Sip of Mydeals 247
Sip of Mydeals 247
In the simple language ecommerce is the buying and selling of goods and services online.People use ecommerce to describe a purchase when the payment is been made online. A sale on internet is increasing now a day as the
customer takes the advantage of low prices by the wholesaler retailing the product. E commerce also include the entire process of developing , marketing, selling, delivering, servicing and paying for product and service. Modern Ecommerce typically uses the WWW at least at one point in transaction although it may include a wide range of technology such as email, mobile device and telephone as well.A large % of ecommerce is conducted entirely in form for virtual items such as access to premium content on a website, but mostly electronic commerce involves the transportation of physical items in some way. Online retailers are sometime known as e retailers and online retail is sometime known as e-tail.
1.1 HISTORY OF E- COMMERCE
Electronic commerce was identified as the facilitation of commercial transaction electronically using technology such as Electronic Data Interchange and Electronic Fund Transfer. The growth and acceptance of credit card was also a form of Ecommerce. Around 1994 internet became so powerful but it still took 5 more years to make it safe for usage.
1.2 BUSINESS APLLICATIONS OF E-COMMERCE
Some common applications related to electronic commerce are the following:
* Document automation in supply chain and logistics
* Domestic and international Payment systems
* Enterprise content management
* Group buying
* Automated online assistants
* Instant messaging
* Online shopping and order tracking
* Online banking
* Online office suites
* Shopping cart software
* Electronic tickets
1.3 History of online advertisement
In early days of the Internet, online advertising wasn’t allowed. For example, two of the predecessor networks to the Internet, ARPANET and NSFNet, had “acceptable use policies” that banned network “use for commercial activities by for-profit institutions”. The NSFNet began phasing out its commercial use ban in 1991 Email. The first widely publicized example of online advertising was conducted via electronic mail. On May 3, 1978, a marketer from DEC (Digital Equipment Corporation), Gary Thuerk, sent an email to most of the ARPANET’s American west coast users, advertising an open house for a new model of a DEC computer. Despite the prevailing acceptable use policies, electronic mail marketing rapidly expanded and eventually became known as “spam.” The first known large-scale non-commercial spam message was sent on January 18, 1994 by an Andrews University system administrator, by cross-posting a religious message to all USENET newsgroups. Four months later, Laurence Canter and Martha Siegel, partners in a law firm, broadly promoted their legal services in a USENET posting titled “Green Card Lottery – Final One?” Canter and Siegel’s Green Card USENET spam raised the profile of online advertising, stimulating widespread interest in advertising via both Usenet and traditional email.More recently, spam has evolved into a more industrial operation, where spammers use armies of virus-infected computers (botnets) to send spam remotely. Time line:
* 1979:Michael Aldrich invented online shopping
* 1981:Thomson Holidays, UK is first B2B online shopping
* 1982:Minitelwas introduced nationwide in Franceby France Telecomand used for online ordering.
* 1984:GatesheadSIS /Tescois first B2C online shopping and Mrs Snowball, 72, is the first online home shopper
* 1985:NissanUK sells cars and finance with credit checking to customers
online from dealers’ lots.
* 1987:Swregbegins to provide software and shareware authors means to sell their products online through an electronic Merchant account.
* 1990:Tim Berners-Leewrites the first web browser,World Wide Web,using aNeXT computer.
* 1992: Terry Brownell launches first fully graphical, iconic navigated Bulletin board system online shopping using Robo BOARD/FX.
* 1994:Netscape releases the Navigator browser in October under the code name Mozilla. Pizza Hut offers online ordering on its Web page. The first online bank opens. Attempts to offer flower delivery and magazine subscriptions online. Adult materials also become commercially available, as do cars andbikes.Netscape1.0 is introduced in late 1994 SSL encryption that made transactions secure.
* 1995: Jeff Bezos launches Amazon.com and the first commercial-free 24 hour, internet-only radio stations, Radio HK and Net Radio start broadcasting. Dell and Cisco begin to aggressively use Internet for commercial transactions. eBay is founded by computer programmer Pierre Omidyar as Auction Web.
* 1998:Electronic postal stamps can be purchased and downloaded for printing from the Web.
* 1998: Alibaba Group is established in China. And it leverage China’s B2B andC2C, B2C market by its Authentication System.
* 1999:Business.comsold for US $7.5 million to e Companies, which was purchased in 1997 for US $149,000. The peer-to-peer file sharing software Napster launches. ATG Stores launches to sell decorative items for the home online.
* 2000: The dot-com bust.
* 2002: eBay acquires PayPal for $1.5 billion. Niche retail companies CSN Stores and Net Shops are founded with the concept of selling products through several targeted domains, rather than a central portal.
* 2003:Amazon.composts first yearly profit
* 2007:Business.com acquired by R.H. Donnelley for $345 million.
* 2009:Zappos.com acquired by Amazon.com for $928 million. Retail Convergence, operator of private sale website RueLaLa.com, acquired by GSI Commerce for $180 million plus up to $170 million in earn-out payments based on performance through 2012.
* 2010:Groupon reportedly rejects a $6 billion offer from Google. Instead, the group buying websites plans to go ahead with an IPO in mid-2011.
* 2011: US e Commerce and Online Retail sales projected to reach $197 billion, an increase of 12 percent over 2010. Quidsi.com, parent company of Diapers.com, acquired by Amazon.com for $500 million in cash plus $45 million in debt and other obligations.GSI Commerce, a company specializing in creating, developing and running online shopping sites for brick and mortar brands and retailers, acquired by eBay.
Display Ads. Online banner advertising began in the early 1990s as page owners sought additional revenue streams to support their content. Commercial online service Prodigy displayed banners at the bottom of the screen to promote Sears products. The first clickable web ad was sold by Global Network Navigator in 1993 to a Silicon Valley law firm. In 1994, web banner advertising became mainstream when Hot Wired, the online component of Wired Magazine, sold banner ads to AT&T and other companies. The first AT&T ad on HotWired had a 44% click-through rate, and instead of directing clickers to AT&T’s website, the ad linked to an online tour of seven of the world’s most acclaimed art museums. Search Ads. GoTo.com
(renamed Overture in 2001, and acquired by Yahoo! in 2003) created the first search advertising keyword auction in 1998.Google launched its “Ad Words” search advertising program in 2000 and introduced quality-based ranking allocation in 2002, which sorts search advertisements by a combination of bid price and searchers’ likeliness to click on the ads. Recent Trends. More recently, companies have sought to merge their advertising messages into editorial content or valuable services. Examples include Red Bull’s Red Bull Media House streaming Felix Baumgartner’s jump from space online, Coca-Cola’s online magazines, and Nike’s free applications for performance tracking. Advertisers are also embracing social media and mobile advertising; mobile ad spending has grown 90% each year from 2010 to 2013.
1.4 Delivery Methods
advertisers can sometimes use a phone’s GPS receiver or the location of nearby mobile towers. Cookies and other persistent data on a user’s machine may provide help narrow a user’s location further.. Web banner advertising
Web banners or banner ads typically are graphical ads displayed within a web page. Many banner ads are delivered by a central ad server. Banner ads can use rich media to incorporate video, audio, animations, buttons, forms, or other interactive elements using Java applets, HTML5, Adobe Flash, and other programs. Frame ad (traditional banner)
Frame ads were the first form of web banners. The colloquial usage of “banner ads” often refers to traditional frame ads. Website publishers incorporate frame ads by setting aside a particular space on the web page. The Interactive Advertising Bureau’s Ad Unit Guidelines proposes standardized pixel dimensions for ad units.
