- your house of computers

-Ajit Singh (ajitsingh0107@gmail.com)

India: An Emerging Economic Power

The Compushop story

Retail Shop Observation and Suggestions

Evaluating New Business Opportunities

The India Story

• Socialist policies – minimal private sector role

• Bureaucratic

• Protected market

• Small consumer markets

• Underdeveloped infrastructure

• One of the fastest growing economies ; 9%+ growth rate for 5 years prior to current crisis

• Opening up sectors for investment

• Promising consumer markets

• Significant investment in infrastructure development

YESTERDAY

TODAY

• Largest democracy; Stable government.

• Dominant private sector; Increasing

withdrawal of government from business

• Robust banking sector; Capital markets

• World class IT & telecom infrastructure

• A ‘connected economy’; Economic efficiency &

quality of governance

An Enabling Environment

Demographic Dividend

• 2nd largest urban population: 29% of the total (2010)

• Projected to reach 37.8% by 2025.

• To register the largest addition to the working age population in the world by 2012.

• Largest working age population worldwide by 2050.

25

34 37 38

44

0

10

20

30

40

50

Ind

ia

Ch

ina

US

Russia

Jap

an

0-19 yrs41.8%20-59 yrs

50.7%

60yrs & above7.5%

• Enormous consumption force: Large youth population

• Global production force in service:

• Large pool of professionals and technocrats

• Largest pool of English speaking manpower after the

Growing urban & Working population

Powerful production & consumption forceDemographic Profile

Population Median Age (In Years): 2010E

Present global crisis: An opportunity for India

Indian economy coped with the crisis better; Clear signs of recovery

• Revised government growth projection for 2010-11 at 6.9%; Q2 GDP growth at 7.9%

• GDP forecast for 2011-12 is 7.9%

• 2011-12 to be a year of consolidation; launch into the high growth mode

India’s long term strengths still valid

• Growth primarily driven by the strong domestic market.

• Domestic savings rate at more than 35%

• India projected to be the 5th largest consumer market by 2025, worth over USD 1,500 Bn –

CAGR of 7.3% (McKinsey Institute)

India: An Emerging Economic Power

The Compushop story

Retail Shop Observation and Suggestions

Evaluating New Business Opportunities

Computer Hardware and software is the second most preferred sector for investment

Still untapped market◦ Growing professionals, educated urban

youth

Retail boom (organized retail)

Opportunities

Computer Hardware-Software (The most preferred sector)

Computer Hardware-Software (The most preferred sector)

India: An Emerging Economic Power

The Compushop story

Retail Shop Observation and Suggestions

Evaluating New Business Opportunities

Founded in 1997 with an initial turnover of Rs.1 million. Started with small scale assembling of computers

Forayed into Retail arenaHave 20 retail outlets in Mumbai and Thane

2004

Started the distribution business

Started doing online business from our own website www.compushop.in

1997

2011

2002

Our Beginnings

Juhu-Vileparle

Borivali Kalyan

Chembur

Dombivali-EPrabhadevi

Dombivali-W

Virar

NallasoparaVashiAndheri-W

Mira Road

Diwa

Sony Mony NEXT VIVA Supermarket J K Enterprise

MX World (Owned outlet)

MX World (Owned outlet)

Our Retail Stores

Kandivali-W Borivali-E

Vasai

India: An Emerging Economic Power

The Compushop story

Retail Shop Observation and Suggestions

Evaluating New Business Opportunities

Observations: Brand CompuShop

missing initially

Laptop section seemed to be more of Sony Mony rather than CompuShop

Sales staff good and aggressive

A visit to CompuShop (Sony

Mony-Andheri/Vileparle)

Sony Mony(Andheri)

Sales Staff’s yellow uniform does the branding to some extent(but customers are not educated about CompuShop)

Eventually Sony Mony is growing, as the customer thinks he buys a product from Sony Mony instead of CompuShop

There is very little differentiation created

Observations ……

Sony Mony(Andheri)

Sony Mony(Andheri)

Reasons for Visual Merchandising: A brand CompuShop will be created

This will create a brand recall in customers mind, benefiting the other outlets

The customers will visit CompuShop inside the retail house, rather than the retailer itself(NEXT/SonyMony)

This will also benefit our online sale and our website as well

Can also help in future expansion

Visual Merchandising

Create a complete different zone: Using signages of brand CompuShop

Point of Sale material

A different color for the zone

Branding along the shelf space

Displaying offers along the shelf

Packaging using the brand CompuShop

Recommendations

DELL stores (Shop in shop)

DELL Store @ Croma Juhu

Creating a different zone

DELL Store @ Croma Juhu

Branding/Advertising along the shelf space

Laptop Section Croma - Juhu

CompuShop @ Sony Mony (Andheri)

CompuShop @ Sony Mony (Andheri)

CompuShop

Offers

Offers

Offer of the day/week (Sasta Sunday.. Etc.) (already done in CompuShop)

Discount coupons from our website and newspapers(to promote our website as well)

Ask the customer to choose his configuration and assemble him self from our website (only if its available)

Different Offerings

Student Dicounts on I Card

Tie Up with Mobile Dongle(Tata/Reliance/MTS)

Refer a friend for discount

Other Offerings

There may be objection from the retailer

Cost attached

Sales team might oppose the ideas

Contractual obligations

Feasibility