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Emazing Deals LLP

Top Deals on Top Brands

Company Overview
January 2020
Contents

1. Emazing Profile 2. What is next for us?


• Overview • Market opportunity
• Our Journey • Key trend to follow
• Sale Overview • Our strategy
• Our Footprint • Partnership terms
• Key Brands & Projects
• Partnership with Amazon
• Partnership with Flipkart
• Management Team

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1 – Emazing Profile
Overview
o A growth stage e-commerce retail company based out of Mumbai, India with primary focus on
“Amazon.In” and “Flipkart.com” marketplaces.
o “Strategic Account” with Amazon.In and “Platinum Seller” of Flipkart.com.

o Successfully launched top Indian and international brands both on Amazon.In and Flipkart.
Strategic retail partners of Cipla, Piramal , Mondlez , Nestle , VIP Industries , Lindt and Texas USA.
o Amazon’s “Partner of Choice” for special projects – the only retailer to deliver fresh fruits and OTC
medicine at Amazon.In
o 45% average annual growth in sales over past three years primarily funded through profit
recapitalization. Current sales stands at over ₹ 20-25 million ($280-350k) a month and growing.

o Own six (6) FBA warehouses across India with 38000 sqft space. All warehouse have cold chain
facility and have FSSAI and drug licenses.
o Inventory in all our warehouse is synced which enable us to have best of both the marketplaces.

1.7 m+ 38,000 98%


2015 2.2m Satisfied Sqft FBA
Warehouse
Positive
Rating on
Established Products Sold customers
Space Amazon.In

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Our Journey
• Established with limited • Unique partnership offered by Amazon – our • Two (2) more warehouses
capital by the three own warehouse was converted into an FBA added – Hyderabad and
Managing Partners warehouse with unlimited space and entire Kolkata (East India) enhancing
• First year focus was to sell own QC handled by Emazing Deals presence across India
• Set up 18,000 sqft warehouse in Mumbai
brands and develop more • A number of top local and
• Our product sale count reached 8 million
brands for online international brands coming on
leading to a revenue growth of 400% with
• Achieved annual sale of 5 active customer base increasing by 500%
board
million in the first 3 months • Obtained drug license and worked with
• Being chosen by Amazon for
• Built our first FBA warehouse in Amazon to design and launch OTC many pilot projects
Mumbai medicine delivery through Amazon.In

2015 2016 2017 2018 2019

• Re-geared our strategy to focus • 2018 saw our huge growth with set up of 3
on niche categories not open to more FBA warehouses in Gurgaon (North
other retailers India), Bangalore (South), Tiruppur (South )
• Moved into a larger facility and • Flipkart’s FA – Flipkart Assured partnership
launched our first cold chain was added on and all warehouses were
Facility in Mumbai also made into Flipkart FA Warehouses
• Launched a number of in-house • Inventory sync between Flipkart and
brands Amazon across all warehouses
• 400% increase in sales

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Sales - 45% Avg. annual growth in sales since 2017

Annual Sales 2017-2019 (₹ million) Sales by Market Place (2019)

250 CAGR 45%


220

200 195 21%

150

100
72

50 79%

-
2017 2018 2019
Amzon.In Flipkart

Source: Amazon.In and Flipkart Page 6


Our footprint – 38,000 sqft warehousing space across India
New Delhi Kolkata
• Warehouse • Warehouse
• 5 employees • 5 employees
• 6000 sqft warehouse New Delhi • 3000 sqft warehouse
• Covers North India zone • Covers East India
• Offers 1 day delivery in Delhi • Offers 1 Day Deliver in
NCR Kolkata and Patna

Mumbai Kolkata
Bangalore
• Head Office & warehouse • Warehouse
• 12 employees • 5 employees
• 18,000 sq ft warehouse • 6000 sq ft warehouse
• Covers West India • Covers South India
• Offers 1 day delivery in • Offers 1 days deliver in
Mumbai
Mumbai Pune and Bangalore - Cochin
Hyderabad
Ahmedabad

