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Showing posts with the label Apple

Buying Cars Online is Passe

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After coming back home from the Voting Booth, I was sipping my 3 rd  cup of coffee watching breakfast news on Tv. I showed my kids and wife, meanwhile two AVs of Tata Safari, the one which was produced in the late 1990s and the one produced this year. They were pretty impressed than I thought, honesty. Then I showed a Youtube Review of the vehicle. Though the reviewer spoke in Hindi, which kids do not understand exactly, he showed the features of the vehicle one after the other and having spent all their life in a single 4-W model, that is our beloved XUV500, they were mighty impressed with the newness that the Safari bought to experience. And mind you, all this even as we were watching a review of the model on a SmartTv.  One day in 2012, my wife and I went around looking for an upgrade to our Hyundai Verna. Having shifted to Chennai from Bangalore and with both our parents around here, we thought a slightly larger vehicle (read: 7 seater) would be useful for long drives. We saw a few

WFH – Boon to Retailers & Brands

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Many companies have advised their employees to plan WFH until end of this Calendar year. This means a good / happy news as well as a significant job loss for millions. That more people will lose lives and livelihood for the grave mistakes of themselves and the Governments across the world is a reality that we are staring at. However, the eternal optimist that I am, I can already see green shoots in certain segments of the consumer business. Some of you may recall that during my Webinar sessions in the months of April & May, I had referred to certain categories which is only bound to increase if not at least sustain its current business opportunity. Most of the daily household items have seen consistent growth even during the extended lockdown while Food related FMCG have shown tremendous growth. Categories such as Coffee, Tea, Sugar, Flours & Pulses have seen a spurt in sales for many brands while Retailers, albeit with a shortened operating time than before, are not complain

Luxury Retailing - Retail 2020 (Article #3)

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I started my career in Retail in 1997 scooping ice-cream at Baskin Robbins’ second outlet in India and first in Chennai (then, Madras). As the current decade comes to an end and an exciting one unfolds, I am writing a series of 20 articles over 20 days (10 in Dec ’19 starting 22/12 and 10 in Jan ’20) on the various Retail developments I have personally witnessed since 2001 onwards. Today, I have written about the Luxury Retailing Industry which is pegged at US $ 1.3 Trillion globally and growing at a CAGR of 12%. Many years before when I was responsible for setting up India’s first ever retail arena at India’s first private airport at Bangalore in 2006, I had a special focus on creating a luxury retail zone. When I approached global brands like Apple, GAP, Omega and many others in India and abroad, they didn’t evince much interest. For India was not even a budding Luxury market then. Mont Blanc writing instruments, which is among the Top Brands sold across Airports worldwide di

Self-Checkout or Assisted

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Earlier, I wrote in my article for The Economic Times about how Self-Checkout or even an assisted one would make a cut in the Indian scenario even as Indians are embracing E-Commerce like no other and the Indian E-Commerce business is expected to cross over USD 50 Billion by 2025 by various estimates. Meanwhile, the Retail Industry in India is pegged at USD 500 Billion with just about 10% being Organised or even semi-Organised (meaning those shopkeepers who use some form of PoS for Billing & Accounting). Almost half of the semi-organised Retailers do not have an end to-end PoS solution and this is the latest trending opportunity in the realm of Retail Entrepreneurship with a number of existing players upping their ante while a whole lot of new technology is being tested and introduced by new Start-Ups. Interesting days ahead indeed. Meanwhile, I visited the Apple Store on Orchard Road at Singapore during my recent vacation to the Country. It’s been 11 years since I trave

My i Vs. Mi Experiences

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I purchased my Mobile SIM card for the first time in the year 2002 in Chennai from Aircel and that number is still active. My my first handset was an Ericsson followed by Samsung R220, the first mobile phone launched in India with a multi-colour display. This was followed by a few Nokia models over a decade and a Sony Ericsson P1i before I finally moved to Blackberry. A few models and 4 years later, I moved on to the Apple Ecosystem with iPhone 4S in 2011. I upgraded to 5S, 6 and 7 over the years as well as including other i-Devices such as 3 generations of iPod, 2 variants of iPads, a MacBook, Apple Tv and finally an iWatch. With a paid plan for Apple Music and a huge storage on iCloud, I don’t have to worry about my stuff on the hard disk anymore, for its all safe and secure, “Up in the Air”. Hopefully. With a seamless integration within the iOS, it is almost impossible for me to move out of the Apple Ecosystem anymore and I guess I will remain clued in here. however, when the anno

