India is one of the largest and fastest growing markets for Online Retail globally. However this exponential growth throws up many challenges. In the current scenario of online retail where the customer is king, it is important to find out what the customer wants, the categories they buy, their choices and preferences, their demographic distribution, etc. That’s where the data comes into play. With millions of transactions every day, manually finding customer patterns is similar to finding the provincial needle in a haystack. Factors like Resellers, Inventories, Social Media, Product bundling among others too have a big impact. Therefore, understanding the impact of these factors is and their interplay becomes crucial to ensure success for any Online Retail player.
In this webinar, our speaker explained the interplay between Social Media and Web Analytics for growth and survival of an online retail business. He will shed light on the key areas and KPIs which play a pivotal role in determining whether a business will survive, grow and emerge as a winner.
Watch the complete webinar recording here: http://youtu.be/JQDoCStlHn0
2. E-commerce– Overview
E-commerce Industry – A Perspective
•eCommerce is the fastest growing method of shopping
•In 2017, online spending will reach $370 billion, which represents a nearly 10% compound annual growth
rate from 2012
•India has approximately 250 million internet users and is the 5th largest eCommerce market in the world
•India has only 62% reach of e-commerce among online users. The worldwide average is around 73%.
•Currently Travel portals contribute a much larger chunk of business compared to online retail, however this
is set to change in the next few years
•Most large eCommerce portals have started moving away from own inventory to the Marketplace model
•As a priority they are focusing on growing the list of Vendors on their Marketplaces with most looking at
over 100,000 resellers in their Marketplaces
•In the US, Marketplaces like eBay and Amazon realizing their importance, already have extremely evolved
solutions for Resellers
•Soon this likely to change from growing list to retaining quality resellers
Its truly phenomenal and exciting on the potential and what we can do; and this is only
India and the US
3. Departments in a Company
Management
OperationsSales & Marketing Finance Supply Chain HRWarehouse
Vendor
Management
4. Current IT in a Typical E-commerce Vendor
Company
Data based
Transactional
Systems, ERP,
HR, CRM,
Portfolio,
Accounting,
etc. usually in
DB
Data from
Marketplaces
usually in
excel sheets
Data from 3rd
Party Products
like Inventory
and
Warehouse
Management
Decisions
based on
knowledge
from
individual
systems
5. Issues with Current Systems - Marketplaces
•Different systems and each one gives different perspective
• Too many data types like databases, excels, CSVs and others who do not talk
to each other
•No way to get unified picture from all sources
•Currently it is done manually, the cost of the same is high and even then it is
not accurate
•The cost of even the inaccurate information is too high
•It is available only on PC and not otherwise while with traveling it is hard to
keep track
•The information is often old and too static to be of much use
6. Requirement of the Management
Management only requires timely delivery of accurate
information from systems with checks and balances
and deep insights which may miss the human mind to
ensure enablement of growth in volume and/or profit
or minimize their loss by optimizing expenses
7. Business Intelligence and Analytics
The ability to pull data, organize it and use it to
represent data without manual intervention for past
and current analysis and ability to use the same to
predict for future
8. Global IT research firms say…
•BI is CIO's no 1. priority globally for two consecutive years, even in the days of
meltdown.
•Over 60% CEO thinks that they need to do a better job of capturing and underst
anding information to make more efficient and timely business decisions.
•Many organizations did comparatively much better business during
slowdown and they were well equipped with Reporting, score carding, Dash
boarding, forecasting, what-if modeling, interactive visualization and
other analytical tools.
9. Advertising
Questions you face :
•What source of my advertising is pulling in the maximum amount of
traffic?
•Which advertising is generating the most sales?
•What ad creative is converting best?
Information possible out of this
•Marketing Campaign Planning
•Daily Channel-wise traffic/conversion
•Channel wise Analytics
•Cost to traffic to conversion analysis
10. Navigation
•What elements of navigation are people using the most?
•What are they using the least?
•What is causing visitors to go around in circles?
•Are they reaching their desired page upon using the search box?
