retailing

1. MITCON INSTITUTE OF MANAGEMENT
ISO : 9001 : 2008 Certified
PRESENTED BY:
Rahul Todur
Partish Patwardhar
Prateek Jaiswal
Priyanka Bharti

2. Concept Of The Online Shopping
Websites
 Online shopping or online retailing is a form of electronic
commerce which allows consumers to directly buy goods
or services from a seller over the Internet using a web browser.
 Alternative names are: e-web-store, e-shop, e-store, Internet shop,
web-shop, web-store, online store, and virtual store.

3. Facts
 Largest online retailing corporations: Ebay and amazon.com.
 Most of e-shoppers hail from South Korea.
 Egypt has least online shoppers.
 Reports show that out of the millions accessing the internet in India, over 8
million regularly shop through internet.

4. Advantages
 shop while at home….all settled and relax (no queues)
 No load
 Time saving
 Get discounts and deals
 browse from varied brands and products listed online.
 Pay cash on delivery

5. Evolution
 The world’s first direct Business to Business (B2B) online
shopping system in 1981[Thomson Holidays]. Business to
Consumer (B2C) online shopping did not become
commercially viable until the 1990s, initially it was limited only
for physically challenged population.
 Although the Internet began to advance in popularity
among the general public in 1994 (Amazon.com). Since then
the online retail market boomed.

6. Current size of the industry globally

7.  The global online retail sector had total sale of almost 1
trillion $ in 2012, representing a compound annual growth
rate (CAGR) of 19% between 2010 and 2012.
 Overall, global B2C e-commerce sales are expected to
reach $1.298 trillion in 2013, a gain of 18.3% over this year’s
record.

8. Market Composition

9. Market size and growth in India
 Indian consumers are demonstrating an increasing interest in online
shopping, so online retail market has become a very lucrative business for
international majors.
 internet giant Amazon, the biggest markets until now, has commenced an
India-centric website in June 2013.
 India has surpassed Japan to become the world’s third largest Internet user
after China and the United States with almost 74 million Internet users,
stated global digital measurement and analytics firm comScore.
 According to a survey by the Associated Chambers of Commerce and
Industry of India (Assocham),the market for online shopping in India,
estimated to be around Rs 52, 000 crore (US$ 8.19 billion), is expanding at a
very fast pace.
 SOURCE: INDIAN BRAND EQUITY FOUNDATION

10. Company Profile
Flipkart is an Indian e-commerce company headquartered in
Bangalore, Karnataka. It was founded by Sachin Bansal and Binny
Bansal in 2007. In its initial years, Flipkartfocused on online sales of
books, but it later expanded to electronic goods and a varietyof other
products.
eBay Inc. is an American multinational internet consumer-to-consumer
corporation, headquartered in San Jose, it is now a multi-billion
dollar business with operations localized in over thirty countries.[
Snapdeal.com is an online retail website, headquartered in New Delhi,
India. Snapdeal started off as a daily deal website and has grown to
become one of the largest eCommerce websites in India shipping
more than 25,000 products daily
Jabong.com is an Indian fashion and lifestyle ecommerce portal. It
retails apparel, footwear, accessories, beauty products, fragrances,
home accessories and other fashion and lifestyle products. [2] The site
started operations in January 2012.

11.  Tradus is an online auction company that operates in Europe. The
company, a subsidiary of South African media group Naspers since March
2008, operates across Europe using many different brands

12.  Segmentation : Identify desirable market segments
All online websites has done a very broad segmentation by grouping people who have
internet access into one segment. There are other parameters for segmentation based on
demographics, location, psychographic and behavioral pattern of people.
 Demographic segmentation
Teens and young adults are grouped together into one segment. People in the age group
of 16 to 30 years typically forms this segment. These people are either college students or
people who have recently started earning. People having moderate to high family income
are segmented together.
 Geographic segmentation
Indian urban class
 Psychographic segmentation-
People in upper middle class
 Behavioral segmentation
· Internet savvy users
· People who are not afraid of online shopping
· People who love to get discounts
· People who want to try new products or services

13.  Targeting : Target your product for that segment
Online sites uses customer history to give a more personalized experience.
Some of the strategies followed by are:
 Large base of internet users easily reached via
- Customized email based on historic data
- Social media
- Online advertisements
- Word of mouth
 Use of mobile apps to increase customer base
 Target people relying on internet for shopping
 Increase target market by partnering with corporate houses for bulk selling
 Target small and medium enterprises to showcase their product / service online for greater
visibility.

14. Positioning : Position your brand to segment’s desires
Online shopping sites are currently positioned as best advertising and
discount platform in the online Indian market. For product and service
providers it acts as a great advertising platform and for consumers it acts as a
low price online market.
 Also they try to reposition itself with greater focus on quality. All the
products showcased on the website are genuine. Each and every product
is quality checked before being delivered to the customers.
 aims to offer good value for money to consumers and remain highly
competitive in the market.

15. 4 P’s product
 clear facts and information about the product. The buyer knows immediately
about product features, and facts.
 The buying process is also customised for returning visitors, making repeat
purchases easier. Organisations
 The product can also be customised to consumers needs

16. price
 The internet has made pricing very competitive. Many costs i.e. store costs,
staff cost have disappeared
 The internet gives consumers the power to shop around for the best deal at
a click of a button.
 Website such www.kelkoo.com campare products from different
websites informing consumers of where the best deal is .

17. place
Online location can refer to where links are placed on other websites. Placing
a link on www.google.com home page would generate high consumers
traffic. Knowing customers and knowing where they visit, helps company
to understand where to place online links and advertisements.

18. promotion
 Having a recognisable domain name is first stage towards e-promotion.
 Placing banner advertisements on other webpages is a common form of e-promotion.
 Direct email is a popular and common form of e-promotions, although
slowly becoming the most hated by many consumers .

19. Growth Drivers And Forecasts
 The growth of the online shopping in India is immensely growing and is getting better and
stronger day by day. The following are the prominent factors why online shopping has
flourished in India:
 Broadband internet: After 2005, a rapid growth has been seen in the people using internet
and currently there are more than 65 million people log-in on to web.
 Standard of living: The standard of living has improved.
 Availability of wider range: Online market has a much wider range of products than any retail
shop.
 Lifestyle: In this busy lifestyle, lack of time for offline shopping and urban congestion of traffic
has led the online shopping market to step up itself.
 Competition in online market: Competition among the online shopping websites has
attracted more customers to go for online shopping.
 Cash on delivery and home delivery: Cash on delivery along with home delivery has played a
great role in the inclination of people toward online shopping.

20. conclusion