E – COMMERCE BUSINESS MODEL THAT ENABLES A FIRM OR INDIVIDUAL

TO CONDUCT BUSINESS OVER AN ELECTRONIC NETWORK via INTERNET

Process of buying, selling, transferring, or exchanging products, services

E – COMMERCE 1st ATM was introduced in INDIA - 1989

E – COMMERCE

E – COMMERCE

E – COMMERCE CATEGORY

B2B B2C

BUSINESS 2 BUSINESS

BUSINESS 2 CONSUMER

OTHER

CONSUMER 2

CONSUMERMOBILE

COMMERCEE - LEARNING

E - GOVERNMENT

E – COMMERCE : e – GOVERNMENT

E – COMMERCE SEGMENT

ONLINE TRAVELLING

e – TAILING

FINANCIAL SERVICESCLASSIFIEDS

ENTERTAINMENT TICKETINGONLINE FOOD & GROCERY DELIVERY

MEDICINES & MEDICAL CONSULTANCY

e – BOOKS APPS

E – COMMERCE

SOURCE : THE ECONOMIC TIMES

E – COMMERCE – HOW IT STARTED ?

2000 INDIATIME

S SHOPPING

2005BAZEE

2007 FLIPKART

& MYNTRA

2008 Home

Shop 18

2010Snapdeal

2012Jabong

2010PAYTM

2011 Big

Basket

2013 Amazon

STILL MULTIPLYING . . . . & GROWING @51 % HIGHEST IN THE WORLD

E – COMMERCE – TRADE

254.5 mn people use Internet in India

82.3 mn people Shop Online

1.23 % of GDP

E – COMMERCE : E - TAILING

LAPTOP & COMPUTERS

APPATELS + FO

OTWEAR

MOBILE PHONE & ACCESS

ORIES

CAMERA & ACCESSORIES

CONSUMER DURABLE

S + KITCHEN APPLIA

NCES

BOOKS

PERSONAL &

HEALTHCARE

HOME FURNISH

ING0

5

10

15

20

25

E – COMMERCE : ONLINE TRAVELLING

DOMESTIC AIR TICKET

RAILWAY TICKET

INTERNATIONAL A

IR TICKET

HOTEL BOOKING

BUS TICKET

05

101520253035404550

E – COMMERCE : FINANCIAL SERVICES

UTILITIES BILL PAYMENTSHARES & SECURITIES INSURANCE

E – COMMERCE – PAYMENT OPTIONS

E – COMMERCE

FUTURE GROWTH

E – COMMERCE

M – COMMERCE

E – COMMERCE BENFITS TO ORGANISATIONS

GLOBAL REACH COST REDUCTION SUPPLY CHAIN IMPROVEMENTS 24 X 7 X 365 LOW ENTRY COST IMPROVED CUSTOMER RELATIONS

BENFITS TO CUSTOMER MORE PRODUCTS & SERVICES CHEAPER PRODUCTS & SERVICES INSTANT DELIVERY INFORMATION AVAILABILITY PARTICIPATION IN AUCTIONS COMPARISON

E – COMMERCE

E – COMMERCE

E – COMMERCE – VALUATION

REVENUE - ₹ 11,778 Crore

VALUATION – USD 24 Billion

ACCUMULATED LOSSES - ₹ 5,000 Crore

E – COMMERCE – VALUATION

REVENUE - ₹ 11,778 Crore

VALUATION – USD 24 Billion

ACCUMULATED LOSSES - ₹ 5,000 Crore

E – COMMERCE – VALUATION

E – COMMERCE – VALUATION

E – COMMERCE – VALUATION

E – COMMERCE – VALUATION

PROMOTER50%

EXISTING INVESTORS

25%

PE INVESTOR

ANGEL INVESTOR

HOLDING

E – COMMERCE – VALUATION

E – COMMERCE – VALUATION

MULTIPLES OF EBITDA / REVENUE /

GROSS MARKET VALUE

E – COMMERCE – VALUATION

WHAT IS GMV – GROSS MERCHANDISE VALUE ?

= total value of merchandise soldThe gross merchandise value is calculated prior to the deduction of any fees or expenses.

GMV - $ 296 Billion

REVENUE - $ 8 Billion

“ At the end of the day, it should be about how much cash has been collected. The real revenues are always just 25% of the GMV ”

– Kishore Biyani, Chairman Future Group

E – COMMERCE – VALUATION

Sharp rise in e-commerce GMV boosts valuation, but not for longHT MINT

E – COMMERCE – VALUATION

UNLISTED

CS ANAND KANKANIPracticing Company Secretary

& Academician