A

PROJECT REPORT

ON

Identification of untapped opportunities and potential market for the

E-marketing and online selling of the products/services.

(Covering Pune city and industrial zones around it.)

For

Deore Consultancy Services Pvt. Ltd. Pune

SUBMITTED TO

UNIVERSITY OF PUNE

IN PARTIAL FULFILLMENT OF 2 YEARS FULL TIME COURSE

MASTERS IN BUSINESS ADMINISTRATION (M.B.A.)

SUBMITTED BY

Pravin B. Deshbhratar

( BATCH - 2006-08 )

GUIDED BY

Mrs. Smita Sovani

VIM, Pune

Through

Vishwakarma Institute of Management

Kodhawa, Pune- 411 048.

1

To whom so ever it may concern

This is to certify that Mr. Pravin B.Deshbhratar, is a bonafide student of

this college of MBA 2nd year and has done his project work, with Deore Consultancy

Services Pvt. Ltd. Pune on “e-marketing and online selling” in partial fulfillment of

the requirement of award of two year full time degree course of Masters in Business

Administration (MBA), is an original work carried out by him and all the references are

properly acknowledged in this report.

The matter embodied in this project report is a genuine work done by the

student and has not been submitted to any other university or institute other than Pune

University for the fulfillment of the requirement of any course of study.

Mrs. Smita Sovani Dr. Sharad L. Joshi

Project Guide. Director.

VIM, Pune. VIM, Pune.

2

Acknowledgement

A journey starts with a single step. It is my great pleasure and proud to be able

to complete and present this project report on “e-marketing and online selling” within

the given span of time. The completion of this project work is an important beginning

and a milestone in my professional life and the completion of the same was possible only

with the inspiring and valuable guidance, co-operation and united support rendered to

me by. Mr. Ankush Deore, Director, Deore Consultancy Services Pvt. Ltd. Pune, Miss

Ashwini Pilangwad and my other colleagues at Deore consultancy services. Not only

did they guided me in this project, but also taught me the basic practical skills required

to be a good manager. I am deeply indebted and thankful to them for their valuable

support and guidance.

I would like to thank Dr. Sharad L. Joshi, Director, Vishwakarma Institute

of Management, for his valuable support and having faith in me. I am also thankful to

my project guide Mrs. Smita Sovani for her time to time guidance and the valuable

suggestions she has given throughout the project work. It would be unfair if I forget my

friends and family members those always encouraged me to carry on my project with

the great zeal and undisturbed work that helped me to concentrate on the given work to

complete it within the stipulated period.

I express my sincere thanks to all of those who supported me directly or

indirectly in carrying out this project.

3

INDEX

Sr. no. Chapter Page no.

01 Executive summary1-2

02 Title and objective Primary and secondary objective Scope of the project Sample size

3-4444

03 Company profile Overview Vision/mission statement, core ideology Services offered Products

5-1367911

04 Introduction e-marketing business models benefits limitations pay-par-click companies

14-211516161820

05 Market segmentation Bases of segmentation Target market

22-252324

06 Research methodology 26-2707 Sample design 2808 Methods of data collection 29-3009 Current statistics on internet 31-3410 Analysis of data 35-4011 Findings 41-4212 Limitations 43-4413 Suggestions 45-4614 Conclusion 4715 Terms used 48-4916 Bibliography 5017 Annexure

Questionnaire 51

4

5

Executive summary

The increasing use of Internet forced organizations to enhance their

operations online. Internet subscribers in India are already crossed the 42 million by

June 2007 from the previous figure of 5 million (in 2000) with a rocketing growth rate of

740%. The IT industry is expecting the more internet penetration rate than the current

rate of 3.7% which shows the bright future ahead for the e-marketing and online selling

firms.

Organizations are connecting e business to create value for their customers and it

is becoming a major concern for them. Consumers, on the other hand, rapidly change

from site to site, the way they shop for many reasons such as effectiveness of website,

friendliness, logical flow, fast loading pages and graphics, security feature, browser

compatibility and finally professional look.

Deore Consultancy Services Pvt. Ltd. deals in the website design and various

web solutions and IT solutions including e-commerce. The ongoing market of IT

industry, with various fields such as e-marketing, internet advertising, online selling are

growing with such a pace that attracted me to find out the present market position for the

businesses those are able and desiring to sell their products online.The survey has been

carried out for the period of 25 May to 31st July 2007 for the Pune city. The result shows

that the Pune city with various industrial zones is full of potential customers, 25% rightly

saying yes they are interested in selling their product online but there remains a huge

market potential of about 55% which could be targeted in near future to make them our

6

esteemed customers as they are little bit confused with the phenomenon called online

selling.