A pop-up ad is displayed in a new web browser window that opens above a website visitor’s initial browser window. A pop-under ad opens a new browser window under a website visitor’s initial browser window. Floating ad
A floating ad, or overlay ad, is a type of rich media advertisement that appears superimposed over the requested website’s content. Floating ads may disappear or become less obtrusive after a preset time period. Expanding ad
An expanding ad is a rich media frame ad that changes dimensions upon a predefined condition, such as a preset amount of time a visitor spends on a webpage, the user’s click on the ad, or the user’s mouse movement over the ad. Expanding ads allow advertisers to fit more information into a restricted ad space. Trick banners
A trick banner is a banner ad where the ad copy imitates some screen element users commonly encounter, such as an operating system message or popular application message, to induce ad clicks. Trick banners typically do not mention the advertiser in the initial ad, and thus they are a form of
bait-and-switch. Trick banners commonly attract a higher-than-average click-through rate, but tricked users may resent the advertiser for deceiving them. Interstitial ads
An interstitial ad displays before a user can access requested content, sometimes while the user is waiting for the content to load Interstitial ads are a form of interruption marketing. Text ads
A text ad displays text-based hyperlinks. Text-based ads may display separately from a web page’s primary content, or they can be embedded by hyperlinking individual words or phrases to advertiser’s websites. Text ads may also be delivered through email marketing or text message marketing. Text-based ads often render faster than graphical ads and can be harder for ad-blocking software to block.
Search Engine Marketing (SEM)
Search Engine Marketing, or SEM, is designed to increase a website’s visibility in search engine results pages (SERPs). Search engines provide sponsored results and organic (non-sponsored) results based on a web searcher’s query. Search engines often employ visual cues to differentiate sponsored results from organic results. Search engine marketing includes all of an advertiser’s actions to make a website’s listing more prominent for topical keywords. Search Engine Optimization (SEO)
Search Engine Optimization, or SEO, attempts to improve a website’s organic search rankings in SERPs by increasing the website content’s relevance to search terms. Search engines regularly update their algorithms to penalize poor quality sites that try to game their rankings, making optimization a moving target for advertisers. Many vendors offer SEO services. Sponsored search
Sponsored search (also called sponsored links or search ads) allows advertisers to be included in the sponsored results of a search for selected keywords. Search ads are often sold via real-time auctions, where advertisers bid on keywords In addition to setting a maximum price per keyword, bids may include time, language, geographical, and other
constraints. Search engines originally sold listings in order of highest bids. Modern search engines rank sponsored listings based on a combination of bid price, expected click-through rate, keyword relevancy, and site quality. Social media marketing
Social media marketing is commercial promotion conducted through social media websites. Many companies promote their products by posting frequent updates and providing special offers through their social media profiles. Mobile Advertising
Mobile advertising is ad copy delivered through wireless mobile devices such as smartphones, feature phones, or tablet computers. Mobile advertising may take the form of static or rich media display ads, SMS (Short Message Service) or MMS (Multimedia Messaging Service) ads, mobile search ads, advertising within mobile websites, or ads within mobile applications or games (such as interstitial ads, “advergaming,” or application sponsorship). Industry groups such as the Mobile Marketing Association have attempted to standardize mobile ad unit specifications, similar to the IAB’s efforts for general online advertising. Mobile advertising is growing rapidly for several reasons. There are more mobile devices in the field, connectivity speeds have improved (which, among other things, allows for richer media ads to be served quickly), screen resolutions have advanced, mobile publishers are becoming more sophisticated about incorporating ads, and consumers are using mobile devices more extensively. The Interactive Advertising Bureau predicts continued growth in mobile advertising with the adoption of location-based targeting and other technological features not available or relevant on personal computers. Email Advertising
Email advertising is ad copy comprising an entire email or a portion of an email message.Email marketing may be unsolicited, in which case the sender may give the recipient an option to opt-out of future emails, or it may be sent with the recipient’s prior consent (opt-in). Online classified advertising
Online classified advertising is advertising posted online in a categorical
listing of specific products or services. Examples include online job boards, online real estate listings, automotive listings, online yellow pages, and online auction-based listings. Craigslist and eBay are two prominent providers of online classified listings. Adware
Adware is software that, once installed, automatically displays advertisements on a user’s computer. The ads may appear in the software itself, integrated into web pages visited by the user, or in pop-ups/pop-unders. Adware installed without the user’s permission is a type of malware. Affiliate Marketing
Affiliate marketing (sometimes called lead generation) occurs when advertisers organize third parties to generate potential customers for them. Third-party affiliates receive payment based on sales generated through their promotion. Compensation Methods
Advertisers and publishers use a wide range of payment calculation methods. In 2012, advertisers calculated 32% of online advertising transactions on a cost-per-impression basis, 66% on customer performance (e.g. cost per click or cost per acquisition), and 2% on hybrids of impression and performance methods.)
CPM (Cost Per Mille)
Cost per mille, often abbreviated to CPM, means that advertisers pay for every thousand displays of their message to potential customers (mille is the Latin word for thousand). In the online context, ad displays are usually called “impressions.” Definitions of an “impression” vary among publishers, and some impressions may not be charged because they don’t represent a new exposure to an actual customer.Advertisers can use technologies such as web bugs to verify if an impression is actually delivered. Publishers use a variety of techniques to increase page views, such as dividing content across multiple pages, repurposing someone else’s content, using sensational titles, or publishing tabloid or sexual content. CPM advertising is susceptible to “impression fraud,” and advertisers who want visitors to their sites may not find per-impression payments a good proxy for the
results they desire. CPC (cost per click)
CPC (Cost Per Click) or PPC (Pay per click) means advertisers pay each time a user clicks on the ad. CPC advertising works well when advertisers want visitors to their sites, but it’s a less accurate measurement for advertisers looking to build brand awareness. CPC’s market share has grown each year since its introduction, eclipsing CPM to dominate two-thirds of all online advertising compensation methods. Like impressions, not all recorded clicks are valuable to advertisers. Gold Spot Media reported that up to 50% of clicks on static mobile banner ads are accidental and resulted in redirected visitors leaving the new site immediately. Other performance-based compensation
CPA (Cost Per Action or Cost Per Acquisition) or PPP (Pay Per Performance) advertising means the advertiser pays for the number of users who perform a desired activity, such as completing a purchase or filling out a registration form. Performance-based compensation can also incorporate revenue sharing, where publishers earn a percentage of the advertiser’s profits made as a result of the ad. Performance-based compensation shifts the risk of failed advertising onto publishers. Fixed cost
Fixed cost compensation means advertisers pay a fixed cost for delivery of ads online, usually over a specified time period, irrespective of the ad’s visibility or users’ response to it.
1.5Introduction to e-Commerce in India
India has an internet user base of about 137 million as of June 2012. The penetration of e-commerce is low compared to markets like the United States and the United Kingdom but is growing at a much faster rate with a large number of new entrants. The industry consensus is that growth is at an inflection point. Unique to India (and potentially to other developing countries), cash on delivery is a preferred payment method. India has a vibrant cash economy as a result of which 80% of Indian e-commerce tends to be Cash on Delivery. Similarly, direct imports constitute a large component of online sales. Demand for international consumer products (including
long-tail items) is growing much faster than in-country supply from authorized distributors and e-commerce offerings. 1.6 Growth potential:
The e-commerce market in India has grown by 34 percent in the last seven years, was about USD 600 million in 2011-12 and is expected to touch USD 9 billion by 2016 and USD 70 billion by 2020. According to Forrester, the Indian e-commerce market is expected to grow at a CAGR of over 57 percent between 2012 and 2016, which is the fastest within Asia-Pacific region.
