The document outlines several challenges faced by e-commerce companies including size of the company, cultural differences, customer types, product types, logistics, digital infrastructure, payment options, creating a physical shopping experience online, price wars, increasing customer expectations, hidden competitors, phone evolution disrupting businesses, out of stocks, advertising, fundraising, profits, and opportunities in various global markets and industries. It also discusses the growth of e-commerce in Asia Pacific countries like China and India and recommends platforms, applications, tools, and services for companies to utilize.
3. Challenges depends on various factors
Size of the company
Ex: Small companies
struggle for the funds
Cultural differences of
operating city
Ex: Hyderabadi’s are different
to Mumbain’s
The kind of customer we are dealing with
Ex:
1) Women are different to men
2) Highly earning person behaves differently
The product that we are dealing with
Ex: Food items are different to tickets
4. Logistics
- 60% workforce of Flipkart focus on deliveries
- Customers are not ready to wait for days for their orders – Infrastructure
developments required
- Companies are not yet ready to operate from each city
- Zipper App to find the address
7. Creating Physical Shopping Experience in
Online
- Companies are failing to do it that’s why they
have to accept all the return policy for longer
periods…if we find any alternative it saves big
bucks for the ecommerce industry
- Returns becoming a big headache for the
Ecommerce companies across the globe as they
have to invest money in picks and drops
- Lenskart.com did a great job via online and
offline strategies
8. Price War Among Retailers
-Companies need market share & ready to entertain the customers
- When we get off the quality of products also inferior
- One of the reason for Flipkart & Myntra merger
11. Evolution of Phone has Killed many Businesses
Music
Players
Video
Games
News
Papers
Watches
Of course it has created opportunities in other ways
Cameras
Books
Telecomm
Companies
Whatsapp alone eating 100 +crore a year from Indian telecom companies
12. Out of Stocks
- Flipkart’s big billion day
- Walmart had hit very hard
because of the out of stock
issues
14. Big Data = Gold Mine
- Analytics Platforms
-Talented Workforce
- Intelligence
- Cost Cutting
- Better Service
15. Fund Rising Only Flipkart & Snapdeal…
….but not all the small
companies
16. Making Profits
Companies are growing only by increasing
their market share & market value but not
by returning profits
Ecommerce business takes at least
6 to 8 years to yield profits
17. Amazon
82 80
113
185 178
0
50
100
150
200
2011 2012 2013 2014 2015
Market Value (in billion dollars)
631
-39
274
-241-300
-200
-100
0
100
200
300
400
500
600
700
2011 2012 2013 2014
Net Income (in million dollars)
27. Source: Statista.com – Just 15% for now
India to hit 500 million internet users by 2020
it’s Mobile commerce contribute more
28. Why India is on Focus?
- Softbank it self planning to invest 10 billion US dollars..already 1 billion
invested
- 2nd largest country & ready to beat China soon
- 15% internet penetration & long way to go
- By 2020 an Avg. of Indian would be around 30 years – More young people
tend to buy more from the digital world – disposable income is high
- Only 30% of the Indians have bank accounts
- Only around 20% of the Indians using smart phones
- Hopes on the development of Indian infrastructure by the new
government
32. Tire - 1 Cities
Tire - 2 Cities
Tire - 3
Cities
High
populated
Towns
Where to focus?
33. Travel
What products & services?
Home
Furnishing
Health Care
Electronics
Ticket Booking
Books &
Stationary
Education
Apparels
Apparels
Food Home Services Entertainment
34. Build Your Own
Website with
best technology
at affordable
price
Use
Ecommerce
Hosted
Solutions
Ex: 3Dcart
Sell on
Market
Places
Ex: Amazon
Platforms to sell your products