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INTRODUCTION TO AARAMSHOP

Contents covered
‡ ‡ ‡ ‡ ‡ The Current Business Scenario being addressed by AaramShop. The Retail Eco-system addressed by AaramShop The process of engagement. The free services that the brands can leverage. The paid services offered to brands.

The brands are eager to engage with the traditional trade as the margins and reach is better. ‡ ‡ ‡ . Most of the new media usage / initiatives by FMCG brands is confined to drive awareness of the brand. still does not result in actual transactions.The business scenario ‡ New media offers engagement opportunities like never before. services or technology). The presence of private labels in the LFRs is a potential long term problem for brands that work hard at creating consumer desire and category interest. however FMCG brands are yet to see serious & quantifiable returns coming out of their new media strategies (unlike other verticals like durables. however. only to loose out in the last mile. which while a step ahead of massmedia. the new media related opportunities with the traditional trade have been not existent so far.

Is a hybrid retail platform for FMCG / CPG brands that engages with the busy urban consumer in a manner to induce purchase by leveraging on the strengths of traditional independent retailers. .

The eco-system that AaramShop addresses: The Brand Owner The Traditional Retailer The Busy Urban Family .

The Busy Urban Family .

The sub-forty families. (DIFM mindset) . both at and away from work. working in jobs which require them to dedicate time and effort. Focus is on achieving a better & higher quality of life style. Travel time to and from work is extensive and tiring yet unavoidable. They are extensively dependent on the domestic help to ensure household chorus are addressed. well-qualified. The family sizes are small (nuclear) and is limited to couples and their kids. Economic needs and qualifications mean that both parents (and kids) lead a hectic & stressful lifestyle.

ensures that they have ample excess not only to computers but to high speed connectivity. but is still a significant area of concern and avoidable. . They have transacted on the web. They are excessive users of all things on the web and their acceptability to web is a nonissue.Their work environment. They are starting to enjoy the power of mobile apps. They are users of smart phones and their phones need to meet their lifestyle. Usage of web is extensive at work and at home.

the regular / daily top up purchases are still done at the neighborhood store. Significant part of the neighborhood purchase is done on the phone and is delivered or is picked up by the domestic help. The reason for modern trade preference is on account of a better shopping experience and a wider range of choice.The lifestyle requirements mean that modern trade is where the indulgent shopping is done. However. Shopping of FMCG is looked at as an unavoidable must do (increasingly also at the modern trade) .

.The Traditional Retailer.

. While he has assistants for various functions.He is owner of one of the 12 million traditional retailers in India. his personal (or family member s) presence in the shop is mandatory to be successful in business. (density of 11 per 1000 households) He has been in this family business for a long time (in cases over generations). The shop is the core business and takes up all his time. He owns the shop and caters to the immediate catchment area.

Home delivery is a critical aspect of his business and can contribute to as much as 40 50% of the business. Almost all of the business is repeat and his one on one relationships with customers is key. however.He caters to the catchment area and competes with multiple shops in the area.per transaction. Some years back. The customers average spend is Rs 200/. his relationship with the residents was very strong. . rather than going up. the newer generation is not very responsive. which has stayed the same over the last few years.

. Revenue from other misc income like branded racks etc is about 3% at best.95% of the shop s revenue comes from packaged consumer goods (FMCG). The biggest loss of business is on account of major purchases being done at the modern trade. however. the average margin which is available to him is sub 7%. The shop sells at MRP or lower. 30% of the business is where he extends monthly credit.

 The traditional retailer. . concerns & opportunities of all the three target segments.  The busy urban consumer.  The brand owner.Aaram Shop addresses the business & lifestyle challenges.

The FMCG brand owner Products are placed as per existing norms of the company. . The independent traditional retailers. Shops & places order on preferred AS The order is forwarded to the AS The consumer Products are listed and displayed.How does AaramShop work? Fulfillment & POD Logs in. Consumer & Marketing Intelligence is shared.

. Registration and listing of the shortlisted retailer is free of cost. marketing & intelligence) would be made available at a cost. log-ins and usage of all services available on the site are 100% free and will stay free for ever. however. when introduced would come at a fee. all value added services ( preferred listing. Premium services.AaramShop s engagement with the eco-system The busy urban consumer The Traditional Retailer The FMCG brand owner The registration. All listing of SKUs of the brand is free. All services are available to the retailer free.

Free services on AaramShop for brands Please refer to the comprehensive document on the free services offered to brands on AaramShop attached. .

Some of the paid services for brands on AaramShop (yet to be introduced except Value@Home Vouchers) .

‡ the power of real-time market analytics and complete control on the strategy.absolutely free. ‡ Availability of brands online and hence can morph AaramShop platform with any existing marketing campaign.What is in it for the brands? ‡ A transaction ready social shopping infrastructure which ensures a possible shift from I like to click to bag . ‡ Ability to customize marketing initiatives basis insights from various analytics . ‡ Listing of all national & regional FMCG brands . ‡ Option to influence customers path to purchase.

AaramShop will not be available for brands of the following nature: ‡ It should not be a private label ‡ It shouldn't be an imported niche brand not qualifying the above parameters AaramShop also does not list commodities. .Key qualifiers for the brand to be listed in the platform? ‡ Brands with national presence ‡ Or a significant regional presence ‡ Should have requisite government approvals (Weights and Measures Specs) ‡ Brands that advertise ‡ It should have a MRP ‡ Should be present at the independent neighborhood retail outlets.

By enabling prominence of the brand within the category to ensure a higher throughput. 12. 8. By finding a way on the quick order list. By enabling its customers to make a more informed choice. By offering incentives via badges and offers on the frequent purchase. 6. for example vouchers. 11. By optimizing the product in the consumers path to purchase. By promoting sales promotions and other offers online and with an integrated offline strategy. and of sharing their views within their network.How can a brand leverage AaramShop platform for itself? 1. By understanding reviews by customers and enabling the same by way of enhanced social media integration. 4. 7. By targeting AaramShop databases based on consumer behavior. 3. 9. 2. 5. 10. By ADVERTISING! . By appearing in the featured product category. By extending their offline promotions and other marketing initiatives on the platform. By reviewing data-points related to consumer preference and behavior online vis-à-vis the brand and its category.

New Delhi 110001 India.com Also join us on N-114. Connaught Place. Please contact AaramShop or your marketing or media agency.For more information on AaramShop. Level 2. . Also subscribe to updates relating to professional use of AaramShop PRO and register on the Brand Engagement Center for self administration.aaramshop. Please visit and experience the AaramShop platform on www.