The key factors that are driving this growth are the rise of Internet usage (growing at 20 percent) & 3G penetration, and increasing smartphone users with availability of Internet on mobile phones. It is estimated that currently there are 27 million mobile Internet users in India out of which 4 percent are buying products on mobile. This figure is expected to increase to 20 percent mobile shoppers in the next four years. These factors accompanied by busy lifestyles, traffic congestion, lack of offline shopping time, great deals and discounts offered online, and use of innovative e-commerce models such as group buying and second-hand sales have led to more and more consumers switch to online shopping. With the rising middle class incomes, global exposure and changing demographics (close to 50 percent of the population is less than 25 years of age), this trend also holds true for the Tier II & III cities.
Online travel (76 percent) and financial services (10 percent) form the biggest component of online shopping followed by e-tailing (8 percent). While services such as travel tickets, movie tickets, restaurant discount vouchers, hotel bookings, utility payments, insurance policies, and premium payments lead the wallet share of the amount spent online, product categories such as computers & accessories, cameras & mobiles, electronic durables, and books are picking up. But, product categories such as apparel, jewelry and footwear (require high touch and feel), which offer maximum potential in terms of market size, faces challenges such as high return rate and negative cash cycles due to COD (cash on delivery).
However, the e-commerce industry today faces certain challenges. Firstly,
there is a very low penetration of credit/debit cards in India, which restricts the online purchasing power. Even though strategies such as cash on delivery have been introduced, they have their own nuances and pose high working capital issues to the companies. Secondly, high volume items such as refrigerators require high freight & shipping costs and because the e-commerce model in India is based on free shipping concept, sale of such items online could suffer a setback. Finally, the distribution & logistics in India is not very well organized and prone to fraud. Hence, buying of high value items such as jewelry, electronic goods (LCDs), which require travel insurance adding up to the total costs may not be one of the bestsellers in the digital space.
The key to success in this segment is delivering high quality user experience which includes differentiated and detailed product catalog, order fulfillment, website performance, different modes of transaction(credit cards, payment gateways, cash on delivery etc.), and simple and sensible checkout. Furthermore, with the increase in competition in this segment, the e-commerce players need to invest in research and development of differentiated product catalogs, innovative service and customer engagement concepts, and cost effective supply chain and logistics models.
1.7 Future of Indian E-Commerce Industry:
Internet usage globally has been on the rise with most of the growth coming from markets in Asia Pacific and Latin America. The online user growth has primarily been fueled with improved network infrastructure and growing need of online content consumption. The Internet revolution in India is definitely making its impact felt with more users realizing its potential and importance. The total Internet user base in India (inclusive of shared devices and mobile) is at 130+ million users, which roughly represent penetration levels of 10% of the population leaving huge opportunity for future growth. With the combined mobile subscribers crossing the 900 million mark, Broadband and Internet services are expected to grow through wireless. Going forward, the Mobile Internet will drive the growth of e-Commerce, Banking, Entertainment and other avenues. The Ministry of Communications & IT has embarked upon a massive project of connecting the 2, 50,000
Gram Panchayats across the country though 100 Mbps of optical fibre connectivity. This Digital Highway once implemented will connect the smaller towns and villages leading to good growth of e-Commerce transactions, thereby generating more employment and enabling the growth of the Indian economy. The next trigger points for the growth of e-Commerce in India will be the following: 1. The large-scale rollout of 3G and 4G broadband services, the National Broadband Plan and much expected opening of the Retail sector will certainly usher new business opportunities for e-Commerce in the country. 2. The Internet also brought significant changes the way businesses and e-Commerce are being conceptualized and run today. 3. The growth of Cloud based technologies is redefining the e-Commerce business models. Today, companies can start their e-Commerce ventures with much less CAPEX, and quicker ‘go to market’ strategy. In the current Indian scenario, the online model compliments the brick-and-mortar model rather than completely replacing it. E-Commerce has shown a very exciting growth trend among the travel and retail sites, which have gained considerable acceptance within the Indian population. Few relevant statistics mentioned below highlights this exciting growth trend:
· IRCTC (Indian Railways), MakeMyTrip and Yatra are amongst the most visited travel sites in India. · Flipkart leads the way among the online retailers in India with 7.4 million unique visitors a month, growing at 431% annually. Snapdeal has been close second with 6.9 million unique visitors. · Apparel has been the fastest growing subcategory in retail and reaches 13.4% online users in India.
Retail growth in e-Commerce in India has been primarily fueled due to the following factors: 1. Several startup ventures getting the required funding from Venture Capital funds or Private Equity funds 2. Aggressive marketing by the players going online
3. Consumer need and convenience to buy these products online
Today Indian e-Commerce market has been buzzing due to significant progress achieved in all the four pillars of e-Commerce: – technology, logistics,
payment and marketing. * Technology – Platforms/ products have been developed in various robust and scalable technologies such as Enterprise Java, Microsoft Technologies as well as open source technologies (primarily Magento framework). * Logistics – The level of connectivity between Supply chain management and last mile logistics and end customers have greatly improved over the past few years. The increasing presence of international logistics player in India such as FedEx (acquired AFL) and DHL (acquired Bluedart) etc. has compelled the Indian players to upgrade their logistics services offerings. * Payment – Other than usage of Cards and NetBanking payment modes, the newer models like Cash on Delivery (COD) and other consumer centric payment options such as EMI for purchases has boosted the growth of online commerce. Usage of Debit cards for shopping as well as credit card penetration in the country is also increasing year-on-year. * Marketing – On the digital marketing side, people have partnered with Google, who provide analytics to retailers, and demonstrated that usage of AdWords can drive traffic.
Online retail has seen a heavy overlap with social networking and search due to aggressive marketing and strong inclination towards social commerce. India is positioning itself as one of the fastest growing social networked user base. To conclude, e-Commerce has seen tremendous growth in the last 12 months. Yet, these are still early days, as the e-Commerce industry in India is set to boom further, perhaps reaching $260 billion, by 2025, according to a report by First Data Corporation and ICICI Merchant Services. 1.8 India’s Top 5 e-Commerce companies with market share:
1) Flipkart.com: Started in the year 2007, Flipkart is one of the leading online shopping sites in India. One can buy products of various categories such as music, games, cameras, computers, healthcare and personal products through this site. It has over 3 million registered users and sells more than 30,000 products in a day to its customers. The various add-on services offered by the site such as free shipping, cash-on-delivery, EMI and 30 day replacement policy make it a favourite shopping destination among people.
2) Snapdeal.com: Snapdeal offers users discounted deals on almost every
product. By February 2012 snapdeal had more than 15,000,000 registered users and more than 50,000 featured merchants.
3) Fashionandyou.com: It is a website that showcases best Indian and International designer brands for men, women, children and your home. They start a sale at 10 AM each day that lasts for 3 days on an average. Users have to become their member to get alerts for the sale.
4) Myntra.com: Is again a leading online fashion store in India where users can find fashionable and trendy clothes for men, women and kids. Users can buy apparels of different brands and avail discounts on their offers.
