eKrafts India:

Prepared & Presented byeFresh India Pvt Ltd

What is E-Commerce

• Commonly known as Electronic Marketing.• “It consist of buying and selling goods and services over an electronic

systems Such as the internet and other computer networks.”• “E-commerce is the purchasing, selling and exchanging goods and services

over computer networks (internet) through which transaction or terms of sale are performed Electronically.

TRADITIONAL BUSINESS

DIRECT SELLING

MANF. UNIT 20%

DISTRIBUTOR 10%

WHOLESALER 10%

RETAILER 10%

CUSTOMER 100%

ADVERTISEMENT 50%

CUSTOMER

COMPANY

Different types of e-commerce

• Business-to-business (B2B)

• Business-to-Consumer (B2C)

• Business-to-government (B2G)

• Consumer-to-consumer (C2C)

• Government to consumer (G2C)

• Government-to-business (G2B)

What is B2B e-commerce?

• B2B e-commerce is simply defined as ecommerce between companies. About 80% of e-commerce is of this type.

• Examples:– Intel selling microprocessor to Dell

B2B E-commerce

What is B2C ecommerce?

• Business-to-consumer e-commerce, or commerce between companies and consumers, involves customers gathering information; purchasing physical goods or receiving products over an electronic network.

• Example:– Dell selling me a laptop

B2C E-commerce

What is B2G ecommerce?

• Business-to-government e-commerce or B2G is generally defined as commerce between companies and the public sector. It refers to the use of the Internet for public procurement, licensing procedures, and other government-related operations

• Example:– Business pay taxes, file reports, or sell goods and services to Govt.

agencies.

B2G E-commerce

What is C2C ecommerce?

• Consumer-to-consumer e-commerce or C2C is simply commerce between private individuals or consumers.

• Example:– Mary buying an iPod from Tom on ebay

– Me selling a car to my neighbour

C2C E-commerce

G2C E-commerce

• This Model is also a part of e-governance.

• The objective of this model is to provide good and effective services to each citizen.

• The Government provides the following facilities to the citizens through website.

• Information of all government departments,

• Different welfare schemes,

• Different application forms to be used by the citizens.

G2C E-commerce

G2B E-commerce

• Government-to-business (G2B) is a business model that refers to government providing services or information to business organisation.

Government uses B2G model website to approach business organizations. Such websites support auctions, tenders and application submission functionalities.

G2B e-commerce

The process of E-commerce

The process of E-commerce

• A consumer uses Web browser to connect to the home page of a merchant's Web site on the Internet.

• The consumer browses the catalog of products featured on the site and selects items to purchase. The selected items are placed in the electronic equivalent of a shopping cart.

• When the consumer is ready to complete the purchase of selected items, she provides a bill-to and ship-to address for purchase and delivery

The process of E-commerce

• When the credit card number is validated and the order is completed at the Commerce Server site, the merchant's site displays a receipt confirming the customer's purchase.

• The Commerce Server site then forwards the order to a Processing Network for payment processing and fulfilment.

HARDWARE SOFTWARE

INTERNET ACCESS, SERVICES,

E-payment, CERTIFICATES,

ADVERTISEMENT

E-business infrastructure

EKRAFTSINDIA.COM

eKrafts Online Pvt. Ltd. is formed as a wholly owned

subsidiary of eFresh Portal Pvt. Ltd.

eKraftsindia.com was launched by Hon'ble Minister for Finance Mr. Arun Jaitley on 16th Jan 2015 in New Delhi.

SWOT ANALYSIS OF HANDICRAFT INDUSTRY

Strengths:•Large, diversified and potential market.•There is large product variety and range is available because of diversified culture.•It has strong, diversified and supportive retail infrastructure.•Diversified product range that service different market.•Cheap labor rates that result to competitive price.•Need low capital investment.•There is flexible production flexibility.•Low barriers of new entry.

SWOT ANALYSIS OF HANDICRAFT INDUSTRY

Threats:•Competition in domestic market.•Balance between high demand and supply.•Quality products produced by competing countries like China, South Africa.•Better Trade terms offered by competing countries.•Increased and better technological support and RandD facility in competing countries.

SWOT ANALYSIS OF HANDICRAFT INDUSTRY

Opportunities:•Rising demand for handicraft products in developed countries such as USA, Canada, Britain, France, Germany, Italy etc.•Developing fashion industry requires handicrafts products.•Development of sectors like Retail, Real Estate that offers great requirements of handicrafts products.•Development of domestic and international tourism sector.•e-Commerce and Internet are emerged as promissory distribution channels to market and sell the craft products.

SWOT ANALYSIS OF HANDICRAFT INDUSTRY

Threats:•Competition in domestic market.•Balance between high demand and supply.•Quality products produced by competing countries like China, South Africa.•Better Trade terms offered by competing countries.•Increased and better technological support and RandD facility in competing countries.