EMIs to the rescue of Retailers

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I have been receiving emailers from Bajaj Finance, one of the largest consumer finance companies in the country for a long time now, ever since I bought a couple of stuff using their services 5 years back. I still haven't unsubscribed to their mails, hoping that I get to gain a lot of insights into Consumer Behavior day in and day out. The one that I received today was a bit surprising... Even as I just finished my daily quota of early morning news releases, Bajaj Finance sends me an email that the newly launched iPhone6 can be bought using their services through EMIs, while Apple had announced earlier in the day that they have advised Retailers to discontinue the EMI Schemes specifically for the newly launched models due to overwhelming response and low stock quantity. Wonder where the communication channels failed between Apple, the Retailer and the Financing Company, clearly that there was an overlap of information to consumers which is misleading. Leading Retail chains such a

The iPhone Saga continues...

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When I posted on my Facebook page at 11.35pm on the night of 16 Oct. 2014 that I was the first in the city of Chennai to receive a 64 GB Gold variant of the iPhone 6, someone sarcastically quipped "So?!?" Well. It was no big deal. Really. Anyone could have been the first one if they had put in the effort. And for me, it was pure fun. And a Retailer's delight too - to see how a Retailer delights his customers through completing a much anticipated and well hyped "transaction". In many parts of the country, the event was quite publicized and draw discerning customers to the Retail Stores - one retailer in Chennai had gone a step ahead to rope in leading actress Hansika Motwani to do the honours. India's largest mobile store chain, The Mobile Store took a full page Ad in national newspapers urging people to preorder and get the device in the midnight. Flipkart, India's largest ECommerce company along with rivals Snapdeal and Amazon was taking preorders pro

Sync-ing customers with Technology

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Smartphones have come a long way in India over the years. Until about ten years ago, the most popular phones for business purposes were BlackBerry followed by Nokia Feature Phones for personal uses. Others like Samsung, LG, Motorola, etc. had very limited models and therefore very less sales (penetration) as well. Things started changing with the launch of the Apple iPhone in 2007. The iPhone revolutionised the way people used mobile phones with its remarkable technology, style and utilities. As is quite famous about Apple Founder Steve Jobs, the company doesn't conduct much of surveys about user's needs - it rather provides features that users never thought they would need one - the most recent being the finger print scanner for unlocking the iPhone 5S which was the most recent launch in 2013. Samsung Electronics, which is one of the leading Electronics companies in the world has surged past others in less than half a decade to dominate the world's number one position in

Online Grocery Shopping

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There has been enough spoken and written about the Flipkart-Myntra deal. Online Commerce is no more a hype at the moment and there is no money to be made – that’s the response most subject matter experts are saying although they don’t want to be quoted since they are in various advisory capacities for many such companies. With a healthy two-digit margin, if offline Retailers are not able to succeed (read: profitable), then how would these companies survive- they ask. Having said that, there is not a single ECommerce company (in India) that has tasted profits yet. While many promoters have made millions of dollars collectively, the companies in question still remain unprofitable. I would presume that a very few of them would even be making unit level margins. Such is the discount structure and focus on Topline that these companies are almost forgetting that the main intention of a business is to create value through profitability and not just a valuation (to subsequent investors). Amon

Happy Hours on the Web

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The term “Happy Hours’ is better known for a “Buy One. Get One Drink Free” at most bars and restaurants all across the world. F&B Retailers have for long used this to lure customers to trickle in to their premises during the lean times, which is typically between 3pm – 8pm and Happy Hours are usually between 5pm – 8pm. While the margins on alcoholic beverages are quite high, say 200 – 500% on Sales, Restaurateurs forego some of it to get customers and utilize the time well and also hope that these customers would continue much after the Happy Hours are over. Also, consumption of food during the course of having a peg or a mug is quite high and hence they make money on it as well. I remember, a tony Restobar on Church Street in Bangalore offerred a group of 8 of us Happy HOurs even after 8pm, knowing fully well that the business that would arise out of our total consumption is well worth it. What is new, is that e-commerce companies are now promoting their “Happy Hours” to lure sho