5) Inkfruit.com: One can buy apparels for guys and girls, accessories and footwear on this e-commerce website. Inkfruit.com is Asia’s largest e-commerce website. They have the selective designs and give their customers the best things.
1.9 Limitations of E-Commerce :
Electronic commerce is also characterized by some technological and inherent limitations which has restricted the number of people using this revolutionary system. One important disadvantage of e-commerce is that the Internet has still not touched the lives of a great number of people, either due to the lack of knowledge or trust.
Limitations of e-commerce to organisations
* Lack of sufficient system security, reliability, standards and communication protocols. There are numerous reports of websites and databases being hacked into, and security holes in software. For example, Microsoft has over the years issued many security notices and “patches‟ for their software. Several banking and other business websites, including Barclays Bank, Powergen and even the Consumers‟ Association in the UK, have experienced breaches in security where “a technical oversight” or “a fault in its systems” led to confidential client information becoming available to
* Rapidly evolving and changing technology, so there is always a feeling of trying to “catch up” and not be left behind.
* Under pressure to innovate and develop business models to exploit the new opportunities which sometimes leads to strategies detrimental to the organisation.The ease with which business models can be copied and emulated over the Internet increase that pressure and curtail longer-term competitive advantage.
* Facing increased competition from both national and international competitors often leads to price wars and subsequent unsustainable losses for the organization.
* Problems with compatibility of older and ‘newer’ technology. There are problems where older business systems cannot communicate with web based and Internet infrastructures, leading to some organizations running almost two independent systems where data cannot be shared. This often leads to having to invest in new systems or an infrastructure, which bridges the different systems. In both cases this is both financially costly as well as disruptive to the efficient running of organizations.
Limitations of e-commerce to consumers
* Computing equipment is needed for individuals to participate in the new “digital” economy, which means an initial capital cost to customers.
* A basic technical knowledge is required of both computing equipment and navigation of the Internet and the World Wide Web.
* Cost of access to the Internet ,whether dial-up or broadband tariffs. * Cost of computing equipment . Not just the initial cost of buying equipment but making sure that the technology is updated regularly to be compatible with the changing requirement of the Internet, websites and
* Lack of security and privacy of personal data
* There is no real control of data that is collected over the Web or Internet. Data protection laws are not universal and so websites hosted in different countries may or may not have laws which protect privacy of personal data.
2.1 Brief About Company:-
* MyDeals247.com is the world’s first PERSONALIZED ecommerce platform * Totally personalized to the customer needs in the local cities and across the nationwide * One stop solution for the customer needs – buy / sell products/services, volume based discounts, and creates word-of-mouth marketing through personalized Ads * Promotes the products or services very effectively
* Attracts new customers in no time
2.2 MISSION AND VISION STATEMENT
Our mission is to provide services which will improve the way our customer works and will result in increased productivity and efficiency. Moreover we believe in satisfying our employee by continuously growing as a company and offering them excellent work environment to work in. we also believe in satisfying our investor by giving them proper return on their investment. We also want to be a globally known company for our product and services.
As the world is changing so to survive in this world we must understand the
trends and forces that will help our business in future.We must get ready for tomorrow today itself. Our 2020 vision also says to create a long term vision for the business and provide with a roadmap so as to have a better understanding of it.Our vision also includes the full use of technology and the staff which we have.
2.3 About Mydeals247
Today’s most E-commerce sites routinely experience transaction closure rates in the range of 3 to 5 percent of the total visitors – the primary reason for the failure is most of the sites are too generic – no personalization whatsoever.
Most shoppers spend a significant amount of time by going through multiple websites and related comparison websites and still they cannot make a quick decision – average time to make a decision to buy any product online is between 2 hours to a week – also, they confine to a couple of choices.
Internet users want some of these aspects today: personalized dashboards based on their current needs (what they want, when they want, where they want) pretty much real-time. MyDeals247.com offers a revolutionary idea in the e-commerce industry which identifies individual’s preferences, interests and then delivers on-the-fly adjustments that make each customer feel the site was built just for him or her. It’s pretty much like having your own e-commerce or online store to fulfill your own needs on daily basis. MyDeals247 brings the lowest offers from the sellers based on buyer’s request in the local markets – all the bids from sellers takes place on real time basis and are very much alive. Also, MyDeals247.com provides the current need analytics (on daily basis) to the sellers in the local markets. E – Commerce Sites – Comparison Sheet
| Business Model| Real-Time Offers?|
EBay| Auction-Based DealsFixed PriceC2C; B2C; B2B;| NO| Amazon| Fixed PriceC2C; B2C; B2B(small %)| NO|
GroupON| Voucher ModelFixed PriceDaily Deals (City Based)Selling Products (recently)B2C| NO| Google Offers| Daily Deals (Very few cities)Fixed
PriceB2C| NO| Alibaba| B2B| NO|
MyDeals247| * Real-Time e-Commerce Platform offers dynamic prices by creating competition among the sellers – only top5 best offers shown to the consumer. * Volume-Based Deals (Buy more, save BIG) – true alternative for gift card sharing. * Totally personalized experience to the consumer * No Listing Fee or hidden charges (Charges only the success fee from seller) * Online and Off-line (rural markets first time ever) * C2C; B2C; B2B * Promote (through personalized Ads) and sell| YESTotally dynamic price offers basedon the consumer request atthat particular point of time.A huge opportunity for theconsumer to get thebest offers when compared to the traditional fixed price model.|
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* We take security seriously and take numerous precautions to protect the security of Personally Identifiable Information.
* Users can access your Personally Identifiable Information on our Website through a password and your email address. This password is encrypted. We recommend that users do not share your password with anyone.
* In addition, your Personally Identifiable Information resides on a secure server that only selected personnel and contractors have access to. Unfortunately, no data transmission over the Internet or any wireless network can be guaranteed to be 100% secure. As a result, while we employ commercially reasonable security measures to protect data and seek to partner with companies which do the same,
* we cannot guarantee the security of any information transmitted to or from the Website, and are not responsible for the actions of any third parties that may receive any such information.
8. Data Tracking
* Cookies: To facilitate and customize your experience with the Website, we store cookies on your computer. A cookie is a small text file that is stored on a User’s computer for record-keeping purposes which contains information about that User.
9. Privacy Policies of Third Party Websites
2.5 Infrastructural facilities:
In Mydeals there are various facilities provided some of them are: Work Station:
For all employee reliance provide them work station of 5*5 square feet. Apart from this for each workstation there is individual computer with intranet connection (LAN connection). Pantry facility
Employee enjoys pantry facility too in Mydeals whereby they are provided various beverages like tea, coffee, milk, etc. Communication facility:
Each employee is given individual internet connection. All employees also have individual telecom facility through which they can easily communicate to each other.
Mydeals provides transportation facility to some of its executives if needed. Besides providing transportation facility they are also provided accommodation facility too.
2.6 Product or service profile:
Mydeals is the first personalized e-commerce platform, ebay, snapdeal bag it today and rest of sites work on usual manner where as Mydeals through the light on every individual and it shows that site is created for every individual. The working model of e-commerce is
Order placed by user
The individual enters into the e-commerce website and can see lot of products displayed regarding various categories and user don’t have the choice of having the product of his own interest he should only select the items which are present there and selects the item which he want to buy from the e commerce site.
