A

PROJECT REPORT
ON
MARKET POTENTIAL SURVEY FOR
E-MARKETING AND E-COMMERCE IN BARAMATI
CITY AREA
AT
DEORE CONSULTANCY SERVICES, PUNE
BY
HEMANT L. PADALKAR
B. Com
GUIDED BY
Prof. S. B. PAWAR
B.E. (Mech), MBA
SUBMITTED TO
"UNIVERSITY OF PUNE"
IN PARTIAL FULFILLMENT OF THE REQUIREMENT
FOR THE AWARD OF THE DEGREE OF MASTER OF
BUSINESS ADMINISTRATION (MBA)
THROUGH
S.V.P.M.S INSTITUTE OF MANAGEMENT
MALEGAON (BK), BARAMATI
(YEAR: 2010-2012)

Acknowledgement
A journey starts with a single step. It is my great pleasure and proud to be able to
complete and present this project report on Market potential survey for E-Marketing and
E-Commerce in Baramati city area within the given span of time. The completion of this
project work is an important beginning and a milestone in my professional life and the
completion of the same was possible only with the inspiring and valuable guidance, cooperation and united support rendered to me by. Mr. Ankush Deore, Director, Deore
Consultancy Services Pvt. Ltd. Pune, Miss Ashwini Pilangwad and my other colleagues at
Deore Consultancy Services. Not only did they guided me in this project, but also taught me
the basic practical skills required to be a good manager. I am deeply indebted and thankful to
them for their valuable support and guidance.
I would like to thank Dr. S.S. Jadhav, Director, S.V.P.M.s Institute of Management,
for his valuable support and having faith in me. I am also thankful to my project guide
Prof. S. B. Pawar for his time to time guidance and valuable suggestions he has given
throughout the project work. I also want to thank Prof. Neelkanth Dhone for his continuous
support and motivation. It would be unfair if I forget my friends and family members who
have always encouraged me to carry on my project with the great zeal and undisturbed work
that helped me to concentrate on the given work to complete it within the stipulated period.
I express my sincere thanks to all of those who supported me directly or indirectly in
carrying out this project.
I would also like to thanks all the respondents for giving me their precious time and
relevant information and experience that I required, without which this project would have
been a different story.

HEMANT LAXMAN PADALKAR

DECLARATION

I, the undersigned hereby declare that the Project Report entitled Market
potential survey for E-Marketing and E-Commerce in Baramati city area
written and submitted by me to the University of Pune, Pune in partial fulfillment of
the requirements for the award of degree of Master of Business Administration under
the guidance of Prof. S. B. Pawar is my original work and conclusion drawn therein
are based on material collected by myself.

Place:
Date:

HEMANT LAXMAN PADALKAR

CERTIFICATE

TO WHOM SO EVER IT MAY CONCERN

This is to certify that HEMANT PADALKAR is a bonafide student of
S.V.P.Ms INSTITUTE OF MANAGEMENT. He has successfully carried out his
summer project titled MARKET POTENTIAL SURVEY FOR E-MARKETING
AND

E-COMMERCE

IN

BARAMATI

CITY

AREA

AT

DEORE

CONSULTANCY SERVICES, PUNE in the partial fulfillment of Master of

Business Administration course of University of Pune (2011 - 2012).
He has worked under our guidance and direction. His work is found to be
good and complete in all respect. During the period we found him hardworking,
sincere and loyal. We wish him all the best for future.

PROF. S. B. PAWAR

DR. S.S. JADHAV

(PROJECT GUIDE)

(DIRECTOR)

INDEX

SR.NO.

PARTICULARS

PAGE NO.

Introduction

1 20

1.1

Theoretical background

7 17

1.2

Market segmentation

18 19

1.3

Scope

20 20

II

Company Profile

21 30

2.1

Product Profile

26 30

III

Objectives

31 31

IV

Research Methodology

32 36

Data Analysis

37 46

5.1

Current Statistics

37 38

5.2

Data Analysis and Interpretation

39 46

VI

Findings

47 48

VII

Suggestions

49 49

VIII

Conclusion

50 50

IX

Bibliography

51 52

Annexure

53 57

List of tables
SR.NO.
1

2
3
4

PARTICULARS
Internet Users in the world as on March 31st
2011
World Internet Penetration Rates as on March
31st 2011
India Internet Usage and Population Statistics
Distribution of companies based on type of
business
Distribution of companies based on annual
turnover
Distribution of companies based on operating
area
Distribution of companies based on owning of a
website