7

Title of the project:-

Identification of untapped opportunities and potential market for the e-marketing and

online selling of the products/services.

(Covering Pune city and industrial zones around it.)

Primary objective:-

To find out and survey the available market potential, for Deore consultancy services,

within the premises of Pune city.

Secondary objective:-

1) To find out the untapped market potential in and around the Pune city.

2) To find out the awareness about e-marketing and online selling.

3) To find out target market for Deore Consultancy Services

4) Branding for Deore Consultancy Services.

Scope of project:-

1) The project is carried out in the Pune city and the industrial zones around it, so

the data restricts to this segment only and the time period of carrying out this

research was 25th of May to 31st of July only.

2) This research talks only about e-marketing and online selling and not the other

products.

Sample size:-

When field studies are under taken in practical life, consideration of time and cost are

almost invariably leads to a selection of respondents i.e. selection of only a few items..

8

The selected respondents constitute what is technically called a ‘sample’ and the

population size is called as sample size.

No of samples = 100

9

Company Profile

Name of the Company: - DEORE CONSULTANCY SERVICES PVT. LTD.

Location :- Pune

Address :- D-15, Rahul Complex ,Paud Road,

Near Krishna Hospital, Kothrud.

Pune- 411 038. INDIA.

Ph No :- Tel : +91 020 32504122.

Fax : +91 020 25458998.

Contact Person :- Mr Ankush Deore, Director.

Website :- http://www.eDeore.com

Projects@eDeore.com

OVERVIEW OF COMPANY

Deore consultancy services is a growing Information Technology

Consulting and Software Services company located at Pune, India. We provide IT

services to increase efficiency, enhance productivity and reduce operating costs of our

customer's businesses. Our expertise lies in identifying customer’s business goals,

choosing the most appropriate technology and efficiently designing & developing

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solutions to maximize customers’ Return on Investment. Our customer centric approach

helps us to provide best possible solution for the following range of services;

Custom Application Development

Web Solutions

Enterprise Application Services

System Integration

IT Consulting

IT Outsourcing

VISION STATEMENT

“To achieve a highly efficient and effective sustainable world, with each individual

having equal opportunity to enjoy its valuable resources in peaceful manner.”

MISSION STATEMENT

“To enhance efficiency and effectiveness of our customer’s businesses by providing

them with most excellent and innovative information technology solutions.”

CORE IDEOLOGY

Core values

1) Truth: Truthfulness in business (legal and ethical practices)

We will conduct our business fairly with honesty and transparency.

2) Customer is at the highest priority

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We shall strive for utmost customer satisfaction and delight

3) Quest for innovation and creativity

We shall consistently strive for creativity and innovation in our organization.

Core purpose

Our core purpose is the attainment of sustainable world.

Corporate overview

The corporate governance structure specifies his distribution of rights and

responsibilities among different members in the corporation, such as, the board,

managers, shareholders and other stakeholders, and spells out the rules and procedures

for making decisions on corporate affairs. By doing this, it also provides the structure

through which the company objectives are set, the means of attaining those objectives

and monitoring performance. This section details our board of directors in corporate

structure;

Currently, founder director Mr. Ankush Deore and Ms Kalyani Joshi constitute

the board of Deore consultancy services. We are in the process of selecting eligible

professionals for our board of directors as well as board of advisory positions.

Matrix organization:-

At Deore, we follow matrix organization structures. Strong matrix at Deore

ensures that the project managers get maximum autonomy and authority to take project

related decisions required for the successful completion of the project.

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Brief history

We are the growing company in the search of ways to make a difference

in the world economy. Mr Ankush Deore, chairman and founder director of our

company with his quest for entrepreneurship started evaluating different opportunities

since May 2001. in June 2004 , he along with ms Kalyani Joshi established “ “Centre for

Entrepreneurship and business management” (CEBM) to identify evaluate and exploit

business opportunities across the globe and mainly to lay a strong foundation for a

visionary company in the forming . in march 2005 , “ Deore Consultancy services Pvt.

Ltd. “ was incorporated. Currently Deore consultancy services are engaged in

developing infrastructure and establishing a global customer base.

SERVICES

Website design and development

Our custom application development (CAD) services focus on delivering

customized development of software applications and interfaces as well as

enhancements to existing packaged applications or pre engineered templates and

support and provision of custom applications.

Search Engine Optimization (SEO)

It is observed that ninty two percent of the online population visits a search

engine, portal every month. Top ranking of your website in search engines generates

more traffic resulting in to more awareness about your company as well as increased

sells.

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Search engine optimization (SEO) is the process to improve your website

ranking among search engines. Improved rankings ensure more number of visitors which

in turn means more business.

