Tuesday, October 23, 2018

Investment Time for Ecommerce Enablers

Alogarithm for Crossborder Ecommerce 


With the ecommerce market booming, Ecommerce Industry  is becoming an investors destination.

  

Crossborder eCommerce | eCommerce Enabler

A startup company raised Rs 210 crore from a group of investors.
Another company raised about Rs 100 crore from another investor firm. 
Both companies specialise in handling back-end operations for ecommerce firms. 
The two deals seem fairly remarkable. After all, an investor backing a potentially profitable business that is looking to scale up even more in near future.

These transactions are a trend in an ever-expanding ecommerce market: The growing importance of Crossborder Ecommerce Enabler .

Ecommerce logistics-enablers has seen deal values rising by high volumes in the last two years. 

With online retail firms hitting revenues of as much as $100 million in a single day (Flipkart’s Big Billion Day sale, for instance), ancillaries to these businesses such as logistics, packaging, vendor and inventory management, fulfilment solutions, technology, handling cash-on-delivery (CoD) and returns on goods have become a necessity. And Investment firms have taken cognizance of this.





This trend benefits both, investors and Ecommerce Enabler Company. Experts say ancillaries are a good opportunity for investors who missed out on the ecommerce boom or don’t want to be party to hefty valuation games. 

The foundation of the ecommerce retail model is technology and logistical solutions, and logistics infrastructure needs to be set up to enable growth in this sector. Fragmentation of customers, CoD management and keeping costs low, all require innovation. Those who can come up with delivery models that can meet these needs efficiently will be successful, automation in marketing (to decrease the cost of acquiring new customers) and supply chain (to ensure that the products a customer sees on screen are not out of stock) are key areas of innovation. 

Investors say firms can no longer compete by sheer volume alone. The realm of competition has now shifted to which company can provide consistently:

  • Ease of service
  • Accurate shipping updates
  • Fastest delivery of goods
  • Negligible or zero shipping charges
  • Timely doorstep delivery
  • Tractability solutions and reverse logistics 
  • 24*7 Pleasant Customer Support


have become the most important factors for success in ecommerce industry.



According to business leaders ,“The focus on ecommerce enablers is an evolution.” The growth of the auto and telecom sectors, which saw the growth of ancillary industry such as auto components and telecom towers businesses. “We are seeing a similar evolution in the ecommerce sector. First, we saw the progression from an inventory-led model to a marketplace model in horizontals (online bazaars that sell everything from apparel and books to smartphones and health supplements). Then came the verticals with a focus on online stores, and now, we have ‘first mile’ and ‘last mile’ enablers and payment solutions,” - That is the Crossborder Ecommerce Enabler

First Mile refers to services such as connecting a vendor to the marketplace, quality control and vendor and inventory management. Last Mile enablers offer services to personalize the shopping experience and facilitate different payment models, including Cash On Delivery-CoD. 

The good news is that the business of ecommerce ancillaries can accommodate multiple players. “It’s a nuts-and-bolts industry. There are three stakeholders: Customers, etailers and vendors. And it’s all about seamlessly weaving them together. It’s not a one- or two-pony game”. He adds that most etailers, if they don’t already have their own logistics arms, typically prefer doing business with two to three firms they can rely on. 



Digital Marketing

Major logistics firms such as DTDC Courier & Cargo, Gati, and Blue Dart Express have already formed specialised units to cater to ecommerce and Digital Marketing clients.

DTDC started DotZot, a separate unit for providing logistics support exclusively to online retail service providers. Companies such as Flipkart and Amazon have in-house logistics arms, eKart and Amazon Logistics, respectively. 

How can you streamline your business operations?

Grow your business with Etail Consultants Pvt. Ltd. 


As Ecommerce Enabler we help the traditional traders and sellers in participating in the E-Commerce Marketplaces.



For more Information :

Ravi Gupta 
Call  : 9818189513
Visit : www.inetail.com
email: info@inetail.com



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