Immediately when a person selects the item it goes into shopping where the request stays for 14days. The customer can buy this product with in this period. If the customer failed to pay the money within the particular period of item the item will be removed from the shopping cart and is not available for the customer, if he want to buy the product after the period he can go for the product if it is available in the site or the customer lost the item.
When the customer is ready to pay for the product he can pay using credit card, debit card and even internet banking and it can be through paisapay or ebsan and many more.
Once when the payment is made, the order gets conformed and mail is sent for both the customer and the merchant regarding the order conformation. Copy
of this order is sent to the ware house from where the item is sent to the customer.
2.7 Business Model:
Like e-commerce companies, Mydeals247 have different kind of revenue models. So basically it has 3 Business model:-
a) A Real-Time Marketplace (Buy / Sell Model)
* It is an online buying and selling model and that why it is called as e-Commerce Company which is completely real time market place as it is totally dependent on providing value to customer in terms of price range with their specific product.
* Company work on the policy of “Zero inventories and zero operating cost”.
* Simply customer posts their requirements and their after a waiting time allotted to customer and meanwhile the requirement is being processed at back end office and the best 5 choices are provided to customer with deadline time and if demand is fulfilled by website the goods are delivered to consumer destination by the seller directly.
* Cost Structure: – Here company work on approximately 10-20% margin depending upon who will get the shipping cost.
b) Volume Based Discounts
* This model is an offline business model which is also a profitable one.
* Strategy adopted by company – “Buy more, save more”.
* Deals with only 5 star rated retailers.
* Categories involve – general house-hold items, entertainment, education, local events, amusement parks, professional training, and services companies.
* Here company have different category like Real Estate, Schools/Colleges, Boutiques/Spa/Hair Saloon, Hotels etc. So company garbs the requirements from here having bulk quantity and then delivers the same with competitive prices in the market.
* Cost Structure: – For this category company work on the margin of approximately 10-15% but the order should be in bulk.
c) Personalized Ad display and ‘Pay Per Lead’ model
Research says that, Google ADs and Facebook Ads are not effective for the merchants. The Return-On-Investment (ROI) for them is very low. Most times, the consumers are getting annoyed with the random ADs these days. The most famous “Pay Per Click” model is not very effective, as Google or Facebook charges the merchants when there is a random click. At the same time, Merchants do not have any idea on how to connect with the consumers (whoever clicked). More than anything, consumers are NOT paying any attention on the random ADs these days. The very reason being, they are NOT in a mood to purchase at that time. MyDeals247 introduces a revolutionary technology to improve the ROI for the merchants while displaying the relevant ADs to the consumers based on their interest at any given point of time. Also, consumers get paid for every click. MyDeals247 introduces “Pay Per Potential Lead” concept. How Advertisement work at Mydeals
At MyDeals247, we focus on the personalized Ad display for the users (patented solution) based on your personal interests or preferences and current location (once userslogin). Unlike other websites, we do not annoy the users with irrelevant Ads. The good news is that, the Users get paid for every click and answering some basic questions. If usersclick any Ad without being logged into the system is not a paid Ad.
How does it work for the Advertiser?
Its a very simple process.
* Advertiser can sign-up as a seller and post the Ad about the product or service. * At the same time, Advertiser can showcase the Unique Selling Points about the product or service and ask the user some basic questions as part of the questionnaire. * Advertiser sets the budget per click or potential lead. * If chooses Rs 10, Advertiser can post up to 2 questions * Rs 15 allows up to 3 questions;
* Rs 20 allows up to 4 questions.
* Advertiser will have access to the user data whoever answers all the questions correctly.
Firstly, MyDeals247 displays the ADs based on the consumer interest only. Whenever the consumer clicks on the AD, there will be a Short video (1-2 minutes) and Simple product description (500 chars maximum) both containing the USP’s (Unique Selling Points) of the product and asks the consumers to answer 2-3 questions. Consumers can answer these questions very easily based on the information provided. If the merchant pays Rs. 10 per AD click (i.e lead), MyDeals247 pays 60% of Rs. 10 (i.e. Rs 6) to the consumer whoever clicks on the AD and answer the questionnaire Right the first time. There is no pressure for the consumers to click on any AD. In other words, when the consumer clicks and answers the basic questions, consumer gets paid a good chunk of what merchant offers. Consumer cannot click the same AD more than once.
Benefits for the Merchants:
Merchants will be provided all the contact details of the consumers whoever clicked on their ADs – it is easy for them to follow-up with the consumers later. Most importantly, merchants can create a real awareness about their
products asking simple questions in the form of their product/service differentiation. Also, merchants will be happy to share the money among the consumers instead of just making only the websites rich.
How merchants start the AD display?
Merchants can start their AD display with MyDeals247 as low as Rs. 10,000. The money will be deducted only when the consumer clicks on the AD and answer all the questions right at the first time. There is no charge when the consumer is not able to answer all the questions right at the first time.
Pay Per Potential Lead:
* MyDeals247 displays the Ads based on the user’s interest. When the user clicks on any Ad, MyDeals247 showcases a questionnaire asking a couple of questions related the Advertiser’s product or service – if the user answers all the questions correctly, MyDeals247 charges the cost per potential lead from the Advertiser. If there is any wrong answer(s), Advertiser will not be charged at all. All the user information (whoever answered all the questions correctly) will be shared with the Advertiser. * The cost for the “Pay Per Potential Lead” will be calculated by number of questions Advertiser wants to ask the user: * For Rs. 10 per click, Advertiser can ask up to two questions. * For Rs. 15 per click, Advertiser can ask up to three questions. * For Rs. 20 per click, Advertiser can ask up to four questions. * For Rs. 25 per click, Advertiser can ask up to five questions.
One click per Ad
* Get paid 60% of what the Advertiser pays when the user answers all the questions right about the product or service for the first time – only one chance is given whether to make it or not. * Earn money and use the same credit to:
* To recharge any prepaid or postpaid mobile phone(if usershave a minimum of Rs 50 credit) * To purchase any item(s) at MyDeals247.com right away(whatever the credit available) * To transfer the money into your
bank account once in a month * A minimum of Rs 250 credit is required to transfer the money into your bank account – PAN card required – transfer happens once in a month – For instance, the credit earned for the month of 1st August – 31st August will be paid during the first week of September. * All taxation laws of Government of India are applied.
* Definer kingdom
* Mantri Aura
* Anu Solar
* Silicon Study Center
* Joy Allucas
* JP Constructions
* Amity university
* Aryan international school
The competition for mydeals in the field of ecommerce is:-
An American online C2C corporation that manages eBay.com, an online auction and shopping website in which people and businesses buy and sell a broad variety of goods and services worldwide. Founded in 1995, it is one of the important and remarkable success stories of the dot-com bubble; it is now a multi-billion dollar business with operations localized in over thirty countries. EBay expanded from its original “set-time” auction format to include “Buy It Now” standard shopping.
Snapdeal.com started by Kunal Bhal and Rohit Bansal is a online retail website having its headquater in delhi. It was started in 2010 as a daily
deal platform but also expanded into product retailing. Snapdeal has more than 20 million subscribers and is present in more than 4000 towns.
It is a platform that helps users to get deals in the city users want. Group buying behavior happen when likeminded people come together to get the deal that they can never get as an individual. It was launched in 2009. It features a best deal every day in various categories.
It is an reals estate website which advertises and generate leads for the advertisers.