PAGE NO.
37

37
38
39

40

41

42

Distribution of companies based on awareness

8

about E-Marketing and E-Commerce

43

Distribution based successful online / credit card

9

transactions carried by an indivisual

44

Distribution based on companies selling their

10

11

products online
Distribution based on willingness of companies
to sale their products online

45

46

List of figures
SR.NO.
1

2
3
4

PARTICULARS
Percentage of Internet Users in the world as on
March 31st 2011
World Internet Penetration Rates as on March
31st 2011
India Internet Usage and Population Statistics
Distribution of companies based on type of
business
Distribution of companies based on annual
turnover
Distribution of companies based on operating
area
Distribution of companies based on owning of a
website

PAGE NO.
37

37
38
39

40

41

42

Distribution of companies based on awareness

8

about E-Marketing and E-Commerce

43

Distribution based successful online / credit card

9

transactions carried by an indivisual

44

Distribution based on companies selling their

10

11

products online
Distribution based on willingness of companies
to sale their products online

45

46

Introduction

Introduction
There is no doubt about it the Internet has changed the world we live
in. Never before has it been so easy to access information, communicate with
people all over the globe and share articles, videos, photos and all manner of
media.
The Internet has led to an increasingly connected environment, and the
growth of Internet usage has resulted in declining distribution of traditional
media: television, radio, newspapers and magazines. Marketing in this
connected environment and using that connectivity to market is E-Marketing.
E-Marketing embraces a wide range of strategies, but what underpins
successful E-Marketing is a user-centric and cohesive approach to these
strategies.
Marketing is about conversations, and the Internet has become a hub of
conversations. The connected nature of the Internet allows us to follow and
track these conversations, and provides entry points for all parties.
The increasing use of Internet has forced organizations to enhance their
operations online. Internet subscribers in India have already crossed over 100
million internet user base (of which 40 million people in India access the
Internet from work, 30 million from Cafes, 12.32 million households have a
broadband connection installed), and another 40 million Internet users in India
access internet through their mobile phones. The IT industry is expecting

internet penetration rate to increase from the current rate of 6.9%, which shows
that their lies a bright future for the e-marketing and E-Commerce firms.
Advances in telecommunications and computer technologies in recent
years have made computer networks an integral part of the economic
infrastructure. More and more companies are facilitating transactions over web.
There has been tremendous competition to target each and every computer
owner who is connected to the Web. Although business-to-business
transactions play an important part in E-Commerce market, a share of ECommerce revenues in India is generated from business to consumer
transactions. E-Commerce provides multiple benefits to the consumers in form
of availability of goods at lower cost, wider choice and saves time. People can
buy goods with a click of mouse button without moving out of their house or
office. Most experts believe that overall E-Commerce will increase
exponentially in coming years. Business to business transactions will represent
the largest revenue but online retailing will also enjoy a drastic growth. Online
businesses like financial services, travel, entertainment, and groceries are all
likely to grow.
For developing countries like India, E-Commerce offers considerable
opportunity. It is believed that low cost of personal computers, a growing
installed base for Internet users will help fuel E-Commerce growth in India.
According to a McKinsey-Nasscom report by the year 2012, E-Commerce
transactions in India are expected to reach $150 billion. Indian middle class of
288 million people is equal to the entire U.S. consumer base. This makes India
2

a real attractive market for e-commerce. There has been a rise in the number of
companies taking up E-Commerce in the recent past. Major Indian portal sites
have also shifted towards E-Commerce instead of depending on advertising
revenue. Many sites are now selling a diverse range of products and services
from flowers, greeting cards, and movie tickets to groceries, electronic gadgets,
and computers. With stock exchanges coming online the time for true ECommerce in India has finally arrived.
There are many challenges faced by E-Commerce sites in India. The
relatively small credit card population and lack of awareness among general
public create a variety of payment challenges. Delivery of goods to consumer
by couriers and postal services is not very reliable in smaller cities, towns and
rural areas. However, many Indian Banks have put the Internet banking
facilities in place for the upcoming E-Commerce market. The speed post and
courier system has also improved tremendously in recent years. Modern
computer technology like secured socket layer (SSL) helps to protect against
payment fraud, and to share information with suppliers and business partners.
With further improvement in payment and delivery system it is expected that
India will soon become a major player in the E-Commerce market.
While many companies, organizations, and communities in India are
beginning to take advantage of the potential of E-Commerce, critical
challenges remain to be overcome before E-Commerce would become an asset
for common people.

