Concept of Online Retailing

• Electronic commerce• Consumers• Goods and services• Seller • Internet• Example of online shop, e-shop, e-store, web-store,

online store and brick and mortar retailer or shopping

store.

Need of online retailing

• Convenience• Plethora of choices• Capture and analyse the purchase data and

future pattern• Low overhead cost• Attract the global customer

Evolution of e-retailing

• Tim- Berners lee created world wide web in 1990s

• Amazon started operation in 1995s• E-bay started its operation in 1996s

• 1998s witnessed use of electronic postage stamp• 1999s first online shop in UK launched

Industry growth of e-Retailing

• Online Retail industry in India stands a 1105 crore ( 0.23$ billion).

• Indian E-commerce sites heavily titled towards travel sites approx.800 crore.

• More than 75-80% of this market constituted to travel portals like make my trip, yatra.com etc

• 12% of the rest contributed toward matrimonial etc

• The market poised to grow 30% per annum for the next 5 years

CHALLENGES IN ONLINE RETAILING

• The Payment Of Product .• Security Issues.• Few Entry Barriers.• Not Backed By Supply Chain Management.• The Exit Becomes Inevitable.

FIVE MAJOR PLAYER OF ONLINE RETAILING

1. E-BAY INDIA.COM2. FLIPCART.COM3. INFIBEAM4. RADIFF.COM5. NAAPTOL.COM

• eBay India (www.ebay.in), India’s leading e-commerce marketplace, is a 100% subsidiary of eBay Inc.

• eBay India deals in across 2000 categories of product in Electronics, Lifestyle, Collectibles & Media verticals.

• eBay India claims a market share of 45%. It has 13,000 vendors currently selling via the website.

• Target market of eBay is 18-40 years of customer.• Net revenue of eBay is 9.2$ billion in 2010-11

• Flipkart was established in 2007 by Sachin Bansal and Binny Bansal, both alumni of the Indian Institute of Technology, Delhi

• Flipkart headquarter based in Banglore• Flipkart deals in different Categories include Books, Music

and Movies. Mobile phones and electronics are also in the pipeline.

• Net estimated Revenue of flipkart 75$ crore for FY 2010-11

• Flipkart • Flipkart is seeking to take advantage of India’s online

market that may grow to as much as $70 billion by 2020 from $550 million last year

• Infibeam.com was founded in 2007 by a group of ex-Amazon employees with expertise in e-commerce and technology. Headquartered in Ahmedabad,

• Infibeam.com owns and operates an e-commerce retail portal as well as customized product in India

• It focuses on selling cool new and used Cars, Bikes, Scooters, Mopeds, Mobile Phones, Mobile Accessories, Books, Cameras, Watches, Health Equipment's, Cakes, Chocolates, Flowers, Combo Gifts and much more at guaranteed lowest price.

• Rediff shopping founded in 1996 • Headquartered in Mumbai• Rediff Shopping is an online marketplace where

users can purchase products and services from various merchants.

• It facilitates different categories product and services like radiff mail, web search,job search, image search, classified, I&A , mobile, songs downloads etc.

• Net revenue estimated $21.80 million (2011)

• Naaptol was founded in August 2008 as an online shopping site • Naaptol Online Shopping Pvt Ltd. operates as a social shopping

portal for shoppers, merchants, and market enthusiasts.• It offers mobiles, cameras, computers, gadgets, automobiles,

kitchen products, jewelry, gifts, fashion products, health products, home decor products, apparel, sports products, hobbies and passion products, food and beverages, media products, baby care and maternity products, event supplies, and books.

• Net sales revenue estimated 25$ million for FY 2011-12