Ebagsfull entered the market as a pure flash sales focused e-commerce platform, but is now moving towards becoming a comprehensive online store.
In an exclusive interview with SupportBiz, Mohit Taneja, co-founder of Ebagsfull, shared his views about the Indian online commerce market.
Edited excerpts from the interview:
What are the trends that you see in the Indian e-commerce space?
Online shopping has seen a lot of traction in the last 12-18 months. India has almost 130 million online users at present, out of which as many as 10% are engaging in online transactions. The online user base is expected to cross 300 million in the next 2–3 years, and a larger percentage of people are expected to transact online by 2015.
This large base will provide a vast scope for e-commerce businesses to establish themselves in India.
Around 57% of the buying is happening from Tier 2 and Tier 3 cities.
Several e-commerce firms have mushroomed in India over the last few years. What sets Ebagsfull apart from competition?
Ebagsfull is essentially a multi-format e-commerce portal. We plan to launch different formats of e-commerce on the site soon. The first format which we launched last year was that of a flash sales site, and now, we are moving towards becoming a store. Once we stabilize the same, we will come up with another format under the same brand name.
We would like to give every possible kind of deal on products to our customers, along with excellent services, which has always been our forte.
All our products are 100% authentic and genuine. We deliver whatever we show and promise.
What are your key focus areas?
The key focus area for Ebagsfull was, is, and would always be customer satisfaction. I think you have won more than half the battle if you have satisfied customers, who are ready to refer us to their near and dear ones. Word-of-mouth publicity is always one of the biggest things any business can rely upon.
Also, we ensure that we are very transparent with our customers, and that we always provide them with a clear picture in their dealings with us. Right from the time when a customer places an order with us till the time we deliver the product/s , our team is in constant touch with him/her.
What is the number of transactions done on Ebagsfull per month and their average value? What kind of growth are you expecting in these numbers in 2013?
On an average, we do 70 to 100 transactions in a day. The average selling price per transaction ranges from Rs. 500 to Rs. 600. We are looking at least 100% growth quarter-to-quarter.
We are also looking out for funding from the market, in case of which we will surely attain a much higher growth rate.
What are the major challenges that you face, being in the e-commerce space?
Every day is a challenge for an e-commerce entrepreneur. Right from choosing the right technology and hiring people to getting customers to visit our site and ensuring that they transact with us, everything was a challenge.
One of the biggest challenges that we faced was hiring the right set of people. Since e-commerce was too crowded a space when we entered, hiring people was a big challenge.
Post that, getting vendors on board and convincing them to work on a credit period, that too with back-to-back orders, was another big challenge.
How do you plan to leverage the cell phone as a tool for growth?
There is no doubt that mobile phones are an important and widely used tool for different applications. We already have a mobile-compatible website, but we are also planning to launch our app on iOS, Android, and other mobile platforms. We will seed it through different platforms. We also plan to start advertising on mobile sites.
What are your expectations from 2013?
Since 2012 was not a good year, overall, we have loads of good expectations from 2013. We have huge plans for this year, which we will disclose as and when things are about to happen. Also, we are going to advertise a lot in this year, and make our presence felt. We have a feeling that 2013 will be a better year for e-commerce, especially for Ebagsfull.