E-Commerce in India is at Exciting Phase
In an exclusive discussion with Mahesh Jakhetiya, CEO of Shopezzy App, Faiz Askari of SMEStreet found some key insights on Indian E-commerce domain.
E-commerce is shaping up very fast in India. Touching all the almost all the verticals – Mobile, Electronics, Apparels, Furniture, Food etc. Currently lot of folks are beginning to get in touch with shopping over thier
mobile. Next most promising vertical is Grocery/Household Needs. All the E-Com majors are trying to crack this vertical and lot of experimentation is going on around different models. Exciting Times for Sure.
Mobile is becoming a great enabler for ecommerce. How are you planning to leverage this medium for your business?We are a mobile centric platform and all of our innovation will revolve around it. We want to make it super easy for people to order their groceries within 3 mins from our app from their choice of retailer.
How is the the aspect of average revenue per user is evolving in this trade? Also, can you highlight the element of profitability in Indian ECommerce?E-Commerce players measure their scale in terms of GMV (Gross Merchandise Value) of the goods sold and Number of Users / Transactions happening on their platform. Currently its a multi pronged race and E-Com
players are more concerned about grabbing the market and mind share. There are huge investment bets already been made by major PE players / VCs. Hence Profits is not a concern at the moment – like other offline big format retailers – which are still negative on balance sheet – everybody wants to stay in the race.
Profits will come into play when investors money dries and industry will see a consolidation. We’ll need to see if E-Com becomes another channel to interact with consumer in Omni-Retail strategy. Or E-Com players will also adapt Omni channel strategy to retain consumers.
Some experts also believe that eCommerce is yet another bubble in Indian marketplace. Please share your views on this?I can confidently say that – Its definitely not a bubble – if you and me are using it, it is something real. You can question on valuations of these E-Com companies and investments they are attracting, However – if we look at US, China market – it seems fair and real. The only reasonable doubt is its happening way too fast in India compared to other markets – which is because investor have already got learnings from US, China market – that may result in closing down of few co.s and loss to few investors. But as a phenomenon it is here to stay and grow, however, yes as discussed in point above – profits are not there as yet. E-Com players will have to adapt themselves and start looking at good operating margins in couple of years from now.
What is your stand on Net Neutrality?Net Neutrality is essential and we must ensure that it remains the same. It is a breeding ground for innovative startups like ours. Just see the pace of innovation once open source softwares were introduced, google opened its play store, Android platform for anybody and everybody to become part of it. If we compromise on this – it will slow down pace of innovation / kill it. Starting up would be a way costly exercise, and we may not See Flipkart, Snapdeal & Ola of this world come to life. Hence this needs to be protected. My Views on this subject are present on my LinkedIn Post
What is the key focus of ShopEzzy App?
Shopezzy aims to make your Grocery / Needs shopping super-easy, within 3 mins from your choice of retailer.
Current version helps you to create your shopping list, share it and Shop using it physically in store. So now you don’t need to carry a paper and pen – Shopezzy List app will help you do all that you can do with shopping list and more. Next version will help you Shop from mobile as well.
What are the key differentiating elements of your application?
Its Easy to Use Interface, Enriching your Grocery Shopping Experience and Giving you full flexibility to choose from where to buy.
Where would you like to see your business in next two years?In 2 Years more than 1 million users will be using our App to shop their groceries across Top 50 Cities of India and South East Asia.