Some India SpecificGrowth Enablers & Inhibitors

Arvind Singhal27th February 2014

E-tailing in India

Key Growth Enabler

s

1.Still Birth Of Modern Brick & Mortar Retail In India

2.Increasing Time Poverty In Metro / Mini Metro And ThenIn Most Of Urban India

3.Rise In Consumer Aspirations And Convergence Of Consumer Lifestyles Across India

4.Rapid Increase In Penetration Of Digital Devices Especially Smart Phones

5.Sustained High Inflation

6.Very Rich Ecosystem Of Relatively Young, Brighter, And More Ambitious Entrepreneurs

IndianE-tailing’s

Growth Inhibitors

1.Weak & Inadequate Last Mile Delivery Infrastructure

2.Unreal Consumer Expectations Being Created By Some E-tailers To Acquire Customers Or Boost Top-line (And Valuation)

3.(Still) Limited Access To Financial Capital

4.Poor Quality (Speed & Reliability) Of Data Communication Networks

Future Of E-tailing

&Some

Suggestions For E-tailers

In India

2013 2018 (P) 2023 (P)

Pure Play E-tail

Modern Retail: Brick & Mortar

Independent Retail

92

70.2

86

122

76

17

7

US$ 490 Billion

Merchandise Retail Channel Share Projections…

US$ 640 Billion US$ 865 Billion

16

Some Suggestions …

• Take a pause and re-strategize using learning from own experience and then also the emerging competitive landscape

• Differentiate, and continue to focus on maintaining differentiation from myriad competitors (present and future)

• Put some focus on profitability too, while building business and chasing revenue growth

Thank You !

17

For Further Dialogue, Please Contact :

Arvind SinghalChairman,Technopak Advisors (India)T : (+91) 124 454 1111E : arvind.singhal@technopak.comWeb : www.technopak.com