Started in the year 2007, Flipkart is one of the leading online shopping sites in India. One can buy products of various categories such as music, games, cameras, computers, healthcare and personal products through this site. It has over 3 million registered users and sells more than 30,000 products in a day to its customers. The various add-on services offered by the site such as free shipping, cash-on-delivery, EMI and 30 day replacement policy make it a favourite shopping destination among people.
2.10 Organizational Chart:
Founder & CEO, MyDeals247
Venu G. Somineni:
Is an entrepreneur, inspirational public speaker, author, success coach, and a mentor. He is the CEO of MyDeals247 (The world’s first personalized shopping platform). Also, he runs TechIntellects, a global management consulting and M&A advisory firm located in the San Francisco Bay Area, California. Venu inspired many individuals and business leaders from different walks of life. Venu’s passion revolves around accelerate growth and innovation, coaching, mentoring, inspiring, unlocking individual’s true
potential, motivating sales teams, transforming businesses to the next level, and more. Venu has B.Tech and M.Tech (ComputerScience & Engineering) from PSG Tech, Coimbatore, India and attended advanced management courses in the USA.
As a Vice President, Shashi is responsible for the online / offline sales, establish business partnerships, operations, customer management and vendor management. Shashi is passionate about eCommerce, new developments and internet marketing. Shashikant Kabra holds a B.E in Information Technology from Rajasthan University, Jaipur.
Ravi Kuman s
As a Director, Ravi is responsible for MyDeals247’s rural area’s business development, franchise development, and vendor management. Ravi is passionate about offering the best quality products at the lowest prices across India. Ravi holds a bachelor degree from Andhra University, India.
2.11 SWOT ANALYSIS
* Strong Business Model with ample experience of CEO in international market.
* One time solution providers for every category in Offline business.
* Cost effective with hundreds of vendors of any category in the market.
* Direct communication with the consumers and sellers.
* Excellent database of users.
* Easily availability of products from the market with transport facility.
* No inventory so no operating cost.
* Global location with their server in Singapore and USA.
* 24 x 7 Hours service with maximum purchase in extended hours.
* Lower transaction costs.
* Faster buying procedure with direct negotiations with the suppliers.
* Long Delivery Time to far away distances.
* Lack of Organizational Structure.
* Limited man power.
* Limited exposure.
* Lesser reliability in market as new entrants.
* Lower influence in outer regions of Karnataka.
* Hit and trail method are adopted for finding the leads.
* No credit term trading due to which lost many consumers.
* Low Alexa and Google Page Ranking.
* Many broken link.
* Some categories are still missing for online purchase.
* Global Expansion with new server recently launched in Singapore.
* High Availability ( 24 x 7 hours a week )
* Cut down on local competition
* Advertising model which is day today need for every merchant.
* Can open chains/franchise in other metropolitan including Mumbai, Kolkata.
* Can start credit terms for volume based deals which attract many consumers.
* Models can be easily copied by competitors.
* Changes in environment, law and regulations
* Privacy concerns.
* Heavy traffic can shut down the website.
DISCUSSION ON TRAINING
* I have completed 3 months internship in the department of marketing and sales in mydeals247.com.During my internship I had to report to Mr. Shashikant Kabra ,before my field work I was given one week training by Mr. Aneesh Sharma(Sr.BDM). 1ST to 7th April:
Spheres on which I was trained were :
* Product and services offered by the company
* Company profile
* Online promotions
* Cold calling
* B2B selling
During my training I was taught to answer the following common questions asked by the customers: * How does Advertising work at MyDeals247?
At MyDeals247, they focus on the personalized Ad display for the user(patented solution) based on personal interests or preferences and current location (once users login). Unlike other websites, they do not annoy the users with irrelevant Ads. The good news is that, users get paid for every click and answering some basic questions. If users click any Ad without being logged into the system is not a paid Ad.
* How does it work for the Advertiser?
It’s a very simple process.
* Advertiser can sign-up as a seller and post the Ad about the product or service.
* At the same time, Advertiser can showcase the unique selling points about the product or service and ask the user some basic questions as part of the questionnaire.
* Advertiser sets the budget per click or potential lead.
* If chooses Rs 10, Advertiser can post upto 2 questions; * Rs 15 allows up to 3 questions;
* Rs 20 allows up to 4 questions.
* Advertiser will have access to the user data whoever answers all the questions correctly.
* Do I get paid for real?
Yes. That is the whole idea of this revolutionary advertising model. Most advertisers spend huge money on the branding/advertising and pay hefty sums to the websites. But the ROI(return-on-investment) is too low since the random Ads are not getting much attention from the users. With this innovative advertising modal MyDeals247, we focus on the personalized Ad display for the users(patented solution) based on your personal interests or preferences and current location (once users login). Unlike other websites, we do not annoy the users with irrelevant Ads. The good news is that, users get paid for every click and answering some basic questions. If users click any Ad without being logged into the system is not a paid Ad., MyDeals247 shares the advertiser’s money with the users.
* How much do I get paid?
Firstly, users see the Ads based on their interest only – MyDeals247 covers both the local city Ads as well as nationwide Ads. All the Ads will be shown on the right side (once users login into the system). Whenever users click on any Ad, it showcases the video and talks about unique selling points of the product / service. Based on the Ad, users will be asked to answer 2-4 basic questions about the product/service. With the knowledge users get through the video,it will be very easy for users to answer those basic questions. If users answer all the basic questions right at the first time – users will get paid 60% of what the Advertiser is paying. For example, if the advertiser pays Rs 20 for every click, users will get paid Rs 12 when users answer all the questions correctly. In fact, users can literally see the amount users get paid on top of every Ad. In case, if users do NOT answer all the questions correctly, users will NOT get paid any money. At the same time, MyDeals247 will not get paid either.
* How often do I get paid?
Whatever the money users make through Ads, users will get paid in 3 ways.
First option is that ,users can recharge any of your pre-paid or post-paid cell phone using the same credit. Second option is that, users can literally use the credit when users purchase any product or service atMyDeals247 – for example, if users have a credit balance of Rs 200 and would like to purchase an item of value Rs 500, users can pay the remaining amount Rs 300 (after using the credit balance). The third option is that, users get real money transferred into your bank account monthly, only if users provide the PAN card details – we transfer the money directly to your bank account if your credit is more than Rs 250 once in a month (during the 1st week of following month). For example, if user save the credit of Rs 3000 for the month of August, users will get the money transferred to your bank on the first week of September (i.e. within one week).
* Does MyDeals247 share my personal information with any Advertiser?
Unlike most of the websites, we do NOT share your personal information with the Advertisers without your permission. When users answer all the questions correctly, users will get paid 60% of what Advertiser pays for the click – at that time, we share your name, email and contact information with the Advertiser. If users don’t answer all the questions right, you will NOT get paid and your information will NOT be shared with the Advertiser.MyDeals247 works with the decent Advertisers where they have unique selling points or differentiations at what they offer. They use your information for the right cause to notify about their future promotional offers etc.
* Can I create multiple accounts and click Ads to make more money?
It’s totally a violation. Users are NOT allowed to create more than one account as per the terms and conditions. Firstly, MyDeals247 allows users to create one account per cell phone number – users cannot use the same cell phone number to create more than one account. Secondly, if users try to create more than one account using multiple cell phone numbers, we can easily find the patterns (using the secured algorithms) and block your account completely and proceed with legal action in the country – at the same time, users have to pay back the cost of all the damages. Let’s be
* Is the amount taxable?
