Structural analysis of online shopping in India

Submitted by – Chandan Sharma (MBA 4th Semester)

Submitted to- Mr. Asheem Tapadia(DGM Digital Marketing IBM)

E- Shopping in India

India’s e-commerce market was worth about $2.5 billion in 2009, and slowly it went up to $6.3 billion in 2011 and to $14 billion in 2012. About 75% of this is travel related (airline tickets, railway tickets, hotel bookings, online mobile recharge etc.)

Yebhi.com was known as Bigshoebazaar.com earlier and was started in September 2009 (Headquartered in Gurgaon, Haryana).Selling around 300 brands.Managing with more than 5000 transactions everyday. Turn over of last financial year was 100 crore. More than 500 employees are working. Yebhi is the biggest online shopping platform in terms of Product categories.

Products • 10,000 different products, 1400 styles of

handbags, 3000 styles of shirts / tees etc. at one stop, 4000 designs in footwear.

• Shoes, clothing, bags, watches, toys, games, Home and kitchen etc.

• Yebhi.com has already crossed an important milestone of shipping 1, 00,000 Units in Single month.

Yebhi.com Launched a new model “Try and Buy” in which customer can order a product

and at the time of delivery if not satisfied can return it back without any cash charges.

“Buy first Sell Later”

• Yebhi.com purchases the products in bulk, in tune with the latest fashion trends, and stores them in their 1.25 lakh sq/ft warehouse facilities, before selling it to the end consumer.

• This is probably the most significant process that enhances Yebhi’s credibility and enables the company to maintain high quality standards and a perfect fulfilment ratio.

“Click to Ship”

• A streamlined workforce In place, which ensures that time between a customer placing order and the product beign shipped from there end is not more than 1-2 hours.

• They call it “Click to ship”. And always try to make their delivery network more efficient.

Marketing Strategy

• Yebhi has adopted mass marketing strategy. And offering every kind of product (Toys to Ties).

• Interesting fact about yebhi is that around 40% of the customers visiting the website are woman.

• So mostly dealing in soft line products.

Working Model of Yebhi.com

• Yebhi.com is working on Inventory model. They have 2 big distribution centers of 125000 sq. feet with more than 14 delivery hubs in India. They deliver to about 11,000 pin codes in India, including tire one and tire two cities.

• It helps in determining the economic order quantity, and the frequency of ordering, to keep goods or services flowing to the customer without interruption or delay”

Promotional Activities

• Social Media Marketing (facebook, Twitter, Youtube, Google +, etc)

• T.V. Commercials • Print Advertisements • Movie Ties ups (Student of the year) • Others

Infrastructure

•They have 2 big distribution centers of 125000 sq. feet each with more than 14 delivery hubs in

India.•More than 500 employees are working with yebhi and most of the delivery guys are hired

from B-schools. •. They deliver to about 11,000 pin codes in India, including tire one and tire two cities.

•Website is very attractive and more than 100,00 customers are visiting everyday.

“Supply Chain Management”

Previously yebhi used aramex courier and now yebhi launched their own

courier services which is called yebhi express.

Future Plans

• Yebhi will soon expand to 24 delivery hubs in India (Currently 14).

• Will increase storage capacity up to 500,000*2 sq. feet (125,000 *2 sq feet).

• Will focus on becoming the largest player in soft line products.