Value Chain Mapping for an International Marketplace format

Overview

The client is amongst the largest marketplace formats in the world. They were interested in understanding the value chains of 40+ product categories across various channels in India

Value chain mapping of various merchandise retail categories across modern trade, general trade and online retail channels

Objective

Category and sub-category differences and nuances
Value chain mapping for general trade, modern trade, e-commerce and other channels
Understanding the role of national/regional brands and the impact of brand play on margins and discount for various stake-holders
Presenting a detailed value chain for each of the merchandise retail category unique to general trade, modern trade, e-commerce.
Analysis of schemes, offers, and other hidden earnings for each stake-holder in a products’ value chain

What We Did

Results

Share of various channels such as general trade, modern trade and e-commerce at sub-category level of each merchandise retail
category
Detailed value chain mapping of each sub-category of products
Typical margin and discount structure for each channel and identifying the flow of merchandise, stock levels etc
Various other forms of incentives offered to general and modern trade channels and their impact of earning

India Entry Strategy for S. Korea’s largest E-commerce company

Overview

The client was the largest E-commerce company in South Korea. It was also part of a larger conglomerate with interest in Telecom. It reached out to Technopak to assist in evaluating Indian E-commerce market for a possible market entry.

To identify the market potential
To understand all market entry options
To assess the viability of India in its overall growth strategy

Objective

Market opportunity assessment
Benchmarking of all prevalent business models and organizations
Route to market evaluation
Trade-off analysis
Investment evaluation

What We Did

Results

Route to market options with respective trade-offs
Partnership and alliance opportunities
Investment outlay

Commercial Due Diligence of After-Market Auto marketplace for investment attractiveness for a leading international sovereign fund

Overview

The client is among world’s leading sovereign funds and has been actively investing in India across diverse sectors in consumer, digital and technology spaces. It was evaluating an investment opportunity in a leading After-Market Auto E-commerce marketplace and reached out to Technopak for commercial due diligence of the entity

Nature of the sector
Financial viability of the opportunity
Key success factors and threats
Moats of the entity and their strength

Objective

Addressable market opportunity mapping
Value chain analysis of both unorganized and organized after-market
Unit Economics of different alternatives
Market place model assessment and the entity’s performance
Revenue and cost driver assessment
Financial modelling and scenario planning

What We Did

Results

Performance comparison of the entity with others
Growth viability of the opportunity under different market scenarios

Growth Strategy Development for India’s leading retail led Footwear brand

Overview

The client is among the largest Footwear brands in India. It reached out to Technopak for the development of a 5 year growth strategy in the backdrop of rapid changes with respect to E-commerce, digital technology, private labels and entry of international brands

Incremental and disruptive growth opportunities
Retail channel mix
Market position consolidation
Working Capital and margin improvement

Objective

Product offer revisit and rationalization analysis
Footwear channel mapping across E-commerce, Organized and Unorganized
Retail store segmentation for tiering and differentiation
Competition offer benchmarking
E-commerce for footwear
Wholesale and Franchise opportunities

What We Did

Results

Evolution of destination stores and small format stores
Rationalized SKU mix that impacted deployed working capital
A new pricing approach that resulted in higher ASPs and therefore gross margin improvement
International brand partnership approach that was subsequently used to sign up Crocs

Impact Assessment of Modern Retail in India on skills and employment for one of the largest retailers in the world

Results

Employment and its segmentation across various functions of Organized
Retail in present and five years hence
Present area of skills and future skills for employment
Direct and In-direct Jobs

Analysis and Mapping that included: -

Organized retail size and share across categories
Value chain walk-through
Nature of job and productivity norms
Key shifts in jobs and productivity due to technology and digital shifts
Trade off and shifts between brick and e-commerce retail and its implication on skills and employment

Research & Insight gathering
We conducted extensive stakeholder interviews involving CXOs, process owners, business owners involved in distribution and wholesale, service providers etc. We conducted research of size and share of different types of organized retail (EBOs, E-commerce, Large Format Stores etc.).

What We Did

Value chain mapping of retail and organized retail
Human capability deployed & productivity
Role of technology and other emerging factors
Nature of employment

Objective

Overview

A large retailer from USA approached Technopak to understand the growth of organized retail in India and its impact on skills, employment and its nature. The client’s team also wanted to understand the expected trajectory of this impact in the next decade and its implication. They needed this point of view for advocacy and policy discussions with various stakeholders of the Indian state, in the context of India both as a sourcing destination and as a consumer market for the client

Results

Exports to India grew 500% in two years
Successful growth of awareness levels, both, of the category and of the brand

Value chain mapping for an international marketplace format

India entry strategy for S. Korea’s largest E-commerce company

Commercial due diligence of after-market auto marketplace for investment attractiveness for a leading international sovereign fund

Growth strategy development for India’s leading retail led footwear brand

Impact assessment of modern retail in India on skills and employment for one of the largest retailers in the world

The world of consumerism is a highly competitive one wherein retailers constantly strive to create an impressive image in the minds of the consumers.

& E-Commerce

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