Growth of ecommerce Logistics Industry in

India

Current State-India ecommerce

Change in Shopping trends

Period Changing Trends

1970-1990 No option for Consumer

1990-2000 Liberalization came, People started getting attracted towards Brand

2000-2010 Shift in Consumer Behavior

Post 2010 M-Commerce, Social Commerce, Boom in E-commerce

• A Glance at India • $ 14 Billion Market(2012)

• India has close to 10 million online shoppers and is growing at an estimated 30%(13 Million in 2013)

• According to Forrester, the e-commerce market in India is set to grow fastest in APAC region at a CAGR of over 57% between 2012-2016

E-Commerce in India

Early 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

Understanding Rise in ecommerce

• E-COMMERCE MAKES LIFE EASY.!

BUYING ONLINE MEANS :" Quick & easy shopping" Access to otherwise unattainable products" More choice & better prices" 24/7" Recommendations from peers & experts

GIVING CUSTOMERS A BETTER EXPERIENCE"

How can you make out of it?

• E-COMMERCE ALSO MEANS GREAT OPPORTUNITIES!!

Contribution of Tier-2 and Tier-3 cities to Indian E-Commerce

In India, it’s about penetration. Most of the logistics providers restrict themselves to Metros and Tier1 cities. But the real ecommerce lies in the tier2 and Rural India

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 ecommerce

Boom 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

e-commerce 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 China Model, where 80-85% prepaid happens now and 15 % COD

Pin code reach and COD

Reverse Logistics 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)

Statutory requirements

How Gati can be helpful

• 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 1000 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

Our Offerings Packing Solution

COD: Cash on Delivery

Unmatched Reach - Deliveries in across India and SAARC

Diverse Fleet catering to all sizes of Shipments

Extensive use of IT and Automation-Tracking system, Customer Portal ,Mobile Application, IT Network

Dedicated customer care centre

E-fulfillment Centers at New Delhi, Mumbai, Bangalore and Chennai(Pick and pack solution and Warehousing)

E-Com Fleet

• 4000 plus vehicles

• 500 plus bikes

Dedicated customer service team for e-Com

• 30 agents

• 9 e-Com client coordinators

• 2 return pickup

• 24/7 365 days support

• Average of 2,00,000 dockets booked per month

Thank You