Building Sustainable Internet Retail Enterprise

Transcript:Building Sustainable Internet Retail Enterprise:
Building Sustainable Internet Retail Enterprise Sandeep Aggarwal Founder & CEO What is ShopClues.com India’s first and largest managed marketplace with a platform approach, empowering brands and retailers to exploit the E-Commerce opportunities Category, product, price, and brand agnostic Among the top 5-6 Largest E-Commerce company in India and the fastest growing Company started out of Silicon Valley; operating in India for 12 months World-class team with 75 years of combined experience in E-Commerce, Internet, and retail 4million+ monthly visitors; 6k+ merchants, 2k+ brands, 800k+ Facebook Fans Why ShopClues.com? Sellers Your own branded online store – manage anytime, anywhere on any device Access to millions of online shoppers A ready to deploy E-Commerce Technology platform with full suite of E-Commerce services Effective, low cost, and scalable Pay only when you sell Focus on your core competencies, leave the heavy lifting of E-Commerce on us Buyers Great selection Low price Fast delivery Reliable sellers Authentic brands Outstanding customer services E-Commerce Opportunity is Now India is now the 3rd largest country in terms of Internet population but not revenue top-10 for E-Commerce E-Commerce has only 0.1% penetration India hit the tipping point for the E-Commerce adoption in 2010 and next 10 year the market can be 120x bigger – $10bn by 2015 (Rs. 50k Crores) and $60bn by 2020 (Rs. 3 Lacs Crores) Income levels going up, median age 25, Internet adoption widening but accessibility remains a problem The occupancy cost for brick and mortar retail is one of the highest in the world with not abundant organized retail space Inherit E-Commerce benefits : very scalable, 24/7, 365 days, wider reach, better inventory management, low capital expenditure, better margins India E-Commerce is Currently at Where China was in 2003 India retail will likely touch $1trillion by 2020 and at 6% penetration (where China was in 2010), the E-Commerce will touch $60bn in India If India were to see E-Commerce adoption like China, India can reach $60bn in GMV by 2015-16 E-Commerce Outlook for India Highly Encouraging In our view, in India E-Commerce is where US was in 1999 and China was in 2004 India E-Commerce is in 1st phase with no player over $150mm in GMV (vs. in US, where eBay has $32bn and Amazon has $28bn) No pure play fully managed marketplace in India currently We believe that the online shoppers in India will likely go up by 10x from 8mm currently