Organizations are starting to provide E-Commerce facilities like B2B,

B2C etc. to create value for their customers and to increase their competitive
edge in face of a fierce competition. There have been ballooning growths in
online retailers in past few years websites such as flipkart.com, infibeam.com
and ebay.in have seen phenomenal success in past few years.
Consumers, on the other hand change rapidly from one website to other
as it very easy to find best deals online on different websites and all it takes is a
click on a link and you can visit a competitors website which may offer more
attractive deals for products you are looking for, also there are other reasons for
losing consumers like effectiveness and friendliness of a website, logical
flow, webpage loading times, graphics, security feature, browser compatibility
and finally professional look.
Many new technologies like Near field communication, or NFC, allows
for simplified transactions, data exchange, and connections with a touch. It is
anticipated to become a widely used system for making payments by
Smartphone.
With help of many payment options like - cash on delivery (COD), use
of credit cards, debit cards, credit cards with EMI facility, netbanking/ bank
transfer, mobile/ cash cards it has become very easy to shop for anything
online. As all retailers online provide strict security for all products, they
mostly provide guaranties such as 7 days return, no questions asked policy,
in transit insurance, etc., it has become more secure to shop online.

With increase of integration of logistics with online retail business, it

has decrease the lag time between placing of order and delivery of product.
Nowadays products are delivered within days to the customer as oppose to
weeks previously. All the E-Commerce business have integrated and
streamlined their business activity with logistics which provides both pickup
and drop facilities and hence decrease lag time.
E-Commerce and E-Marketing has lot of potential in India, only
hindrance is the ambiguity in minds of both customer and retailers. There has
been little or no awareness about these mediums and hence traditional
businesses shy away from getting involved in online trading. Same goes for the
consumers - general public is still scared to do transactions online. Almost all
banks offer some form of security/ protection for online transactions which in
turn has made hacking and online fraud impossible. Security measures such as
requirement of a passcode (sent only to registered mobile of account holder) for
completion of a transaction has made it impossible to complete transaction
without this pass code.
With increasing no. of broadband users and recent entry of 3G in India
there is going to be ballooning growth of internet users, all of which can be
prospective customers for any kind of online business. It has become more
economical for new entrepreneurs to start new ventures online due to low
capital requirements. Anybody with little knowledge of internet can start
selling online. Websites such as eBay provide you with all required facilities
and tools to setup your shop online without you having to know anything about
5

coding etc., everything is automated right from the point of placing of an order
to the time it is delivered to the customer.
E-Commerce in India still has huge untapped potential & will continue
to grow robustly. There are multinational companies like amazon.com coming
to India from abroad as they want to expand their market beyond their local
country, and they are looking to tap into the potential of Indian market. People
are getting more and more web savvy when it comes to cell phones. We will
see the integration of E-Commerce with other technologies out there such as
social networks which will play a major role in the E-Commerce world. Social
networks such as facebook can influence the popularity of a product.
Looking at the near future, E-Commerce will become an industrial
revolution in India. I have been an avid online shopper since 2004, when I got
my first savings account with net banking facility from Axis Bank. I have
shopped from numerous website and had experienced both positive and
negative aspects of online shopping. I wanted to know both consumers and
retailers opinions about E-Commerce and E-Marketing and wanted to find out
about public awareness and willingness to shop/ sale online and hence chose EMarketing and E-Commerce as subject for my project.

1.1

Theoretical
Background

E-Marketing
Definition and scope:
Internet marketing or E-Marketing is a component of electronic
commerce. Internet marketing is also referred to as Online Marketing. EMarketing can sometimes include information management, public relations,
customer service, and sales. Recently E-Commerce and E-Marketing have
become popular due to increase in widespread availability of internet services.
E-Marketing is nothing but the use of information technology for
creating, communicating, and delivering value to the customer, and also for
managing customer relationship such as it benefits the organization and its
shareholders. To put it more simply - E-Marketing is application of information
technology on traditional marketing.
E-Marketing affects traditional marketing in two ways:
1) It increases efficiency and effectiveness in traditional marketing
functions.
2) The technology of E-Marketing transforms many marketing strategies
which results in new business models that add customer value and/or
increase company profitability.
Rapid growth of the internet and the subsequent bursting of the DOT
COM bubble coupled with mainstreaming of the internet and related
technologies

created

todays

climate

for

marketing

convergence.

