EM Submission_Eco Bazaar_Group F

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Eco-Bazaar Let us become the friends of Environment Eco-Friendly Products For Your Needs GROUP F Ashwini P A 1411216 Harsha Vikas 1411369 Janga Himabindu 1411097 K Bhagya Raj 1411240 Shipra Agarwal 1411265

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Eco bazaar Startup idea

Transcript of EM Submission_Eco Bazaar_Group F

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Eco-Bazaar Let us become the friends of EnvironmentEco-Friendly Products For Your NeedsGROUP FAshwini P A 1411216Harsha Vikas 1411369Janga Himabindu 1411097K Bhagya Raj 1411240Shipra Agarwal 1411265

Situation Over 90% of unorganized retail outlets use plain plastic material as carry bags or other packaging.Bans and restrictions imposed on plastic bags (less than 40microns), but not very effective.Available eco-friendly material like paper, jute, areca, banana leaves are not suitable for all purposes.Alternatives market is fragmented, options not easily available to customers at an affordable rate.ChallengesEnvironmental friendly packaging is more costly than the plastic packaging material.Sellers primary focus is to reduce the expense of packaging; favor cheapest packaging plasticNeither the end-consumers nor the retailer are willing to bear the extra cost of env-friendliness. Customer attrition need to be avoided with a uniform change across stores.QuestionsWhat are our offerings to different customers ? How do we satisfy their specific needs? What is the reach or effectiveness of our model? How can we ensure a constant revenue model? How can we make it difficult for others to imitate our model?

Eco-BazaarA platform for eco-friendly packaging suppliers to connect with the urban customers We are mission driven.Eco-BazaarOur first customer is an independent food outlet replacing plastic with eco-packaging and serving materialWho we are?Five people from different parts of India with a drive to replace plastic across the country.What we know?Pursuing management with a network of soon to be high profile employees/employersEnvironment engineer from IITResearch Analyst with experience in retail sectorWhom do we know? (People On board )Rural supplier of areca leaves in Andhra, Manufacturer of jute bags in Andhra , NGO training people in making banana-bark packaging

Potential CustomersLow End: Price Sensitive Sale pointsMiddle Segment: Well established popular outlets with less price sensitivityHigh End: Large retail/food chains

COST EFFECTIVE MATERIALBECOME ENVIRONMENT FRIENDLYEASILY AVAILABLE & SUITS NEEDSCustomers: What do they look for?* IMPROVES QUALITY*Understanding for customer interaction in person & callsSnippets from customer Interaction We are convinced to use eco-friendly packaging but can-not find suitable match for our needs. A2B Manager Plastic glass can be easily sealed, can hold shake for a long time Namita , HeathNtaste I can not pay more than 0.50 Rs. for my Chat. What if my consumers do not pay extra money and they go to other outlets. Gopi, Road side chat shop

Stake- holdersVISION: Usage of Eco-friendly Products for Packaging, Carrying or Serving across IndiaStake holders

Suppliers: Provide the existing ones with wider market reach; Empowering NGOs, Increase consciousness in their customers. Buyer: Higher quality & environmental friendly packaging; Goodwill among customersEnd Customer: Health benefits, SatisfactionThird party advertisers: Platform to display ads of 3rd party business Society: Reduce plastic usage; Reduce environmental pollutionEco-Bazaar: Source of revenue for Ads; Positioning as low cost provider to retailer and also act as aggregatorOur Current Offerings Areca plates , cups , spoons Paper plates, glasses , bags Jute bags Cotton bags Banana Bark Material In a pilot phase, various customers were approached and the idea was implemented in four stores nearbyMarket ReportPlaces VISITED to estimate the DEMAND Low end segmentSmall mom & pop storesKirana storesBakery storesMedical StoresFast food outlets (Transportable)Medium segmentAmmis, Hyd biryani restaurant,Restaurants with attached fast food outletsHigh end segment McDonaldsOne InstanceNo of suppliers found for bowls & plates : 3Prices quoted by them : Rs 1.5, Rs 1, Rs 1Bulk Purchase price: Rs 1.2 Small mom & pop stores (Ex : Park & Eat in IIMB)Products Bowls & PlatesNo of stores 4Demand/day/store100Demand/month 10,000 Selling Price of each bowl1.5Revenue / month 15,000 Cost of goods sold Material cost 12,000 (Rs 1.5/unit)Gross profit 3,000 Other operating expenses Packing & forwarding charges24004 deliveries/month/storeSelling and administration expense500EstimatedProfit before tax 100

Pilot Phase: Revenue modelLow LevelCapture road side vendors all-over Bangalore , implement uniform costing across the area. Implement Distribution model Region wise aggregators. Cost effective eco-friendly substitutes for items like plastic spoons, forks.Finalizing recommendations and Steps for further scaling up the venture. SCQ AnalysisWay ForwardScale venture into other categories like apparels , grocery, courier and other retail stores Medium LevelCustomized products, Convince the market High level In-house manufacturing facilities. Brand specific material

Research Scope Heavy weight carrying bags Cost reduction processes. customization of packaging Online presence

Offer low cost advertisements Cost effective branding and localized advertisement Target customers: local vendors, coaching centers, PG, Local brands, any newly opened stores in the areas Will be driven by the regional distributors.

Sample advertisementTHANK YOULet us become the friends of EnvironmentWith Eco-Bazaar

AppendixItemsCost of Plastic/ ThermocolCost of alternative (Paper/Areca Wood)Glass 0.2-0.5 Rs.0.25- 0.5 Rs.Bowl0.35- 0.5 Rs.1.5 3.0 Rs.Plate0.8 Rs (Thermocol)2.5 4.0 Rs (Areca wood) Spoon0.2 1.0 Rs.1.5 Rs. (Areca Wood)Plastic bags0.1-0.5 Rs1 - 3 Rs. (Paper/thin cotton)Manufacturer DetailsLakshmi Enterprises: Bangalore Kalyani Enterprises: Bangalore Worthfor Solutions: Bangalore Designer: Mr Rajshekar Bangalore Supplier DetailsNakoda Impex Avenue Road Bangalore Sri Balaji Enterprises- G P Street Bangalore