E-Commerce

E- commerce is online shop for your business with a facilityof 24*7. E-

commerce solutions facilitate your buyers to do business with you without time and

location restrictions. It helps in creating a virtual office without a huge infrastructure.

Internet advertising and online branding

Internet has begun to make its presence in advertising world. In the recent

developments it has been observed that internet is becoming a major channel of

communication and information. Businesses abroad when starts looking for suppliers

search on internet and contact those who have a web presence. Internet advertising is one

of the low cost medium of advertising which helps in targeting domestic as well as

international markets. Various researchers indicate that Indians with access to the

internet spend a considerable percentage of their total media consumption time on

internet. It is thus natural that an increasing number of advertisers are keen to understand

the why and how of internet advertising.

IT outsourcing

IT outsourcing is the process of transferring an existing business function or a

part of business function to an external provider In order to strategically use outside

resources to perform activities previously handled in the same organization.

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IT Outsourcing (or contracting out) can also be defined as “the delegation of

non- core operations or jobs from internal production within a business to an external

entity ( such as a sub contractor)that specializes in that operations”

Custom application development

We understand that every business has its own unique needs. We help our

customers to satisfy their unique needs by providing following custom application

development services. Our custom application development (CAD) services focus on

delivering customized developments of software applications and interfaces as well as

enhancements to existing packaged applications or pre-engineered templates and support

and provision of custom applications.

PRODUCTS

Deore QT

Finding out quantities has been tough task for construction companies till

date. Process is tedious and time consuming but equally important as success of whole

project rests on this correct quantity estimates.

By keeping this unique need of construction companies, “Deore

consultancy” has introduced special software solution “Deore QT”. Extensive research

of two and half years has finally fruited into this unique quantity take off product. With

the desire to empower construction companies with technology and improve their

efficiency, Deore consultancy has developed this much awaited software solution.

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Deore estimate

“Deore estimate” is an end to end solution for carrying out the cost

estimation of various projects. It not only automates the estimation process but also

helps in generating various reports which are proving to be most important documents

while taking critical decisions.

As estimation is carried out in the initial phase of life cycle of the project , its importance

is highlighted with the fact that maximum cost reduction can be carried out with

effective and accurate estimation. Doing estimation manually becomes time consuming

when building plans are altered number of times before getting finalized. The cost

involved goes up in this process.

Deore inventory

Keeping inventory costs down is crucial to gain competitive advantage in

present global scenario. Managing inventory has never been so easy as demonstrated by

“Deore inventory”. Effective management of inventory and in turn cost reduction has

emerged as one of the biggest challenge management in most of the organization.

Deore CRM

Deore CRM empowers management to keep effective track of all the

customers enquiries along with assessing payment dues on day today basis.

Deore purchase

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Deore Purchase aims at optimizing procurement process at any construction

company which will lead to reduction of paper work , increase in efficiency of operation

and in turn improves the profit.

Deore school

Automation of schools or colleges ha started with introduction of

computers. But just presence of computer is not enough. These machines need to be

equipped with necessary software which will take care of day today administration, track

the progress of students, analyze their performance, automate library functions etc.

Deore ORS

“Deore ORS” is an excellent assistant to any HR manager who now a days

spending lot of time and effort to scrutinize and recruit right kind of people. It not only

streamlines the work but also helps in perfect selection.

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18

E-marketing

Definition and scope

Internet marketing is a component of electronic commerce. Internet

marketing also referred as Online Marketing or e-marketing, can sometimes include

information management, public relations, customer service, and sales. Electronic

commerce and Internet marketing have become popular as Internet access is becoming

more widely available and used.

E-marketing is the use of information technology in the process of creating,

communicating, and delivering value to customers, and for managing customer

relationship in that benefit the organization and its stakeholders. More simply defined,

E-marketing is the result of information technology applied to traditional marketing.

E- Marketing affects traditional marketing in two ways. First it increases

efficiency and effectiveness in traditional marketing function. Second, the technology of

e-marketing transforms many marketing strategies. The transformation results in new

business models that add customer value and /or increase company profitability.

The rapid growth of the Web, the subsequent bursting of the DOT COM

bubble, and current mainstreaming of the internet and related technologies created

today’s climate of marketing convergence: comprehensive integration of e-marketing

and traditional marketing to create seamless strategies and tactics. Many digital

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technologies –receiving devices also converge, such as the mobile phone with the digital

camera and personal digital association (PDA). Convergence is an important theme for

e-marketing.

How does e-marketing relate to business?

E-business is the continuous optimization of firm business activities through

digital technology. E –business involves attracting and retaining the right customers and

business partners. It permeates business processes, such as product buying and selling. It

includes digital communication, e-commerce and online research, and it is used by

every business discipline. E-commerce is the subset of e-business focuses on

transactions. E-marketing is only one part of an organization’s e-business activities.

