufacturer. •It should manage the inventory supply to our warehouse and make sure we have enough stock on hand always for fulfillment. •The supplier management system is to be mapped with the inventory management for this purpose of „Inventory Replenishment‟ •We have to make provisions and arrangements of „Just in Time‟ delivery order with the supplier. Process
  • 86. •The courier management system will allocate the order to the specific courier company. •This system by decided logic will decide who will be the most cost effective courier for a particular order. • Data provided by courier companies. Eg price, destination pin codes, weight to be mapped in this system for logic to work •This system will also be integrated with the „Order tracking system‟ to track orders. Courier Allocator SystemF Process
  • 87. Order Tracking SystemG •The order tracking system will track orders by Order ID. •This functionality has to be made available to the customer ,vendor & supplier management team as well as the customer support call centre team who will be up to date with the current happenings of a particular order. Process
  • 88. Returns Management SystemH •The returns management system will manage the returns by the customer. •Returns authorization team will approve the returns / money back to the customer and will generate a return authorization number. •Returns inventory data mapping. •The system will work with the warehouse/ Third Party vendor to ship a replacement product or write off the order if the customer decides to get his money Back. Process
  • 89. :: Building blocks of E-Retail :: Order Management & Fulfillment :: Warehousing. Ecommerce dedicated warehouses : USA. Video of Diapers.com warehouse in the main folder.
  • 90. :: Building blocks of E-Retail :: Order Management & Fulfillment :: Third Party Logistics Services for Ecommerce.
  • 91. Ecommerce :: Ecommerce in India :: Ecosystem :: Ecommerce Supply Chain :: Owned vs. Outsourced delivery. In the short to medium term, it seems increasingly likely that e-commerce companies will follow a two-pronged strategy: A ) Developing their own delivery channel for the metros. B) Relying on outsourced parties for tier 2 and 3 cities where they are subscale. Supply Chain & Logistics Source : ‘India Goes Digital’ - Avendus
  • 92. :: Building blocks of E-Retail :: Order Management & Fulfillment :: Packaging. Amazon Certified Frustration-Free Packaging Amazon works directly with manufacturers to box products in Frustration-Free Packages right off the assembly lines, which reduces the overall amount of packing materials used. Why put a box into a box ??
  • 93. :: Building blocks of E-Retail :: Order Management & Fulfillment :: Packaging :: More Examples.
  • 94. :: Building blocks of E-Retail :: Order Management & Fulfillment :: Packaging :: Lets took Pictures of all Indian Packaging we have: Still some way to go Myntra.com Flipkart.com
  • 95. Retain and assist customers through incredible “Customer Service” 5 Customer Service.
  • 96. Online Retail :: Online Retail Operations :: Building blocks of E-Retail :: Customer Support: The Objective5
  • 97. • Goods Tracking. • Orders over the phone. • Customer Care. • Vendor Management. • Feedback from Customers. :: Building blocks of E-Retail :: Customer Service :: Reasons for Customer Support. Customer service will be a differentiating factor between eTailers.
  • 98. Email Live Chat Phone 1 2 3 :: Building blocks of E-Retail :: Customer Service :: 3 Famous Mediums of Customer Support.
  • 99. Online Retail :: Case Study
  • 100. Retail versus Online Retail. Online Retail :: Online Retail in USA :: Case Study.
  • 101. Walmart. vs Amazon. Round 1. Market Performance.
  • 102. Walmart. vs Amazon. Round 2. Products & Prices. Food For thought If the cost of monthly shipment and cost of trips to retail shops equals Amazon would always be cheaper and occupy the pricing proposition completely
  • 103. Walmart. vs Amazon. Round 3. Brand Performance. Amazon by proving higher brand ranking and customer service has proven that this model can deliver to consumer expectations
  • 104. Walmart. vs Amazon. Round 4. Expansion & Innovation.
  • 105. Walmart. vs Amazon. Projected Revenue. Key Take Away •Amazon is projected to surpass Wal-Mart in sales revenues in the year 2024.
  • 107. Future of Ecommerce :: mCommerce :: Payments :: Ease and Payments at a Click of a Button. New innovative payment solutions.
  • 108. Future of Ecommerce :: mCommerce :: SMS Buying :: Buy using a text. Buying through mobile texting.
  • 109. Future of Ecommerce :: Augmented reality :: Buying as you think it in real world by watching in real world through digital eyes. Retailing Experience.
  • 110. Future of Ecommerce :: Augmented reality :: Buying as you think it in real world by watching in real world by Digital eyes ….. Retailing Experience.
  • 111. Future of Ecommerce :: Social Buying :: Buying with Approval, Kaisa Lag raha hain? Instant show and Tell.
  • 112. Future of Ecommerce :: Social Buying :: What do my friends like? Peer Acceptance is Key in Shopping Process. Isn't it …. Instant show and Tell.
  • 113. Future of Ecommerce :: Social Buying :: Buy with Approval of Friends and Family. Instant show and Tell.
  • 114. Future of Ecommerce :: Group Deals :: Group buying behavior as we do it. Collaboration.
  • 115. Future of Ecommerce :: Group Deals :: Pay as a Group for Gifts and more… Collaboration.
  • 116. Thank You @ Welcome to Ecommerce World Feel free to contact us for further queries knowledge@iksula.com