Prathima's Miles & Milestones

Domain Research | P.S. This has been inspired by a couple of existing Products’

Problem statement

Investments for retailers aren’t easy

• Retailers usually stock products in their shop by availing credit and return the money to the lender after the sales/monthly basis/rotational since the order and supply is a forever thing in business.
• Banks don’t provide specific loans for Retailers. Even if they did, the banks wanted the KYC, ITR done by the retailers which they not possess. Hence they had to approach the local lenders who charge huge interest rates.

Lack of knowledge

• Retailers have no big contacts for big purchases.
• Shipping costs, price negotiations, product quality were an added issue once the contacts were made.

Logistics

• No players in the B2B space which handles huge packages weighing between 20–30 kgs. The players in B2C could not handle it efficiently.

Target audience

• Indian Retailers, Wholesalers, Traders, Manufacturers.

Product Vision

• A huge impact
• Technology based
• Solve Indian problems

Early competitors

Just Buy Live, Shotang — Shut down. Why?

• Business — Failed due to faulty business models, & logistics for a supply chain.
• Logistics issues — Package sizes in B2B are 1–2 kgs, whereas in B2B the average package size is 20–30 kgs.
• Indiamart — Listing platform/Online exporter from India in since 1997 who remains to be a Unicorn in Feb 2020 who also went IPO this year.

Competitors

B2B — All verticals

• Amazon Business, Metro Cash & Carry, Walmart, Alibaba, Udaan.

B2B — Category specific competitors

• Ninjacart, Grofers, Bigbasket, Jumbotail, ShopX, ofBusiness.

Amalgamation of an ideal Product

• B2B ecommerce => Domestic trade economy => Supply-chain + Logistics

Verticals the Product can sell

• Mobile & Electronics, IT & computers, Fashion, Staples, Food, FMCG, Clothing, Footwear, Home & kitchen, Beauty & Healthcare, Fitness, Athleisure and so on.

Comparison Metrics on the Platform for competitors

• No. of sellers, No. of retailers, No. of Products, No. of transactions per day, No. of towns covered, No. of states covered.

Helpful factors

• Mobile Internet penetration to tier 2, tier 3 cities via free Jio network.
• Demonetisation leading to digital payments which are easy.
• GST (Goods & Services Tax) helped in logistics to build a distribution network across India. (both Intracity, Intrastate)

Credit system

• Non-banking Working Capital Arm with average credit ranging from 10k up to 2L.
• Decision-making for the credit is based on the frequency of purchase and various other factors collected earlier from the transactions on the platform.

Business Model

• Commission from successful transactions
• Logistics charges
• Interest on credit loans
• Value-added services — Analytics from the retailers purchases based on seasons, advertising, and many other factors after reading the data.

Metrics to track (prior credit to retailers)

• Type of products sold, Frequency of selling, No. of payments defaults

Sample User Reviews

• Good rates and service
• Free delivery of goods at your doorstep
• Market value of products are known via app instead of visiting the wholesalers
• Saves time, effort, business hours and conveyance in buying from the wholesalers