It’s totally based on the taxation laws of the state and country. We deduct the TDS as per the government norms. Users have to provide your PAN card number.
The whole process
The final process of closing the deal involves the following steps:- 1. Lead generation.
2. Sales Promotion
3. Calling the persons for appointments.
4. Briefing them about the advertisement model and sending email of the model with videos. 5. Fixing the meeting.
6. Going for the meeting.
7. Recording response of the client.
8. Follow up.
The steps involved in the process of advertisement and volume sales are almost same just that sales script is different in some points rest everything is almost same.
Lead generation is the process of creating sales leads which might convert into sale for the company. Lead generation is the practice of soliciting inquiries from potential customers. Traditionally lead generation occurred at places like trade shows – visitors to a company’s booth would fill out a card with their contact information and turn it in to receive a call back from that company’s sales team. Since the rise of the Internet, many businesses use their websites as a lead generation option.The leads may come from various sources or activities, for example, digitally via the Internet, through calls, through advertisement and list purchase. Companies may also
rely on referrals, telemarketers, and advertisements to generate leads.
A sales lead is the identification of a person or entity that has the interest and authority to purchase a product or service. This step represents the first stage of a sales process. The identification of the sales lead is referred to as Lead Generation, a process conducted by either the marketing or sales organization.
Sales promotion is one of the seven aspects of the promotional mix. (The other six parts of the promotional mix are advertising, personal selling, direct marketing, publicity/public relations, corporate image and exhibitions.) Media and non-media marketing communication are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability. Examples include contests, coupons, freebies, loss leaders, point of purchase displays, premiums, prizes, product samples, and rebates
Sales promotions can be directed at the customer, sales staff, or distribution channel members (such as retailers). Sales promotions targeted at the consumer are called consumer sales promotions. Sales promotions targeted at retailers and wholesalers are called trade sales promotions. Some sale promotions, particularly ones with unusual methods, are considered gimmicks by many.
Sales promotion includes several communications activities that attempt to provide added value or incentives to consumers, wholesalers, retailers, or other organizational customers to stimulate immediate sales. These efforts can attempt to stimulate product interest, trial, or purchase. Examples of devices used in sales promotion include coupons, samples, premiums, point-of-purchase (POP) displays, contests, rebates, and sweepstakes.
Cold calling is the marketing process of approaching prospective customers or clients typically via telephone, by email or through making a connection on a social network who were not expecting such an interaction. The word “cold” is used because the person receiving the call is not expecting a call or has not specifically asked to be contacted by a sales person. A cold call is usually the start of a sales process generally known as telemarketing.
After the lead is been generated, the next step that is to be followed is calling the prospects that are been identified. When the call is been made to the prospects a particular sales script format is been given to us which we have to follow while talking to the clients After the call is been made to the client the advertisement model and the Video is been mailed to the client so that he can also go through the model if he is interested in it.When the calling is been done for the purpose of volume sales the sales script can be modified accordingly
when the call is been made to the client that time only after knowing if the client is interested a meeting with the client is fixed up so that we can personally go to the client and brief them about the advertisement model.When the meeting is been done for the purpose of volume sales then in that case all the requirements that the clients have is been taken from them and if they want any particular brand for the requirement they have given that is been asked at the same time.
When we go for the meeting to any client a feedback form was given to us which we gave to the clients so as to know their feedback towards the company and from the feedback the company can also try to improve themselves as according to the CEO of the company there is always a scope of improvement. In the case of volume sales also the feedback is been taken from the clients.
There are some client with which the meeting is been done and some clients who asks to call sometime later so a proper follow up was done with those clients also as the company do not wants to lose any of the clients.In the case of volume sales when the requirement is been taken then it been given to the head in the company so that they can find out the best possible price which has to be offered.When the best price is been finded out the proper quotation is been send to the client so that further decisions can be made after that/
3.1 Roles and Responsibilities
* 8th to 13th April:
Calling to the restaurants for the purpose of advertisement was started. There were many restaurants who were giving a positive response but more number of restaurants was not interested in listing to the calls. Some of the persons did not even pick up the call and some said they will revert back to us but they never did so.Apart from calls I had a meeting too at silicon study center with Miss Shashikala, I also had a meeting with MR. Zakir Ahmed the owner of Stanley sports. The meeting that was done with silicon study Centre was converted into the final deal. Unfortunately the meeting done with the owner of Stanley sports could not be converted in the final deal.
* 15TH to 23rd April:
In this time period there was focus on getting the advertisement deals but now with the advertisement there was also the focus on getting volume sales deals. Getting the deals for the purpose of advertisement was much difficult as compared to the volume sales deals. Because whenever the call is been made regarding the volume sales at least the purchase manager in the restaurant and construction company is ready to give requirement and take quotation from us. In the same time period the meeting was made with the SHARMA TRANSPORT in KALASIPALAYA as they were looking for doing some advertisements. For the purpose of advertisement as well as volume sales the
meeting was also done with the ISBR College near electronic city
* 24th to 30th April:
In this time period few restaurants were been focused for the purpose of both advertisement and volumes sales but the main focus was on the construction companies. As the construction companies requires the material in bulk quantity so they were been targeted for the purpose of volume sales.As a part of mydeals247 we were also ready to help the construction companies to sell their apartments as we were having many corporate link up with the high level people in various reputed organizations.
* 1st May to 10th May:
In this time period again distance education center and real estate companies were targeted,and a deal with definer kingdom was done. Strategies were being decided on which sectors to target on. Mutual decision was taken that target sectors will be distance education centers and pubs for the next two weeks.
* 13th to 24th May:
Calling and meeting were done with distance education centers and pubs. deal was done with ABS academy. * 25th May to 29th june:
During this time period i was into online promotions. we used facebook to promote the name of the company. We created contest and the winner will get movie tickets, or mobile recharge. we also contacted the facebook page owners ,so that they can advertise our company in their pages and in return they will get 10% of profits what the company will earn from the customer coming from their pages. Started writing blogs on facebook pages to make the customer aware of the happenings.
* Done two deals one with silicon study center and one with Definer Kingdom. * Reduced the company alexa rank from 4854 all India to 2703. * Developed posters for the company.
* And made a video for one of the customers.
ANALYSIS OF TASK/RESEARCH UNDERTAKEN.
Topic: PROMOTION AND SALES OF PAID ADS for MYDEALS247.COM
4.1 Statement of the problem:
* Mydeals247.com is a startup, so the main problem was how to satisfy the prospects and close the deal.To find effective ways to promote online. 4.2 Objective
* Primary objective:
* To understand the sales process and how to close a deal successfully * Another objective was to find out suitable ways by which the promotion of the company can be done online.
* Secondary objective:
* Analysis of the lead leak at every stage
4.3 Scope of the study
* The study contributes to understanding the new advertisement models in ecommerce and how market reacts to it. Selling a new product in the market is not an easy task so this study helps to identify how to approach the target segment and successfully close a deal.
* And how to do online promotions effectively so that it can reach to every customer.
Research Design Used to Study Market potential:-
1. Secondary research
Secondary research such as data available on website about schools and colleges, the strength of the students, information about distance education center helped me to target new customer. We also used Snow Ball Sampling. We also use secondary data to make new clients.
