eCommere and Logistics

Why E-Commerce is growing

External Environment-Government and Regulatory

Favorable Demographics

Increasing number of urban household

Growing Rural Penetration in Rural, Urban areas

Proliferation of Mobile devices

Emerging need for convenience

Choice and Access

Innovative Business Models

Convenient payment options

Consumer friendly policies- To capture Online time and Wallet Share

E-Commerce in IndiaEarly Years

Delay in deliveries

Poor product quality

No manufacturer warranty

Missing part in shipment

Lack of Communication

Things are improving now

Technology automation

Better integration with vendors

No question ask return policies

Differentiation

Sell product and services

Build relationship with customers

Welcome to 2014

• PEOPLE WILL [SOON] BUY MORE WITH THEIR CELL PHONES!!

• WALLETS ARE BECOMING AS UNNECESSARY AS WATCHES

• THE RISE OF SOCIAL COMMERCE !!• BUY WHERE YOU CONNECT AND CONNECT

WHERE YOU BUY !• STILL,A SLOW (R)EVOLUTION!

Logistics and ecommerce

Development of ecommerce is 5-6 times faster than that of the logistic and express delivery industry.

eCommerce venture stands on four major pillars to be successful.

Website

Logistics

Payment Gateway

Promotions

The fast emergence of ecommerce in India has opened a new vista for logistics companies across the country, especially for the express logistics companies. Preceded by retail, it is now e-tail to determine the fortune of many of the logistics service providers in India.

Logistics and ecommerceBoom in ecommerce has resulted in:

Dedicated ecommerce divisions within traditional logistics players

Emergence of new ecommerce logistic specialist

Focus on both “Click and Ship”

Logistics is becoming a key support factor in the success of both the existing and new entrants

eCommerce forms a leading factor in the growth of India’s logistics industry

eCommerce is a big opportunity and logistics companies are moving fast to build the right capabilities and capacity

Challenges for E-Commerce companies in India

COD problem, can be solved following the other markets, where 80-85% prepaid happens now and 15 % COD

Pin code reach-Last Mile Delivery

COD option and COD

reconciliation

Maintaining Customer

relationship

Trust of 3rd party vendor

Ship to delivery time

Package Cost(Separate

delivery for same order)

Cost per kg and collection cost for COD orders

Size of product(Weight

and Volume)

Reverse Logistics

Ecommerce Logistics-The essentials

Pin code covered/Last Mile Delivery

Own Network vs 3rd Party

Network

Delivery times for Tier 1, Tier 2, Tier 3 and Tier 4 cities /

regions

RatesDedicated

Relationship Manager/Call Center

Support

Technology Support

Damage and return policy

Forward and Reverse Logistics

Packaging

Importance of Efficient Shipping for Retail & eCommerce Companies

Delivery on time

No Damage

Tracking and Tracing of

Shipment by user

High Delivery efficiency

Delivery as per customer

requirements

Keeping track of inventory

Handling shipping

efficiently

IT integrated Order Management

System

Fast Shipping Services

Logistic Solutions for eCommerce

• Gati E-Connect is the e-Commerce solutions vertical of Gati Ltd, India’s pioneer and leaders in Express Distribution and Supply Chain Solutions.

• We provide multiple solutions for the e-Tailers: – Hub to hub movement of goods - Last Mile Delivery– Packing - COD facility– Warehousing - Reverse/return pick ups– IT and Automation solutions - Dedicated Customer Care

• Reach across 653 out of 657 districts , 6700+ direct pin codes and 14000 special pin codes,4 E-fulfillment centers and 61 ware houses across India.

• End-to-end e-Commerce Logistics Solutions provider

Premium Services

• High Speed Air cargo movement service

• Designed to deliver time critical shipments

• Assures delivery attempts within 24 hrs, 48 hrs and +48 hrs

• 8 Air Transit Centers 27 Air Operating center

Express Services

• High Speed Surface cargo movement service

• Direct connectivity to major locations in India.

• Synchronized Hub & Spoke system for swift and safe delivery

• Fleet of over 4000 vehicles, 500 bikes.

782 routes across India

Same Day Pick and Pack• Shipment picked, packed

and delivered to customer on the same day as ordered

• Highly time critical

• High speed Air cargo movement service

• Packing centres at Delhi, Mumbai, Bangalore and Chennai

Reverse Pick up

• Movement of refused shipments back to the vendor

• Movement of replacements asked by the customer

Multi Modal Delivery Solutions

Thank You