Hyderabad Tirrupur
• Exclusive Mondlez • Warehouse
warehouse • 4 employees
• 3 employees • 1,800 sqft warehouse
• 2,900 sqft warehouse Bangalore • Special Pilot Project of
• Exclusive within depot of “Print on Demand” T-shirts
Mondelez Tirrupur • Merch by Amazon India

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Our top brands and Key Projects

Our Pilot Projects with Amazon.In

1. OTC medicines launched


by Emazing deals
on Amazon.In - next in line
is delivery of prescription
medicines

2. MERCH BY AMAZON -
successful project in India
now coming into India -
first 4 months handled
exclusively by Emazing @
their platform

3. Only one to do Fresh Fruits


@ Amazon.In marketplace
- Alfonso mangos

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We are Strategic Partner of Amazon.In

January 2018 – Amazon SAM Account – Strategic Account


SAM provides us following strategic advantages over
thousands of sellers on Amazon.In
2017 was a turning point in
• Dedicated Account Managers by Amazon.In from their our relationship with
Head Office in Bangalore Amazon as we were offered
• Privy to Amazon’s sales data estimates an unique partnership
• Privy to all Sales Days events and banners on top though which Emazing’s
categories own warehouse was
• Dedicated Ads Manager to manage Emazing Ads
transformed into a FBA
• Connect & Tie up with Top Brands
• Insight into future launched and trends Warehouse.
• Data shared location wise/region wise/brand wise
(which helps us in stock planning) As a result, our sales volume
• Connect with all Category Manager at Amazon.In grew by 4 times from 200
per day to 800 per day

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Advantages of FBA/PRIME- higher conversion ratio of over 80%

Data reveals the conversion rate is highest on FBA/Prime listings. It


accounts for over 80% sales @ Amazon

• All listings were tagged with the FBA logo – essentially meaning all QC
was done by Amazon and product is genuine
• Quick Delivery (1-2 days) possible only with FBA listing
• 24x7 inward possible
• Unlimited inward
• FBA listings appear higher in the search pages
• “BUY NOW Button” ( preference on other sellers)
• Automatic enrollment into special PRIME ONLY / PRIME Day Sale Events

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Customer Satisfaction – 99% Positive Rating on Amazon.In

https://www.amazon.in/sp?_encoding=UTF8&asin=&isAmazonFulfilled=1&isCBA=&marketplaceID=A21TJRUUN4KGV&orderID=&seller=A4LVP28KCWLSZ&tab=&vasStoreID=
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Key Projects - OTC Drugs by Amazon

Background
• Amazon launched OTC drugs (for non-prescription items) and chose Amazon is now
us (Emazing Deals) as their exclusive partners as we had drug license
all across India. We worked with Amazon to setup the entire SOP from planning to launch
order to pack to dispatch and delivery in accordance with legal
requirements.
prescription
Key Challenges and How We Added Value? drugs soon. We being
• The biggest challenge here was that every order had to carry a there with Amazon from
drug license invoice which was not possible through Amazon.In
system. Change in Amazon’s system were not possible. So, we were the start and their
tasked by Amazon to find out a solution.
Strategic Partners will
• Our team worked hard and came out with a innovative solution - we
set up a pharmacy software in our warehouses. The information about get first mover
all OTC drugs (batch code, expiry dates etc.) is recorded both in
Amazon System as well as this Pharmacy software. advantage and
• Further, we worked with the software company to customize the preference during the
invoice printing in a manner where it provide all the product relate info
required by law along with Amazon’s standard invoicing. launch of this new
Outcome product line.
• This SOP was approved by Amazon’s legal team and OTC medicines
are sold through Amazon using our proposed SOP.
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Key Projects – Seller Fulfilled PRIME NOW – Geo Tagging