Methodology used to get prospect Buyers:-
1. Sales Funnel
With the idea of the Sales Funnel, I use the metaphor of a funnel (wide at the top, narrow at the bottom) to monitor the sales process. At the top of the funnel I have “unqualified prospects” – the prospects who I think might need my product or service, but to whom I never spoken. At the bottom of the funnel, I have people who had provided me the requirements and quotations for the same had been provided to them and now waiting for their approval so as to deliver the products.
With the help of this toolbar we kept monitoring,if our promotional activities are effective or not.this toolbar gives arating to the site and tells all other necessary information i.e * How many customers visited the site?
* Whats the bounce rate?
* Minimum time a user spends on the site.
Analysis of the information:-
For any company to be successful advertisement plays a major role. From the data I collected I understood that firms or companies are investing a huge amount of money in promotions but customers are not well aware of the companies. And how at every level lead leak i.e drop out of leads at every level of funnel And how the prospects are eager to invest, if their competitors are are following the new trend of promotion.
From the information analyses we got to know to whom we have to target and so we made different category or segments of as – 1. Real Estate
2. Coaching Institutes
5. Distance education center
Data Collection Tool
The data was collected through internet sites to generate leads.
Duration of Research
The duration of the entire research and study was for 11 weeks. 4.5 Limitations of the Study:
1) Resource constraints: Not able to use the resources properly such as power cut (electricity problems), Wi-Fi problems – due to which I get distracted from my work.
2) Frequent changes in roles: Before completion of the particular task, our top management gives us the different task, so that we have to leave that task incomplete and start concentrating on our new task. Whenever we get more ideas about how to complete the task in an innovative method, so that it will be beneficial to the organization till then new task will be given by leaving the previous task incomplete. 3) Multiple Reporting: Incomplete tasks lead to incomplete reports, which will not show the accurate results.
4.6 Observation and analysis of problem:
Unqualified Prospects| 100|
Qualified Prospects| 40|
Hot Prospects| 20|
New Clients| 5|
Inferences: Total number of unqualified prospects were 100,out of which 70 attended the call and 30 did not.Out of 70 suspects 40 were interested. Out of 40 qualified prospects ,20 meetings were scheduled and out of 20, 5 deals were done.
2. Coaching Institutes:
Unqualified Prospects| 150|
Qualified Prospects| 50|
Hot Prospects| 20|
New Clients| 5|
Inferences: Total number of unqualified prospects were 150,out of which 100 attended the call and 50 did not.Out of 100 suspects 50 were interested. Out of 50 qualified prospects ,20 meetings were scheduled and out of 20, 5 deals were done.
Unqualified Prospects| 150|
Qualified Prospects| 50|
Hot Prospects| 30|
New Clients| 10|
INFERENCES : Total number of unqualified prospects were 150,out of which 100 attended the call and 50 did not. Out of 100 suspects 50 were interested. Out of 50 qualified prospects ,30 meetings were scheduled and out of 30, 10 deals were done.
4.Distance education center:
Unqualified Prospects| 100|
Qualified Prospects| 30|
Hot Prospects| 20|
New Clients| 5|
Inferences: Total number of unqualified prospects were 100,out of which 50 attended the call and 50 did not.Out of 50 suspects 30 were interested. Out of 30 qualified prospects ,20 meetings were scheduled and out of 20, 5 deals were done.
Unqualified Prospects| 30|
Qualified Prospects| 20|
Hot Prospects| 5|
New Clients| 2|
Inferences: : Total number of unqualified prospects were 30,out of which 30 attended the call .Out of 30 suspects 20 were interested. Out of 20 qualified prospects , 5 meetings were scheduled and out of 5, 2 deals were done
The Unqualified Prospects
Inferences: This BAR GRAPH represents total number of unqualified suspects contacted in different sectors.i.e 100 for real estate,150 for both coaching institutes and pubs,100 for distance education center and 30 for restaurants.
This diagram shows the lead leak at every stage of sales process, right from calling to closures.Total number of unqualified suspects for all categories were 530.out of 530 only 350 attended the call and out of those 350 only 190 were interested. out of 190 meetings were arranged with only 95 and out of those 95 only 27 deals were closed.Hence the conversion rate is 5 %..It
tells about how at each stage leads are leaking and in this way we can monitor and improve wherever changes are required.
Following is the data gathered before and after online promotions started. 1. Before
When we started the promotions the Alexa rating for the site all India was 4584 and traffic rank was 73,841.and after online promotions the ranking for the site 2703 and traffic rank was 46,775.
The following data tells about the statistics of the site on a particular day. Total number of visitors re 17,537,out of which 7,417 are unique visitors. Average visit duration of a user is 7 minutes 30 seconds.The bounce rate is 54.38% which is quite high,it means high number of customers are leaving the site after looking at the home page.
The findings derived from the study and observations done at Mydeals247: * As per my observations, I learnt that to do sales the company must know about the target market well.
* High rate of lead leaks as the concept is new people not ready to invest.
* This models needs to be more focused on and promoted on so that many more restaurants and companies can give their advertisements on it
* Mydeals247 target too small firms or organizations which is not suitable for them.
* Unqualified prospects too low to achieve the desired targets
* Hotels want more promotions than other sectors.
* Bounce rate high.
* The website of the company is not so attractive and whenever customers visits the website they are not attracted towards watching it as they are attracted in case of Snapdeal and Myntra websites.
* As the blogs, photos and interested information were putted on the company page on facebook more and more people were liking it, this we can say as after doing this the likes on the page started increasing at a high rate
* Mydeals247 should work on it’s site and make it more interactive to survive in the market. * Snowball sampling can help a lot in contacting the clients and making relationship. * Proper Search Engine Optimization to increase the ranking in Alexa and Google page. * Should reposition its product.
* Efficient management of sales funnel to achieve the targets.
Mydeals247 is a e-Commerce startup. The company unlike others has an innovative model which is new in the market. Today’s most E-commerce sites routinely experience transaction closure rates in the range of 3 to 5 percent of the total visitors – the primary reason for the failure is most of the sites are too generic – no personalization whatsoever.
Most shoppers spend a significant amount of time by going through multiple websites and related comparison websites and still they cannot make a quick decision – average time to make a decision to buy any product online is
between 2 hours to a week – also, they confine to a couple of choices. Marketing and sales are important function of an organization. As through this only the organizations main motive of earning revenues is achieved. The company has been able to do well in volumes sales and need to focus on its advertisement and real time buying model. The main focus should be on how to position and proper promotions of it’s product. Mydeals247 has a innovative model which uses the concept of pull marketing. Which means the customers provide the requirements and the company fulfills it at competitive prices. This is new as other companies are concentrating on push marketing.
4.10 Learning outcomes:
* We were briefed about the functioning of the business models on which the organization is working. * I was explained about the working of real time market place, volume sale discount and ads display and pay per lead model. * We were briefly guided about the pay structure of each model. * We had demonstration sessions with senior trainers with regard how to talk to the clients during the process of making a call. for the same purpose we were given a mail. * I also learned about the various factors which influence the functioning of the business such as demography, culture and income level of the people.
* Philip Kotler, Kevin Lane Keller, Abraham Koshy, Mithileshwar Jha (n.d) * Marketing Management : A South Asian Perspective 14th Edition 13th Edition * About Mydeals247 retrieved from https://www.mydeals247.com * Sales funnel retrieved from http://www.mindtools.com/pages/article/newLDR_94.htm * About e-commerce industry retrieved from http://www.researchandmarkets.com/reports/2075765/