Business models

Internet marketing is associated with several business models.

The main models include

business-to-business (B2B)

business-to-consumer (B2C).

peer-to-peer (P2P)

B2B consists of companies doing business with each other, whereas B2C involves

selling directly to the end consumer When Internet marketing first began, the B2C model

was first to emerge. B2B transactions were

more complex and came about later. A third, less common business model is peer-to-

peer (P2P), where individuals exchange goods between themselves.

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The benefits of e-marketing

E-marketing gives businesses of any size access to the mass market at an

affordable price and, unlike TV or print advertising, it allows truly personalized

marketing. Specific benefits of e-marketing include:

Global reach - a website can reach anyone in the world who has Internet

access. This allows you to find new markets and compete globally for only a

small investment.

Lower cost - a properly planned and effectively targeted e-marketing

campaign can reach the right customers at a much lower cost than traditional

marketing methods.

Traceable, measurable results - marketing by email or banner advertising

makes it easier to establish how effective your campaign has been. You can

obtain detailed information about customers' responses to your advertising.

24-hour marketing - with a website your customers can find out about your

products even if your office is closed.

Personalization - if your customer database is linked to your website, then

whenever someone visits the site, you can greet them with targeted offers. The

more they buy from you, the more you can refine your customer profile and

market effectively to them.

One-to-one marketing - e-marketing lets you reach people who want to

know about your products and services instantly. For example, many people take

mobile phones and PDAs wherever they go. Combine this with the personalized

aspect of e-marketing, and you can create very powerful, targeted campaigns.

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More interesting campaigns - e-marketing lets you create interactive

campaigns using music, graphics and videos. You could send your customers a

game or a quiz – whatever you think will interest them.

Better conversion rate - if you have a website, then your customers are only

ever a few clicks away from completing a purchase. Unlike other media which

require people to get up and make a phone call, post a letter or go to a shop, e-

marketing is seamless.

Together, all of these aspects of e-marketing have the potential to add up to more sales.

Limitations of online selling

Though there are advantages of internet marketing there are some limitations also those

create problems for both companies and consumers.

1) Slow Internet connections can cause difficulties.

2) If companies build overly large or complicated web pages, Internet users may

struggle to download the information.

3) Internet marketing does not allow shoppers to touch, smell, taste or try-on

tangible goods before making an online purchase.( Some e-commerce vendors have

implemented liberal return policies to reassure customers. Germany for example

introduced a law in 2000 (Fernabsatzgesetz - later incorporated into the BGB), that

allows any buyer of a new product over the internet to return the product on a no-

questions-asked basis and get a full return. This is one of the main reasons why in

Germany internet shopping became so popular.)

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4) Another limiting factor, particularly with respect to actual buying and selling, is the

adequate development (or lack thereof) of electronic payment methods like e-

checks, credit cards, etc.

5) Additionally, there is the need to drive people to the site. Without other

collateral (print, television or radio) it can often be difficult for the consumer or other

businesses to find any specific address.

Security concerns

For both companies and consumers that participate in online business,

security concerns are very important. Many consumers are hesitant to buy items over the

Internet because they do not trust that their personal information will remain private.

Recently, some companies that do business online have been caught giving away or

selling information about their customers. Several of these companies have guarantees

on their websites, claiming customer information will be private. By selling customer

information, these companies are breaking their own, publicized policy. Some

companies that buy customer information offer the option for individuals to have their

information removed from the database (known as opting out). However, many

customers are unaware that their information is being shared and are unable to stop the

transfer of their information between companies.

Security concerns are of great importance and online companies have been

working hard to create solutions. Encryption is one of the main methods for dealing with

privacy and security concerns on the Internet. Encryption is defined as the conversion of

data into a form called a cipher. This cipher cannot be easily intercepted unless an

individual is authorized by the program or company that completed the encryption. In

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general, the stronger the cipher, the better protected the data is. However, the stronger

the cipher, the more expensive encryption becomes.

Pay per click companies.

Pay Per Click (PPC) is the hottest way of online marketing today and is

likely to be strengthen in future. With growing popularity and the ease of PPC, it can be

regarded as a simple and effective way of Internet marketing through which you can

reach out to targeted market very fast in order to generate more business leads and

increase sale of your product and services very easily.

PPC advertising needs planning and good planning will help you discuss your

actual needs. Good planning is needed to generalize the effective keywords that hit your

business effectively and filter out those keywords that are unproductive and does not

match with peoples’ analytical skills about your products or services.