Background
• Temperature-controlled products (e.g. chocolates) has a sizable online market in
India but Amazon was not able to capture it. This was mainly due to the reason
that Amazon neither had cold storage facility nor the refrigerated trucks. Delivery
Geo-tagging was a
target could be at far distance and during high temperature summer months,
there was a risk that product could melt during transportation. Amazon asked us
game-changer for
to workout a solution for this.
online sale of
Key Challenges and How We Added Value?
• Use of cold gel packs was a quick solution as it can keep the product cold for 36-
chocolates.
48 hours but it did not solve the problem as the orders could come from areas at
distance beyond the above timeline. At the same time, Amazon had no Seller Fullfilled Prime
mechanism to restrict orders from areas where delivery with gel packs was not
possible. Now is now graduating
• To tackle this problem, we started a pilot project with Amazon through which we
geo-tagged each product’s SKU to the respective PIN codes of the areas which
into Amazon –with a
can be covered with gel packs. All other pin codes would see the product as out
of stock
different app offering
• For this purpose, we tied up with a courier company and configured their pin prompt deliveries to the
codes onto the SKUs. Further amazon gave us the PRIME tag as well for these self
shipped orders. customers.
Outcome
• Through this geo-tagging, we were able to sell temperature sensitive chocolates
for the first time with top brands such as Cadbury. This was the first time that
Cadbury was able to successfully online sell the project during summer.
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Key Projects – Merch by Amazon - INDIA

Background
• Merch By Amazon is a hugely successfully project at Amazon.com
where a designer can upload his/her design and the same is
superimposed on the product and listed @ Amazon. The Designer is Merch By Amazon @
paid for every sale.
How We Added Value?
USA sells close to
• Emazing was selected as exclusive partner by Amazon.In for the first 4 80,000 tees per day.
months to launch Merch when technology was transferred from USA to
India. This project promises to
• A Complete solution developed and managed by Emazing Deals. A be even larger in India
custom made platform, designs.emazing.in, was developed by
Amazon. All designer were enrolled and all designs as well as all mock- given its sheer size/
ups were uploaded to the above platform.
population
• Once tech transfer is complete the designers + Designs/data will be
transferred onto Amazon India Platform.
• All orders are fulfilled exclusively by Emazing Deals (for first four months)
with the DTG set up at Tirrupur
Outcome
• Since its launch, over 200 designers enrolled and designs being
uploaded in large numbers.
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Flipkart’s Platinum Seller – We among the only few in India

FLIPKART – Platinum Seller Program

• Only a handful of sellers across India were nominated


as PLATINUM SELLERS and offered an unbelievably low-
cost structure
• This was done brand wise to increase brand sales and
visibility
• Rate card on similar lines with mega e-retailers such as
Retail Net and Cloudtail
• 63 brands approved for Emazing Deals Account
• A lot of brands which offered less margins were now
made viable
• Could sell singles instead of combos
• Sales grew exponentially by 150% and growing ( sept
2019 onwards)
• Huge potential for further growth

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We are Flipkart’s “Assured” Partner

FLIPKART ASSURED - FLIPKART LITE - PROGRAM

• Seeing the plethora of Brands signed up, Flipkart too


offered us their partnership similar to FBA – called FA –
Flipkart Assured
• Assigned a Manager @ Flipkart Bangalore to handle
our account and thereafter business rose exponentially
• No appointment required- No Space Limit – No
Restriction of Category/Product Type
• Can convert new or old listings into FA

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Experienced Team

Tawheed Sofia Nikesh Mehta Amit Dhawan Suhel Ansari


Chief Operating
Founding Partner Founding Partner Partner
Officer
CEO Head of Logistics Brand Engagement
E : suhel@emazing.in
E: tawheed@emazing.in E: Nikesh@emazing.in E: amit@emazing.in
M : +91 97943 42367
M:+91 98200 25103 M:+91 98202 77534 M: +91 98338 95423

• Two Post-Graduate Masters • Nikesh is a retail veteran with • Amit leads the product • Suhel is a Graduate in Business
Degrees in Business over 15 years of experience in development and band Administration and Diploma in
Administration and Law retail logistics management. management at Emazing Electronics Engineering
• Over 20 years experience in • Nikesh heads Emazing’ • He is also responsible for • He handles overall operations
E-Commerce logistics and warehouse managing Emazing’s in-house of the company and is
• Specialized in total 360 operations across India. brands responsible for day-to-day
degrees operations • Graduate in Business brand coordination, reporting,
Administration vendor management and

