2. ABOUT THE COMPANY
Naaptol was started by Mr. Manu Agarwal an IIT Kanpur alumnus in January
2008 as a product research and price comparison service.
In 2009 it adapted the marketplace business model and started selling
products online.
It has grown to become one of India's largest comparison based social
shopping portal.
It is a one-stop destination for shoppers, merchants and market enthusiasts,
that binds buyers and sellers in a lucrative network
3. REASONS & CAUSE BEHIND naptol.com
• Manu Agarwal started a company called “DESIGN EXPO NETWORK PVT LTD”, investing
Rs.50 lakh in the year 1998.
• The company designed Websites and created massive scalable e-mail applications.
• This was a service-oriented venture, while Mr. Manu Agarwal wanted a B2C (business to
consumer) set-up.
• So, along with Amar Sinha, he decided to launch two Web portals in 1999 as Criclive.com and
Shubhyatra.com.
• By 2000, Thomas Cook acquired Shubhyatra.com and Criclive.com was sold to Modi
Entertainment Network.
• Manu Agarwal believe in constant innovation and don't follow a specific business model. So he
decided to launch another e-venture, Naaptol.com, in 2008, because by this time the Internet
had come of age in the country.
4.
5. What is E-commerce Marketplace?
It is a multichannel model & proven itself to be one of the most profitable and popular in web e-
commerce.
Marketplaces facilitate sales for third-party vendors by allowing them to sell products in one online
marketplace.
The entire marketplace runs on the same software infrastructure, enabling all sellers to distribute
their distinct goods under the umbrella of one website.
Companies like Amazon, Newegg, Etsy, and eBay have had massive success while running on
a Marketplace e-commerce business model.
Marketplace e-commerce has multi benefits:
• BUSINESS OPERATORS
• VENDORS
• CONSUMERS
6. Challenges of Marketplace e-commerce
In large marketplaces, price competition can pose a
problem. Vendors can choose to compete for the lowest
price, which may serve the customer but could lower
profits for both the marketplace and the vendor.
Quality assurance can also be an issue. Marketplaces
may not always have control over the quality of products
or timeliness of delivery.
7. The Advantages of a Marketplace Model
Ease of maintenance of inventory using SKU’S.
Ads
Ecommerce Provider
Ecommerce Website
Online Ecommerce
B2B Ecommerce
Operational efficiencies improve as some overheads are transferred to the seller.
Being a marketplace provider allows you to focus on developing ecommerce
technologies.
Margins improve.
8. THE DISADVANTAGES OF A MARKETPLACE MODEL
To begin with it is tough to differentiate your ecommerce business. In the marketplace model, the problem
becomes still more acute as you are not even the seller of your own goods.
It is much tougher to implement product quality control in a marketplace model, as the seller is primarily
responsible for the products. Of course, the customer will not forgive you, the marketplace, if the product
quality is not up to the mark.
Probably the only sustainable competitive advantage that an ecommerce player can develop is a strong brand.
With a multitude of sellers, brand salience is one of the first things to get hit in the marketplace model.
9. FOSS Helps Naaptol Take E-Commerce to New Heights
What is FOSS?
Why open model?
What's the difference between FOSS and other types of software?
10. A comprehensive list of FOSS tools used at Naaptol
SOFTWARE/TOOL/ FRAMEWORK SHORT DESCRIPTION/PURPOSE
Apache Http server Web server
MySQL Database
HA Proxy Load balancer
Apache SOLR Enterprise search engine In addition, the firm
is also in process of evaluation and migration
to SOLR Cloud, which is an enterprise-class
distributed search platform on top of SOLR
JSF Framework for building component-based
user interfaces for Web applications
Hibernate Framework for object relational mapping
(ORM)
Velocity Template engine
Ehcache / OScache / Memcache Caching frameworks
Apache Axis Web service framework
Phone gap / Apache Cordova Mobile development framework
Apache Mobile Filter (AMF) Mobile device detection filter
Mod security Web application firewall
11. Advantages that FOSS brings to companies
EASY MIGRATION OF RESOURCES
GREATER SCALABILITY
CHOICE AND AVAILABILITY
HIGHLY CUSTOMISABLE
A VIABLE BUSINESS MODEL
12. CURRENT MARKET POSITION
• Naaptol is the second biggest player in the TV shopping.
• Naaptol has grown into a company with a revenue of Rs 2000 million in a span of just five years.
• Today, the e-commerce platform sells 200,000 products and 500 brands on its portal.
• At present, Naaptol advertises through 20 newspapers and 50 TV channels in India.
• It gets 75,000 calls and Rs 4 crore of orders a day.
• Naaptol was started out as a three to four member group has today evolved into a company that boasts of a
robust team of 500 people.
• Naaptol also plans to launch its own TV channel.