The Indian eCommerce Landscape

The Major Players

What are they Buying?Source: ASSOCHAM Report,

Male Shoppers

Female Shoppers

Consumer Insights

• Men make more expensive purchases than women

• Women buy more frequently than men

• Shoppers Age & Purchase behaviour*:

– 18-25: 35%

– 26-35: 55%

– 36-45: 8%

– 45-60: 2%

*Source: ASSOCHAM Report,

Consumer Insights

• Men make more expensive purchases than women

• Women buy more frequently than men

• Shoppers Age & Purchase behaviour*:

– 18-25: 35%

– 26-35: 55%

– 36-45: 8%

– 45-60: 2%

*Source: ASSOCHAM Report,

This is our Target Demographic: Financially independent urban women ages 18-35

What are women buying?

Branded clothing (Ethnic & Western)

Imitation Jewelry

Shoes

“I buy only branded stuff online. That way, I know it’ll fit (because I’ve other stuff from that

brand) and it’ll be of decent quality”

What are women NOT buying?

Formal Indian & Western wear

Handloom Ethnic wear

“I prefer to buy expensive stuff like handloom silk sarees from stores. At least I know they’re

genuine.”

Shopping Behavior

Shoppers value fitting and quality of the clothes they buy.

They don’t trust online shops for expensive purchases because they can’t trust an unknown seller.

They’re afraid they might not receive an authentic product.

eKrafts India proposes to fill this gap.

Shopping Behaviour

Shoppers value fitting and quality of the clothes they buy.

They don’t trust online shops for expensive purchases because they can’t trust an unknown seller.

They’re afraid they might not receive an authentic product.

eKrafts India proposes to fill this gap.

We are in a unique position to certify the quality & authenticity of our products.

Our Goal

eKrafts seeks to be a marketplace dedicated to improving the livelihood of artisans. We shall accomplish this by

1. Facilitating online & onsite market linkages between artisans and buyers

2. Implementing fair-pricing policies that benefit the artisans and consumer

3. Providing artisans with a transparent platform for recognition

Our USPs

We believe eKrafts will succeed in its endeavour because we

1. Have NABARD backing us

2. Can guarantee product authenticity & quality

3. Authenticity certification by recognised bodies like, Handloom Mark, Silk Mark and GI label

4. Specific geographical sourcing for effective quality control and sustained focus on particular artisan pools from Andhra Pradesh, Telangana , Tamil Nadu and Karnataka.

Business & Operational Specifics

Inventory Selection• Limited number of women's products (no sizing issues; easy to ship)

• Proposed special categories [E.g. Pooja Mandir items, and Classical dance ornaments & accessories especially targeting NRIs]

• Corporate Gifts [Bulk orders on gift plates, paintings etc.]

Supply Chain• Limiting geographic sources for effective control on supply chain (A.P, Telangana, Tamil

Nadu, Karnataka only)

Product & Quality Control• Authenticity certifications: Handloom Mark, Silk Mark, GI Label

• Transparent artisans benefits

• Product Niche: Hand-crafted goods

Marketing Overview

Marketing goals and tools

• Increasing traffic

a) Social Media Advertising

b) Google Ads

c) SEO

• Increase sales

a) Bundle offers

b) Discounts

c) Periodical pushes

• Brand awareness

a) Digital campaign

b) Limited outdoor advertising

c) Consumer interaction (Corporates, Schools, Exhibition, Road shows)

Brand Positioning

eKrafts will establish itself as a

niche e-commerce brand in the online space.

We will be the #1 online destination for

Hand-crafted South Indian Ethnic Ware

Consumer & Socio-Cultural Impact

• Significant reduction in Marketing costs – reduced prices

• Authentic products – Origin, Process & Quality guarantee

• Recognition and Preservation of Art, Culture & Heritage

• Encourages talent pool – limit migration, attract new entrants

We are in a unique position to certify the quality & authenticity of our products.

Shopping Behaviour

Business & Operational Specifics

• Inventory Selection:

• Limited number of Handloom products (no sizing issues; easy to ship)

• Proposed special categories (E.g. Pooja Mandir items, Artificial Jewelry

and Home Decors & accessories especially targeting NRIs)

• Corporate Gifts (Bulk orders on gift plates, paintings etc.)

Business & Operational Specifics

Supply Chain

• Limiting geographic sources for effective control on supply chain (A.P, Telangana, Tamil Nadu and Karnataka only)

Product & Quality Control

• Authenticity certifications: Handloom Mark, Silk Mark, GI Label

• Product Niche: Hand-crafted goods

Benefits to the Artisans

FinancialsBetter price realization and Improved sales

Social ImpactMarket visibility & Recognition

SustainabilityBetter livelihood opportunity leading to sustainable operations

Support for Innovation Blending of Technologies; Skill Development through eKrafts Intervention

Benefits to the Consumers

▪Significant reduction in Marketing costs – reduced prices

▪Authenticity of products – Origin, Process & Quality

Benefits to the Society at large

▪Recognition and Preservation of Art, Culture & Heritage

▪Encourages talent pool – increase employment in rural areas, limit migration, attract new entrants

Market Linkage Process

Buys Products

Order received

Artisan

Ord

er d

etai

ls

com

mun

icat

ed to

Artisa

n

Payment sent

based on the

availability

Product Shipped to Customer

Artisan sends product profile to eKrafts

Product profileUploaded to ePortal

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THANK YOU