Another fact about PPC is that many advertisers are prohibited from bidding

on keywords since their ad’s click through rates are very low. But you must be mindful

that there are thousands of companies offering the same services as yours and are paying

high for each click. So time will come, when your ad will be stop showing due to its low

ad’s click through rate. Therefore, you must focus on the way your competitor are

presenting themselves and prepare yourself to prove best among them. You must need

sophisticated keywords and ad campaign strategy to represent your products instead of

common search term that hardly relate your products or services.

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In contrast to organic search engine listing, pay per click does not require

extensive content management and link building campaigns but it should be kept in mind

that site’s landing page must contain all the information that are needed to convince

potential consumers.

Benefits of Pay Per Click Campaign

o It is the cost effective way of campaigning your business, products and services.

o You can choose minimum bid on keywords.

o You will be linked only to targeted and potential buyers who are actively

searching for your products thus gaining accuracy in Business.

o It is the fast and easy way of advertising your business process as there is

probability of new visitors as soon as your campaign is approved to go live.

o You can guide visitors to relevant page significantly improving their purchasing

experience and making them more inquisitive to enquire more.

o Thorough campaign report on daily, weekly or monthly basis from account

manager is worth effective to know about the progress of your campaign.

Pay Per Call

Pay per Call is a more advanced form of Pay per Click Services. It is a

business model for listing in search engines and directories that charges local advertisers

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based on each call made on their advertisement. Apart from local advertisers, some Pay

per Call engines allow national advertisers by relating advertisements with local

telephone number. Advertising your product by categorizing it differently enhances the

influx of potential buyers to your website.

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Market segmentation

Bases of segmentation

It is widely thought in marketing that than segmentation is an art, not a

science. The key task is to find the variable, or variables that split the market into

actionable segments

There are two types of segmentation variables:

(1) Needs (2) Profilers

The basic criteria for segmenting a market are customer needs. To find the

needs of customers in a market, it is necessary to undertake market research. Profilers

are the descriptive, measurable customer characteristics (such as location, age,

nationality, gender, income) that can be used to inform a segmentation exercise.

The most common profilers used in customer segmentation include the following:

Geographic

•Region of the country

• Urban or rural

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Demographic

• Age, sex, family size

• Income, occupation, education

• Religion, race, nationality

Psychographic

• Social class

• Lifestyle type

• Personality type

Behavioral

• Product usage - e.g. light, medium, heavy users

• Brand loyalty: none, medium, high

• Type of user (e.g. with meals, special occasions)

Market segmentation is carried out on the basis of location or geographic area in which

the area considered is the Pune city and the industrial areas present in the outskirts of

city. For that we have targeted most of the small and medium scale industries (SMI), and

the big shops of specific categories those are having the differential product range and

has the capacity to go beyond the specific/ defined boundaries or the market segments

they have defined

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Target Market

Before one can increase his sales, one has to know whom he has going to sell his

products/services? “I’m selling to anyone who will buy my product/service.”

Wrong answer. By being vague in defining your target market, you essentially have

created the shotgun effect – any efforts you make to generate sales will spray like shot

and hit very little of your broad mark. You need to zero in on a specific segment that has

need of your product or service. To figure out who your target market is, use market

segmentation to narrow it down.

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Research Methodology.

Research is a scientific and systematic search for pertinent information on a

specific topic. Research is, thus an original contribution to the existing stock of

knowledge making for its advancement. it is the pursuit of truth with the help of study,

observation, comparison and experiment.

1) Descriptive research method

It includes surveys and fact-finding enquiries of different kinds. The major

purpose of descriptive research is description of the state of affairs as it exists at present

the main characteristic of this research is that the researcher has no control over the

variables; he can only report what has happened or what is happening.

By this method it is quite possible for me to gather the important data and

state and compare the present situation and the findings of my project.

2) Applied research method

Applied research aims at finding a solution for an immediate problem facing

a society or a industrial/ business organization. The central aim of the applied research is

to discover a solution for some pressing practical problem, whereas basic research is

directed towards finding information that has a broad base of applications and thus, adds

to the already existing body of scientific knowledge.

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This method is useful to find out the data for the expansion plan and the platform

availability for expansion.

3) Qualitative research method

It involves the investigating the reasons and discovering the underlying

motives and desires, using in depth interview for the purpose.

We have adopted field research method and interviewed the concerned persons by

means of a questionnaire having closed and open ended questions in it.

Sample Design

All the items under consideration in any field of enquiry constitute a

‘universe’ or ‘population’. From this universe, quite often we select only a few items

from universe for our study purposes. This items so selected constitute what is

technically called a sample. Sample can be either probability samples or non-probability

samples. with probability samples each element has a known probability of being

included in the sample but the non-probability samples do not allow the researchers to

determine this probability.

