Group 2
Group 2
Group 2
Management
Tashn.com: Developing
Merchandising for a
Competitive Advantage
BY: Group-2
Tashn.com, an inventory and marketplace based ecommerce company provides fashion and
lifestyles products to the customers. Its product brand ranges from both international to domestic
(private label) brands. It holds around 26 per cent of the fashion retail segment in the country. The
company avoided employing its competitors strategy of providing high discounts to the customers
but with other companies failing during their sale launch due to some glitches in the portal and also
with the delivery glitches therefore the company wanted to experiment with their own sale season
as “End of Reason sales”.
The case talks on about various strategy the company adopted such as Merchandising plan, product
and brand assortments and evaluation of sellers to develop a merchandise strategy that will provide
a competitive advantage to the company.
Stakeholders:
1. Customers
Customers were the main stakeholders of ecommerce industry and their preferences and
buying behaviour changes quite frequently. Customers in the age group of 18 to 35 were the
highest purchaser in online platform while 18 to 26 age group customers was likely to
increase mostly in the upcoming years.
2. Competitors
Major competitors in the industry were Flipkart, Amazon India, Snapdeal and other players
like Limeroad, Reliance retail Ltd., Aditya Birla Group. Flipkart, Amazon and Snapdeal were
the most competitive in the market with spending millions of dollars in order to provide
better discounts to the customers.
3. Sellers
Most of the ecommerce company apply marketplace strategy in order to cater to almost all
the needs of the customers. While company like Tashn.com follows both inventory based
and marketplace strategy and these sellers went through a scrutinized process before
partnering with the companies.
4. Government
Government played major role in allowing 100 per cent Foreign Direct Investment in
ecommerce sector.
Superior product and services quality can help Tashn.com Merchandising to further
increase its market share as the current customer are extremely loyal to it.
First Mover Advantage – Tashn.com Merchandising has first mover advantage in
number of segments. It has experimented in various areas Competitive strategy, Sales.
The Sales & Marketing solutions & strategies have helped Tashn.com Merchandising
in coming up with unique solution to tap the un-catered markets like tier 3 cities.
Diverse Product Portfolio of Tashn.com Merchandising – The products and brand
portfolio of Tashn.com Merchandising is enabling it to target various segments in the
domestic market at the same time. This has enabled Tashn.com Merchandising to
build diverse revenue source and profit mix.
Customer Dissatisfaction – Even though the demand for products have not gone down
but there is a simmering sense of dissatisfaction among the customers of Tashn.com
Merchandising. It is reflected on the reviews on various on-line platforms. Tashn.com
Merchandising should focus on areas where it can improve the customer purchase and
post purchase experience.
E-Commerce and Social Media Oriented Business Models – E-commerce business
model can help Tashn.com Merchandising to tie up with local suppliers and logistics
provider in international market. Social media growth can help Tashn.com
Merchandising to reduce the cost of entering new market and reaching to customers at
a significantly lower marketing budget. It can also lead to crowd sourcing various
services and consumer-oriented marketing based on the data and purchase behavior.