Doorstep-Online Grocery Delivery
Doorstep: Home Delivery of FMCG Goods
Executive Cover Memo
To: Z. Rehman
From: Rahul Gupta Varun Sharma Manoj Saroliya Pooja Yadav Ritesh Kumar Nancy Mehra U R Gautam
This is to recommend the immediate construction and operation of website selling FMCG (Fast Moving Consumer Goods) to tap the latent demand in market.
BACKGROUND:
As per recent survey done by ASSOCHAM, online retail industry is likely to be worth of Rs.7000 crores by 2015. Current status of online retail industry is worth Rs.2000 crores with annual growth rate of online retail industry is 35%. As per Boston Consulting Group, online retail will be 4.5% of total retail market by 2016. Also, the recent decision of government to allow 51% FDI in Multi brand retail will pump a lot of foreign players in the market. Hence this boom in online retail industry should be tapped immediately.
RECOMMENDATION:
The growing market can be tapped by setting up an online portal for daily shopping of grocery and FMCG products. The goods will be home delivered, for which a dedicated team of delivery boys will be employed. The initial investment will cost Rs. 50 lacs and the break even will be realized in 3rd year of investment with profit of _______.
NEXT STEPS:
Our warehouse will be rented in the centre of Noida city – Sector 11 by March 2012. Inventory worth of 11 lacs will be acquired. 2 delivery boys will be employed at the initial stage for home delivery of the orders.
Situation Assessment and Analysis
Scenario:
For the past few years, the Indian retail sector has been witnessing tremendous growth, and contributing significantly to the country’s GDP. Though the country’ retail sector is highly unorganized, organized retailing is growing at a rapid pace to grab a considerable market share. According to research report by ASSOCHAM, with the growth in organized retailing, the online retail segment is emerging as a new platform in the market. It is estimated that the online retail market will grow at a
Executive Cover Memo
To: Z. Rehman
From: Rahul Gupta Varun Sharma Manoj Saroliya Pooja Yadav Ritesh Kumar Nancy Mehra U R Gautam
This is to recommend the immediate construction and operation of website selling FMCG (Fast Moving Consumer Goods) to tap the latent demand in market.
BACKGROUND:
As per recent survey done by ASSOCHAM, online retail industry is likely to be worth of Rs.7000 crores by 2015. Current status of online retail industry is worth Rs.2000 crores with annual growth rate of online retail industry is 35%. As per Boston Consulting Group, online retail will be 4.5% of total retail market by 2016. Also, the recent decision of government to allow 51% FDI in Multi brand retail will pump a lot of foreign players in the market. Hence this boom in online retail industry should be tapped immediately.
RECOMMENDATION:
The growing market can be tapped by setting up an online portal for daily shopping of grocery and FMCG products. The goods will be home delivered, for which a dedicated team of delivery boys will be employed. The initial investment will cost Rs. 50 lacs and the break even will be realized in 3rd year of investment with profit of _______.
NEXT STEPS:
Our warehouse will be rented in the centre of Noida city – Sector 11 by March 2012. Inventory worth of 11 lacs will be acquired. 2 delivery boys will be employed at the initial stage for home delivery of the orders.
Situation Assessment and Analysis
Scenario:
For the past few years, the Indian retail sector has been witnessing tremendous growth, and contributing significantly to the country’s GDP. Though the country’ retail sector is highly unorganized, organized retailing is growing at a rapid pace to grab a considerable market share. According to research report by ASSOCHAM, with the growth in organized retailing, the online retail segment is emerging as a new platform in the market. It is estimated that the online retail market will grow at a