Following sampling techniques were used

1) Deliberate sampling:- this sampling technique involves purposive or

deliberate selection of particular units of the universe ( here Pune city and the

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outskirts of it having various industrial zones) for constituting a sample which

represents the universe.

2) Simple random sampling:- this type of sampling is also known as a chance

sampling or probability sampling where each and every item in the universe has a

equal chance of inclusion in the sample and each one of the possible samples. For

those samples or the companies, for which no database was present, I visited

them randomly or made the cold calls to them and these companies were

approached through my own effort.

3) Convenience sampling:- when population elements are selected for

inclusion in the sample based on the ease of access, it can be called convenience

sampling. Through this data I collected by the convenience of the researcher here

data collected from the news paper, yellow pages, industrial directory are

selected on the basis of easy access to include them in to the sample size.

Method of data collection:-

While deciding the method of data collection to be used for the study, the researcher

should keep in mind two types of data viz., primary and secondary.

The primary data are those which are collected afresh and for the first time, and

thus happen to be original in character. The secondary data, on the other hand, are those

which have collected by someone else and which have been passed through the

statistical process.

33

1) interview method:- personal interview method is used for data

collection, through which I contacted the concerned persons and interviewed

them to collect the relevant data.

2) Through questionnaire:- interview technique is followed by the

questionnaire format which was consist of various open and closed ended

questions.

3) Through e-mails:- where it is not possible to meet directly to the

concerned persons then e-mails has been sent for their further reference.

Secondary data means data that is already available. And this data is collected

from the

1) various publications of the central, satte and local government

2) various publications of the foreign govt. international bodies and their

subsidiary organizations

3) technical and trade journals

4) books ,magazines and news papers

5) Various internet sites etc.

Researchers must be careful in using secondary data. The data so collected must be

reliable, suitable, and adequate.

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35

Current statistics on internet usage and penetration across the world. ( data collected from internet)

INTERNET USAGE STATISTICS - The Big PictureWorld Internet Users and Population Stats

WORLD INTERNET USAGE AND POPULATION STATISTICS

World Regions Population( 2007 Est.)

Population% of World

Internet Usage,Latest Data

% Population( Penetration

)

Usage% of

World

Usage Growth2000-2007

36

Africa 933,448,292 14.2 % 33,545,600 3.6 % 2.9 % 643.1 %

Asia 3,712,527,624 56.5 % 436,758,162 11.8 % 37.2 % 282.1 %

Europe 809,624,686 12.3 % 321,853,477 39.8 % 27.4% 206.2 %

Middle East 193,452,727 2.9 % 19,539,300 10.1 % 1.7 % 494.8 %

North America 334,538,018 5.1 % 232,655,287 69.5 % 19.8% 115.2 %

Latin America/Caribbean

556,606,627 8.5 % 109,961,609 19.8 % 9.4 % 508.6 %

Oceania / Australia 34,468,443 0.5 % 18,796,490 54.5 % 1.6 % 146.7 %

WORLD TOTAL 6,574,666,417 100.0 % 1,173,109,925 17.8 % 100.0 % 225.0 %NOTES: (1) Internet Usage and World Population Statistics are final for June 30, 2007. (2) CLICK on each world region for detailed

regional information. (3) Demographic (Population) numbers are based on data contained in the world-gazetteer website. (4) Internet

usage information comes from data published by Nielsen//NetRatings, by the International Telecommunications Union, by local NICs, and

other other reliable sources. (5) For definitions, disclaimer, and navigation help, see the Site Surfing Guide. (6) Information from this site

may be cited, giving due credit and establishing an active link back to www.internetworldstats.com. Copyright © 2007, Miniwatts Marketing Group. All rights reserved worldwide.

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Internet Usage and Population Statistics in India:

YEAR Users Population % Pen.

1998 1,400,000 1,094,870,677 0.1 %

1999 2,800,000 1,094,870,677 0.3 %

2000 5,500,000 1,094,870,677 0.5 %

2001 7,000,000 1,094,870,677 0.7 %

2002 16,500,000 1,094,870,677 1.6 %

2003 22,500,000 1,094,870,677 2.1 %

2004 39,200,000 1,094,870,677 3.6 %

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2005 50,600,000 1,112,225,812 4.5 %

2006 40,000,000 1,112,225,812 3.6 %

2007 42,000,000 1,129,667,528 3.7 %

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Analysis of the data

Sample size = 100

Fig showing the industries interviewed were doing business under following category.

%wise distribution of industry according toB2B, B2C and Both

40%

40%

20%

b2b

b2c

both

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Equal amount of companies are there those are classified on the basis of business to business (B2B) and business to customer (B2C) supplier companies.

