Growth of ecommerce Logistics Industry in
India
Current State-India ecommerce
Change in Shopping trends
Period Changing Trends
1970-1990 No option for Consumer
1990-2000 Liberalization came, People started getting attracted towards Brand
2000-2010 Shift in Consumer Behavior
Post 2010 M-Commerce, Social Commerce, Boom in E-commerce
• A Glance at India • $ 14 Billion Market(2012)
• India has close to 10 million online shoppers and is growing at an estimated 30%(13 Million in 2013)
• According to Forrester, the e-commerce market in India is set to grow fastest in APAC region at a CAGR of over 57% between 2012-2016
E-Commerce in India
Early Years
Delay in deliveries
Poor product quality
No manufacturer warranty
Missing part in shipment
Lack of Communication
Things are improving now
Technology automation
Better integration with vendors
No question ask return policies
Differentiation
Sell product and services Build relationship with customers
Understanding Rise in ecommerce
• E-COMMERCE MAKES LIFE EASY.!
BUYING ONLINE MEANS :" Quick & easy shopping" Access to otherwise unattainable products" More choice & better prices" 24/7" Recommendations from peers & experts
GIVING CUSTOMERS A BETTER EXPERIENCE"
How can you make out of it?
• E-COMMERCE ALSO MEANS GREAT OPPORTUNITIES!!
Contribution of Tier-2 and Tier-3 cities to Indian E-Commerce
In India, it’s about penetration. Most of the logistics providers restrict themselves to Metros and Tier1 cities. But the real ecommerce lies in the tier2 and Rural India
Logistics and ecommerce
Development of ecommerce is 5-6 times faster than that of the logistic and express delivery industry.
ecommerce venture stands on four major pillars to be successful.
Website
Logistics
Payment Gateway
Promotions
The fast emergence of ecommerce in India has opened a new vista for logistics companies across the country, especially for the express logistics companies. Preceded by retail, it is now e-tail to determine the fortune of many of the logistics service providers in India.
Logistics and ecommerce
Boom in ecommerce has resulted in:
Dedicated ecommerce divisions within traditional logistics players
Emergence of new ecommerce logistic specialist
Focus on both “Click and Ship”
Logistics is becoming a key support factor in the success of both the existing and new entrants
ecommerce forms a leading factor in the growth of India’s logistics industry
e-commerce is a big opportunity and logistics companies are moving fast to build the right capabilities and capacity
Challenges for E-Commerce companies in India
COD problem, can be solved following the China Model, where 80-85% prepaid happens now and 15 % COD
Pin code reach and COD
Reverse Logistics Maintaining
Customer relationship
Trust of 3rd party vendor
Ship to delivery time
Package Cost(Separate
delivery for same order)
Cost per kg and collection cost for
COD orders
Size of product(Weight
and Volume)
Statutory requirements
How Gati can be helpful
• Gati E-Connect is the e-Commerce solutions vertical of Gati Ltd, India’s pioneer and leaders in Express Distribution and Supply Chain Solutions.
• We provide multiple solutions for the e-Tailers:
– Hub to hub movement of goods - Last Mile Delivery
– Packing - COD facility
– Warehousing - Reverse/return pick ups
– IT and Automation solutions - Dedicated Customer Care
• Reach across 653 out of 657 districts , 6700+ direct pin codes and 1000 special pin codes,4 E-fulfillment centers and 61 ware houses across India.
• End-to-end e-Commerce Logistics Solutions provider
Premium Services
•High Speed Air cargo movement service
•Designed to deliver time critical shipments
•Assures delivery attempts within 24 hrs, 48 hrs and +48 hrs
•8 Air Transit Centers 27 Air Operating center
Express Services
•High Speed Surface cargo movement service
•Direct connectivity to major locations in India.
• Synchronized Hub & Spoke system for swift and safe delivery
• Fleet of over 4000 vehicles, 500 bikes.
782 routes across India
Same Day Pick and Pack
• Shipment picked, packed and delivered to customer on the same day as ordered
•Highly time critical
• High speed Air cargo movement service
•Packing centres at Delhi, Mumbai, Bangalore and Chennai
Reverse Pick up
•Movement of refused shipments back to the vendor
•Movement of replacements asked by the customer
Our Offerings Packing Solution
COD: Cash on Delivery
Unmatched Reach - Deliveries in across India and SAARC
Diverse Fleet catering to all sizes of Shipments
Extensive use of IT and Automation-Tracking system, Customer Portal ,Mobile Application, IT Network
Dedicated customer care centre
E-fulfillment Centers at New Delhi, Mumbai, Bangalore and Chennai(Pick and pack solution and Warehousing)
E-Com Fleet
• 4000 plus vehicles
• 500 plus bikes
Dedicated customer service team for e-Com
• 30 agents
• 9 e-Com client coordinators
• 2 return pickup
• 24/7 365 days support
• Average of 2,00,000 dockets booked per month
Thank You