Smartphones & Dumbphones

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In the early 2000s, there was only one mobile phone brand that was popular in India. It was none other than Nokia. It was considered the “Maruti” of mobile phones, with one model priced at a gap of a Thousand odd Rupees. Customers could choose from an array of models starting from a few thousands to a lot of thousands! Mid-2005, came the BlackBerry. A BB was the ultimate corporate tool that every executive carried; or rather wished he could carry. Over time, the company reduced the entry level prices and it was accessible to small time traders, entrepreneurs, businessmen and their ilk. The Late Steve Jobs, former CEO of Apple Inc. unveiled the iPhone to the public on January 9, 2007, at the Macworld 2007 convention at the Moscone Center in San Francisco. The two initial models, a 4 GB model priced at US$ 499 and an 8 GB model at US$ 599, went on sale in the United States on June 29, 2007, at 6:00 pm local time, while hundreds of customers lined up outside the stores nationwide. The pa

No more EMIs for shopping

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The Reserve Bank of India (RBI) has come very strongly against the ongoing practice of Retailers like Croma, The Mobile Store, Imagine, Univercell and many more in assosciation with product companies and Banks to offer interest free EMIs (Equated Monthly Instalments). Currently, Brands like Apple, Samsung and many others subsidise their products by passing on the margins to Banks in return for offerring interest free EMIs. Using a credit card, consumers can own their coveted piece of technology or household items by converting their purchases into convenient monthly payments instead of paying at one shot. Many people have bought their first iphone or other smartphones which offline and online retailers have been offering for quite a while. Believe me, it is indeed tempting. Instead of spending ₹45,000/- all together,  one could pay as low as ₹4,000 for 12 months without paying a penny as interest. Even though Consumers could have paid the full sum, they prefer to pay in instalments. Th

Product Vs. Experience

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A couple of days back, I was having a conversation with a colleague regarding Brand Experience versus Product specifications. He was of the view that a customer proposes to buy a certain brand or a product but the actual retail experience is utmost important to close the Sale. It got me thinking and the result of some intellectual head-scratching is this column. At the end of the day, it’s the product that the customer is ultimately going to use and may or may not remember the sales experience, especially for low-value items. In fact it may even qualify for certain high value purchases. For example, Bose which manufactures some of the finest sound systems in the world  advertises heavily online these days (in India), about its products. They are usually banner ads and I find them all across – there is a certain way the online advertisers follow you (which I will cover in a subsequent blog later). But I wonder what kind of experience that Bose is driving while advertising its products

Inviting patrons for a great feast

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The Hotel Industry in India is facing tough times ever since the global recession occurred a couple of years ago. In my current role at Royal Enfield as Head of Business Development, I travel atleast 2-3 days every week across the country. Whenever I try to book rooms in small and big cities, the room rates just surprises me. I was trying to look for rooms in Hyderabad for stay over the next few days and was surprised to find discounted rates at 5 star hotels for as low as Rs. 5000 (USD 90). The Leela and Grand Chola – both touted as 7 star rated properties in Chennai are offering over 40% discounts on printed rates, to as low as Rs. 7,000 (USD 130). Same is the case in Delhi, Gurgaon, Mumbai, Pune and is even worse in smaller towns. I stayed in Trichy, a city in central TamilNadu which connects a number of other towns of prominence in business and culture within a 100 km radius during the first week of May 2013. On the MakeMyTrip mobile app for the Apple iPhone, I could get a double r

Alternate ECommerce–Auction Sites

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There was a cover story about Alibaba.com, China’s largest ECommerce company in recent issue of The Economist. Quite a few facts. That it is turning out to be one of the largest ecommerce companies in the world, with sales of over $170 billion, which is Amazon and eBay put together. That it has a financing division, viz., AliFinance which provides micro credit to small firms and consumers; and that it has 6 million vendors registered on its site. What was started in 1999 by the firm’s founder, Mr. Jack Ma, an English Teacher as a B-2-B portal connecting small Chinese manufacturers to overseas buyers has now transformed into an internet behemoth. “EBay may be a shark in the ocean,” Mr Ma once said, “but I am a crocodile in the Yangzi river. If we fight in the ocean, we lose; but if we fight in the river, we win.”Taobao, a consumer-to-consumer portal not unlike eBay, features nearly a billion products and is one of the 20 most-visited websites globally. Tmall, a newish business-to-consum