Fig showing the turnover of the interviewed companies.

%wise display according the turnover of the company

30%

15%

55%

up to 10 cr

up to 25 cr

not disclosed the facts

Though there is less number of companies who has revealed the turnover of company but they are more in number and should be targeted continuously for better results.

Fig showing Companies interviewed, do the business in following areas.

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%wise market segment of the sampled industries

35%15%

13%

37%

pune city only

MS state only

national level

worldwide

There are near about equal percentage of companies those deal locally and worldwide and should be targeted as these are the most promising customers those wants to provide better services in their sectors.

Fig showing the distribution of companies those were having website.

%wise distrobution of companies having website or not

yes 68%

no32%

yes

no

Maximum number of companies (68 %) are having websites of their own but the remaining companies can also be targeted for other services such as web development as these are the promising customers.

Fig showing the awareness about e-marketing and online selling.

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%wise distribution of those who have heard about e-marketing, online selling

yes25%

no10%

not more65%

yes

no

not more

Only 25 % of interviewed people knows clearly about e-marketing and online selling, so there must be awareness programs carried out to create and awareness and target these customers.

Fig showing the personal transactions done through internet.

%wise distribution of those who have done the transaction through internet

55%

35%

10%

yes

no

always

55% Personal transactions shows that people uses internet or credit cards for easy transaction so they can be easily convinced for easy industrial transactions through internet.

Fig showing the current position of companies those selling product online.

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% wise distribution of companies those who are selling their product online

30%

70%

yes

no

70 % companies are not selling their product online if they are made aware of future competition and internet penetration they can be considered as the potential customers.

Fig showing the potential customers who want to sell their product online.

%wise distribution of those who want to sell their products online

20%

25%

55% yes

no

not sure right now

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20 % says that they are interested in selling product online, but 55 % are not

sure because of any clear-cut idea about the e-marketing concept, if it is made

clear then they can be considered as potential customers.

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Findings of project

1) No of respondents who are ready to take the services for e-marketing and online

selling of their products. = 20 %

2) Potential customers to whom we can look forward for the development of online

selling softwares = 55 %

3) The awareness about e-marketing and online selling = 25 % are aware but still

there is a huge pool who don’t know or hardly know about e-marketing/ online

selling.

4) Companies those are selling their product online products/ services are 30%, but

still there is 70 % of companies are untouched.

5) There are 32 % of companies those don’t have their website and hence these

companies ca also be targeted along with other 68% companies.

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6) There are companies those are mostly engaged in local market ( i.e. Pune, 35 %)

and worldwide selling (37%) hence these segments can mostly be targeted.

7) 30 % of the companies surveyed has annual turnover below Rs 10 Cr, 15 %

between Rs 10 to 25 Cr and rest of don’t disclosed their turnover.

Limitations of the project

Though the survey for this project has been carried out to reach meaningful conclusions

and to provide with recommendations on the basis of the findings during the survey, but

no project is ideal and in reality surveys suffers from certain problems which acts as

limitations of the project such as

1) The lack of scientific methodology in the research. Before undertaking research

project researchers should be well equipped with all the methodological aspects.

As such, efforts should be made to provide short duration intensive courses for

meeting this requirement.

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2) The real data is unrevealed. Sometimes may be because of insufficient

interaction or because of security purpose the data supplied is not complete and

some primary data remain untouched.

3) The biased data can be provided by the interviewer in effect of avoiding further

questioning or in effect of security.

4) Research studies overlapping one another can results in duplication and fritters

away resources.

5) The limitation over the boundary, survey conducted is limited to a certain area

only i.e., the geographical area was limited to a certain extent (limited to the

Pune city and its exteriors only).

6) Limited time frame can restrict the surveyor to come to the exact conclusion

and hence authenticity of the project can be questioned.

7) The sample selected for the survey may not represent the exact universe.

8) As the company is newly established and brand name of the company is not so

known, some of the respondents did not entertain.

9) The data has been mainly collected for medium and small scale industries

(MSI) only. So the results and findings are applicable to these companies only.

10) The project is limited by the expenditure as there is no clear view to which

extent the cost of the project is granted.

11) Some of the responses were collected over on the phone and through e-mail and

for which exact feelings or responses was not gathered.

12) The fixing of appointment with the respondents was a time and cost consuming

difficult task.

13) Some industries are in the custom applications only so they don’t entertained.

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Suggestions

1) The company should target and follow the potential market. As these companies

can’t do better in near future without exposing to the e-marketing and online

selling, as they don’t have other option available because the internet users are

increasing with the high speed.

2) The potential market is quite confused about the e-marketing and online selling

concept so the regular interaction and some seminars arranged for them can clear

their ideas to better extent.