+
inventory management

Supported by an operations and administrative team of 34 people located across our


HQ and six warehouse locations

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2 – What is next for us?
Indian E-Commerce Market – Massive growth opportunity
Overview of Indian E-commerce Market Indian E-Commerce Market Size
• Exponential growth in Indian E-Commerce since 2014 – 29% ($ billion) 200
average annual growth in sales
150
• Over the next 5-6 years the Indian E-commerce market is
expected to reach US$ 200 billion by 2026 from US$ 38.5 billion
in 2017. 64
50
• By 2034 it is expected to become the second largest E- 39
14 20
commerce market in the world surpassing the USA.
• Strong demand/growth fundamental - a young demographic 2014 2015 2017 2018f 2020f 2022f 2026f
profile, modest economic growth, rising income level,
increased 4G/smartphone penetration and increased
urbanization
Internet Users in India (Million) 829
• As of June 2018, internet subscribers in India stood at 512.26
million people. Each month, India is adding approximately 10 700
million daily active internet users to the internet community 512
supporting the ecommerce industry which is the highest rate 446
in the world.
• With growing internet penetration, internet users in India are
expected to increase from 445.96 million in 2017 to 829 million
by 2021.
2017 Q2 2018 2020 2021
Source: Indian Brand Equity Foundation (IBEF)
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Market Trends – Key themes to follow
Share of online retail will increase to 5% from current 2.9%
1
• In addition to overall growth in retail market, the share of online retail is also expected to growth significantly
having a dual impact on the online retail market value.
• The number of online shoppers is expected to increase from 120 million in 2018 to 175 million by 2020 and 220
million by 2025.

2 Tier II and smaller cities will drive growth


• With cost of servicing Tier-II and other smaller cities going down, most of e-retail’s growth in the country is going to
come from there.
• E-commerce focused logistics service provides (LSPs) will emerge and grow providing extensive market coverage to
e-retailers which currently are under served.

3 New & innovative product categories will add to market place


• By 2018, Electronics was the biggest contributor to online retail sales in India with a share of 48%, followed closely by
apparel at 29%. By 2025, non-electronics categories are expected to take 80 per cent share in online retail in India.

Government Support and FDI Flow will flourish


4
• Government initiatives like Digital India are constantly introducing people to online modes of commerce.
• Favourable FDI policy is attracting key players. Increasing FDI inflows, domestic investment, support from key
industrial players is helping in the growth of E- commerce

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Our Future Strategy – Form strategic partnerships to expand
Using our propriety capital and through
recapitalization of profits, we were able to
Capitalize our relationship with Amazon to continue growth in current business: increase our sales from mere ₹72 million in
• Design and implement new strategies to propel sales growth in currently served
Focus 2017 to ₹220 million 2019. Till-date, we
markets as well as launch in new cities
• Explore backward integration opportunities to optimize profit margins have zero leverage on our business except
small working capital lines.

Inline with overall market trends and based


Diversify portfolio through new product lines and geographical reach
• Launch new product lines offered by Amazon.In on our strong performance in past three
Diversify • Identifying niche market/new product lines based on market data years, we see a strong growth trajectory
• Entry into new cities for our business in coming years.

We very strongly believe that, over next


203 years, there is a strong opportunity to
Increase market reach and improve margins through synergetic partnerships double our sales from the 2019 level of
with: ₹220 million.
Partner • Third party manufacturers and/or traders to exclusively launch, market and
sell their products/portfolios on Amazon.In and Flipkart TO EXPLOIT THIS OPPORTUNNITY, WE ARE
• Partnership with E-commerce focused LSPs LOOKING FOR FINANCIAL & STRATEGIC
PARTNERS TO JOIN HANDS WITH US TO
TAKE THIS BUSINESS TO THE NEXT LEVEL
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Contact Details

Tawheed Sofia
Founding Partner and CEO

E: tawheed@emazing.in
M:+91 98200 25103

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