Information possible out of this
•Most viewed pages
•Maximum time spent pages
•Maximum pages where people terminate without order
•What do people take to the cart and checkout
11. Loyalty
•Which customers buy repeatedly?
•Where did these customers come from?
•How do they reach their desired products?
•How many of them respond to mailers and other forms
of marketing communication
•How much are the returns by customers
Information possible out of this
•Cohort or waterfall analysis by registered and buying customers
•Customer Analysis by geographies, age, sex and promos
•Repeat customer Analysis
12. Social (Facebook) Marketing
•What sites are sending the best traffic?
•What strategies are leading to the greatest SEO success?
•How are my Facebook members reacting to my campaigns?
•Are social sites sending traffic?
Information possible out of this
•Number of visits to page on Facebook
•Demographic details of members logging in
•Number of likes and comments on Facebook
•Facebook users Analysis
13. Inventory and Supply Chain
• What are my inventory levels?
• What are my delivery schedules
•In how man days am I delivering for different cities
•What are my returns viz a viz my deliveries?
Information possible out of this
•How to optimize my inventories
•Reduce rejections due to better commitment levels
•Improve JIT to reduce cost of money
14. Marketplace Resellers Analysis
• How many Resellers I have on my Marketplace?
•Who are my best resellers in each category?
•What are the returns by resellers?
•What are the what models of inventories work the best?
Information possible out of this
•How to retain top resellers
•Optimize inventory models
•Optimize payment schedules
•Provide analytics to my resellers and improve their efficiency and
through transparency
15. Co-relation and Forecasting•Important to deep dive into data from across apps
•Which products sell in which markets
•What product to bundle and sell
•How to identify opportunities before others
•Inventory and production
Information possible out of this
• Optimize sales through data analysis across Facebook, Web Analytics and
internal data
•Best selling products in a bundle
•Probability to cross sell by market, gender, age, etc.
•Depletion of inventory with price point optimization
16. List of KPIs, Reports and Analytics for MarketplacesCustomer Management
•Day Wise Information At A Glance
•Top Items By Value
•Top Items By Quantity
•Customer Count Water Fall Cohort Report
Finance Management
•Revenue Water Fall Cohort Report
•Profit Contribution Detail
•Profit And Revenue Period Wise
•Revenue Status
•EIBITA by Departments and gender
•EOV by Department and Gender
•Gross Revenue/Net Revenue/ Operating Revenue Margins by
Department and Gender
•Net Profits by Department and Gender
Sales Management
•Supply Chain Funnel With Details Of Dropped Items
•Telemetry Product Wise Upward Trend
•Sales By Products
•Telemetry Product Wise Downward Trend
•Best Performing Months For Current Year
•Sales Probability
•Ordered Item Funnel
•Channel wise Detail
•Top 10 Departments Sale During Last 6 Months
•Sales forecasting based on past trends
•Net Conversion ratio by department and gender
Vendors
•Vendor Performance over current year
•Reorder quantity
•Quality performance across other vendors
Miscellaneous
•Quantity Wise Upward/Downward Trend
•Promo Value Wise Upward/Downward Trend
•Return Value Wise Upward/Downward Trend
•Order Analysis
•Day Wise Order Analysis At A Glance
•Year To Date Order Drill Down Analysis
•Customer Analysis
•Sales Analysis
•Year to Date Analysis
•Month to Date Analysis
•Real time current position Analysis
•Source wise drops and success Analysis
•Facebook data Analysis
•Site Traffic Analysis (Web Analytics)
•User Analysis by Facebook, Shopping Site and
internal data for Marketing
•Advanced or Predictive Analytics
Inventory And Warehouse
Management
•Inventory Valuation
•Inventory Aging
•Stock Breakup
•Issued And Received Qty At A Glance
•Forecasting based on past trends
Supply Chain
•Dispatch Tracking
•Dispatch Tracking (Detail)
•Delivery Tracking (Detail)
•Current Year Bucket Profit Analysis
•Channel Wise Share
24. Thank You
Umesh Gupta
CEO
Open Software Technology (India) Ltd., Kautilya BI
ugupta@open-soft.net
M: 9810009918
www.kautilyabi.com; www.open-soft.net