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3) The potential customers are quite curious about the price range of the offered

services; they can be lured by providing them some discounts, early registration

benefit or mass registration benefit.

4) Potential market has some customers which even doesn’t have the websites also,

so company can also target these customers and can offer them company’s other

services. And to attract them company can offer, for example, one year domain

name registration free etc.

5) As the our company is in its early stages so most of the customers even don’t

know abut the company also, so company promotion should be there to increase

the awareness and brand value of the company.

6) The Researchers are the mirror images of the company as they represent the

company so they should be equipped with the proper training programs having

detailed emphasis on the products with its nearest counterparts and best in the

industry should be provided.

7) Researchers do the work for company and they have to face various customers

with different attitudes so they must be paid properly to keep their moral high for

better and accurate results.

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Conclusion

This survey i.e. identification of opportunities to track the untapped market

potential for the e-marketing and online selling of the products.(Covering Pune city and

industrial zones around it.) was carried out in the Pune city and premises of it, and it

shows that the market is buzzed with the lot of opportunities to grab and it is yet to

explore. Survey shows that there is little bit of confusion in the mind of entrepreneurs

who actually don’t know or knows very little about the e-marketing and online selling so

there is a need to carry out the seminars those can clear their doubts and can benefit the

company in one or more aspects in the upcoming future on which company can build its

image in the present market.

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The survey also shows that the industrial zones like pimpari-chinchwad is full of

companies which are medium and small scale in nature and these companies provide the

better opportunities in the area of e marketing and online selling and also provides the

opportunity for web development, as some of these companies are still don’t have the

websites also, so company can grab this opportunity and can create a stronger base for is

e marketing and online selling development project.

Terms used

Stats

Stats is an abbreviation for the word statistics, a branch of mathematics

dealing with the collection, analysis, interpretation, and presentation of masses of

numerical data, in the form of a collection of quantitative data.

INTERNET USAGE

The ITU (international telecommunication union) subscribes to the definition

of an Internet user as someone aged 2 years old and above, who went online in the past

30 days. The US Department of Commerce, in contrast, defines Internet users as those 3

years or older who 'currently use' the Internet. The CNNIC defines the Internet user as a

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Chinese citizen, aged 6 or above, who uses the Internet at least one hour per week. Other

market researchers have there own definitions.

an Internet User as anyone currently in capacity to use the Internet. In our

opinion, there are only two requirements for a person to be considered an Internet User:

(1) The person must have available access to an Internet connection point, and

(2) The person must have the basic knowledge required to use web technology.

INTERNET GROWTH

In order to establish the relative growth rate of the Internet on a global basis,

we compare the current (latest) Internet usage figures for each country or region with the

year 2000, our baseline year for Internet usage figures, and express this ratio as a

percentage

INTERNET PENETRATION RATE

The Internet Penetration Rate corresponds to the percentage of the total

population of a given country or region that uses the Internet. Internet users are defined

in 1.1. No adjustments have been made for infants or illiteracy in the Internet penetration

rate calculations. Indeed very few countries have 100% literacy, Norway is one of them.

Regarding the children, they are early adopters, when given the chance to surf the

Internet.

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Bibliography

1) E-Marketing, fourth edition by Judy Strauss, Adel El-Ansary, Raymond Frost. Prentice hall India.

2) Guide to web marketing successful promotion on the net .by Judy Davis, Crest Publishing House.

3) Marketing management by Rajan Saxena, third edition, Tata Mcgraw Hill.4) www.edoore.com5) www.googlesearch.com 6) www.wikipedia.com 7) www.internetworldstats.com 8) www.iconocast.com 9) www.midaswebtechnology.com 10) www.nkarten.com 11) www.businessindia.in 12) www.vanik.com 13) www.businesslink.com

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Annexure

DEORE CONSULTANCY SERVICES PVT. LTD. _________________________________________________________________________________

Name of the Company:-___________________________________ Address:- ____________________________________ ____________________________________ ____________________________ Ph.No:- ________________ Contact persons name:- __________________________________________ Email id:- ______________________ Mob. No.:-______________

01) What is the core business of the company?

02) What are the products/services offered?

03) What is the type of your business? B2B B2C

04) What is the turnover of your company?

05) What is the market size of your company? Pune city Maharashtra (other states) National Worldwide

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06) Do you have website of your company? Yes No

07) Have you heard about e-commerce? Yes No

08) Have you ever done a transaction through the Internet? Yes No often always

09) Do you have online transactions for your products/services? Yes No

10) Are you interested in having online transaction for your products/services? Yes No Not sure 11)Any references you would like to suggest of those who are interested in online selling. 1)__________

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