Monday, June 10, 2013

Indian Ecommerce Bubble- Will the Pin prick in 2013

Will the Ecommerce Bubble burst in 2013? The pin is getting closer and closer and I am not sure if the bubble will be able to withstand the pressure any longer. 

The online spending habit was first started in 2003 by the no frills airline Air Deccan in India which accepted bookings only through the internet and the Indian railways IRCTC. With the spice of VC money added to this pot boiler there has been a mad rush by startups to grow the market and attain the number one spot by killing competition. Aggressive discounting and selling below cost has whetted the consumer appetite but how many will end up surviving?

In my previous article I wrote about how Indiaplaza.com, India's oldest Ecommerce site seems to have shut down. Here I take stock of all the leading Internet sites presently in operation in India based on Alexa rank and how many are likely to survive. I have evaluated these sites purely on the basis of stability of traffic and not by profitability which should be the right metric. 

Sr.no
Site
Alexa Rank India
Status
1
14
Rising
2
37
Slight dip
3
44
Rising
4
45
Slight dip
5
48
Rising
6
73
Falling
7
93
Steady
8
111
Falling
9
179
Steady
10
385
Crashing
11
716
Rising fast
12
1517
Steady
13
1663
Falling
14
2900
Crashed
15
3126
Steady
16
3678
Crashing
17
6304
Crashed

Of the 17 Ecommerce sites around, only the top 5 seem to be stable, Amazon has just come in and rising fast, a couple of niche sites are steady while the rest are in serious Danger of collapsing.



1. Flipkart.com - Rank 14

Flipkart is an Indian e-commerce company headquartered in BangaloreKarnataka. It was founded by Sachin Bansal and Binny Bansal in 2007. In its initial years, Flipkart focused on online sales of books, but it later expanded to electronic goods and a variety of other products (wiki)



2. Ebay.in - Rank 37

In 2004, Ebay acquired Baazee.com and renamed it to Ebay.in 







3. Snapdeal.com - Rank 44


Snapdeal.com is a online retail website, headquartered in New Delhi, India. The company was started by Kunal Bahl, a Wharton graduate and Rohit Bansal, alumnus of IIT Delhi, in February 2010. It was started as a daily deal platform, but later expanded into product retailing across various categories. 


4. Jabong.com - Rank 45


Jabong.com is a fashion and lifestyle ecommerce portals.It retails apparel, footwear, accessories, beauty products, fragrances, home accessories and other fashion and lifestyle products. The site started operations in January 2012. It was founded by Arun Chandra Mohan, Praveen Sinha, Manu Jain & Mukul Bafana wiki



5. Myntra.com - Rank 48

Myntra.com is an Indian online shopping retailer of fashion and casual lifestyle products, headquartered in Bangalore. Myntra was established by Mukesh Bansal, Ashutosh Lawania, and Vineet Saxena in February 2007. wiki






6. HomeShop18.com - Rank 73

HomeShop18 is the online and on-air retail and distribution venture of Network 18 Group, headquartered in NOIDA, India. HomeShop18 was launched on 9 April 2008 as India's first 24-hour Home Shopping TV channel, where anchors performed live demonstration of products on sale. wiki





7. Shopclues.com - Rank 93 - Updated on 11th June after being alerted about this site by Amit Tandon

It was founded in July 2011 in Silicon Valley, is located in Gurgaon, by the alumni of Washington University and Wall Street Internet Analyst Sandeep Aggarwal and eBay’s former Global Product Head Sanjay Sethi. wiki




8. Yebhi.com - Rank 111



Yebhi.com is an Indian Online shopping E-commerce portal for Home, Lifestyle & Fashion e-retailer, launched in the year 2009. Yebhi began as BigShoeBazaar.com. The site was founded by Manmohan Agarwal, Nitin Agarwal, Rajul Jain and Danish Ahmed. wiki





9. Infibeam.com - Rank 179 . Updated on 16th June 2013 after being alerted about this site by Neeraj Mishra



Infibeam was founded in 2007 by Vishal Mehta, a Cornell and MIT Sloan alumni. After working for Dell computers ad Amazon.com in the US for five years, Mehta returned to India in 2007 and started Infibeam.He funded the company by selling his personal assets rather than opting for external equity funding.Infibeam.com started as an automobile portal in 2007, but later turned into an online retailer. In 2010, Infibeam launched 'Pi', India's first e-book reader. wiki

10. Fashionandyou.com - Rank 385 


fashionandyou.com is a private sales club in the online Fashion, Luxury & lifestyle space started in 2010.  It is a venture of the Smile Group.


The Goliath is finally here. Launched on June 5, 2013 Amazon.in has provided a platform for 3rd party sellers to list their products and sell directly to customers. within 5 days it has already reached a rank of 716



CaratLane.com is an e-commerce company launched in October 2008. CaratLane retails diamonds and diamond jewellery. 





Futurebazaar.com is a destination for shopping home, lifestyle, electronics, gifts, kids, baby and supermarket products in India. Futurebazaar.com is the digital commerce arm of Future Group, home to leading retailers like Big Bazaar, Home Town, Central and more. 


 Indiaplaza, one of the oldest Ecommerce site in India started in 1999 seems to be on the verge of collapse. Read earlier article







15. Indiangiftsportal.com - Rank 3126

Indiangiftsportal.com, part of the IndiaMart group was launched in 2000. This is a gifting website. 








16. Dealsandyou.com - Rank 3678

Deals and You is a group buying portal that features a daily deal on the best stuff to do, see, eat, and buy in some of India's leading cities. It was launched in 2010





17. Inkfruit.com - Rank 6304

Inkfruit is an online t-shirt store, where t-shirt designs are submitted and voted for by a community. It was launched in December 2007 (then called Gnome) by Fingerprints Fashion Inc., based in MumbaiIndia. Kashyap Dalal is the CEO of Inkfruit



By Ramakrishnan Laxman
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