Comprehensive integration of E-Marketing and traditional marketing allowed

7

creating seamless strategies and tactics. Many digital technologies such as the
mobile phone also converged with the digital camera and personal digital
association (PDA). Convergence is an important theme for e-marketing.
How does e-marketing relate to business?
E-Business is the continuous optimization of firms business activities
through digital technology. E-Business involves attracting and retaining the
right customers and business partners. It integrates business processes, such as
product buying and selling. It includes digital communication, E-Commerce
and online research, and it is used by every business discipline. E-Commerce is
the subset of eBusiness which focuses on transactions. E-Marketing is only one
part of an organizations eBusiness activities.

Business models:
Internet marketing is associated with several business models. The main
models include
Business-to-Business (B2B)
Business-to-Consumer (B2C).
Peer-to-Peer (P2P)
B2B consists of companies doing business with each other, whereas
B2C involves companies selling directly to the end consumer. B2C model was
first to emerge when Internet marketing started, B2B transactions were more
complex and came about later. The third less common business model is peerto-peer (P2P) in this model individuals exchange goods between themselves.
8

Benefits of e-marketing:
E-Marketing gives businesses of any size access to the mass market at
an affordable price, and unlike TV or print advertising it allows truly
personalized/ targeted marketing. Specific benefits of E-Marketing include:
Global reach - A website can reach anyone in the world who has
Internet access. This allows you to find new markets and compete
globally.
Lower cost - A properly planned and effectively targeted E-Marketing
campaign can reach the right customers at a much lower cost than
traditional marketing methods. Also investment needed to start an ECommerce business is far less compared to traditional business.
Traceable, measurable results email or banner advertising makes it
easier to trace how effective a campaign has been. It is possible to obtain
detailed information about customers responses to an advertisement or
how many times an advertisement has been clicked. It is even possible
to know how many times the mouse cursor hovered in and out of an
advertisement.
24x7 marketing Having an E-Commerce website or putting an
advertisement online makes it possible for prospective customers to find
out about products and buy products from a website 24 hours a day and
7 days a week even when shops are closed. This gives the customer
freedom of shopping any time he desires.
9

 Personalization - If customer database is linked to a website it is

possible that whenever a returning customer visits the website a
customer specific targeted offer is displayed to that customer which can
be based on past shopping data stored on the website servers. The more
the customer buys the customers profile is refined and it is possible to
target offers more effectively to that customer.
One-to-one marketing - E-Marketing make it possible for companies to
approach people who want to know about companys products and
services instantly. For example, many people take mobile phones and
PDAs wherever they go; combine this with the personalized aspect of EMarketing this makes it possible to create very powerful, targeted
campaigns.
More interesting campaigns - E-Marketing lets companies to create
interactive campaigns using music, graphics, animation and videos. An
advertisement can be in any form like a game, quiz, animated banner or
in general anything that can attract or generate customers interest in the
product.
Better conversion rate - If a company has a website it is possible for a
customer to purchase any of the companys products by click a few links
on the website which is unlike any other media which requires people to
get up and make a phone call or post a letter or go to a shop and spend
hours browsing and searching for a particular product. E-Marketing is
seamless.
10

Pay per click

Pay Per Click (PPC) is the hottest medium of online marketing today
and is likely to be strengthen in future. With growing popularity and the ease of
PPC, it can be regarded as a simple and effective way of Internet marketing
through which a company can reach a targeted market very fast in order to
generate more business leads and increase sales of the companys products and
services very easily.
PPC advertising needs a good planning which can help a company to
target product specific customers. Good planning is needed to generate
effective keywords so as to match with customers entered keyword about
companys products or services.
Another fact about PPC is that many advertisers are prohibited from
bidding on keywords since their ads click through rates are very low, but it
should be noted that that there are thousands of companies offering the same
product and services and are paying high for each click, so time will come,
when a companys ad will be removed due to its low ad click through rate,
therefore a company must focus on the way competitors are presenting
themselves and should be prepared to prove best among all. Company must
plan and generate unique and sophisticated keywords instead of common
terms, and also create an ad campaign strategy so as to represent its products.
In contrast to organic search engine listing, Pay Per Click does not
require extensive content management and link building campaigns, but it

11

should be kept in mind that sites landing page must contain all the information
that are needed to convince potential consumers.

Benefits of Pay Per Click Campaign:

It is the cost effective method of campaigning for business, products and
services.
Company can choose minimum bid on keywords.
Company will be linked only to targeted and potential buyers who are
actively searching for its products thus gaining accuracy in business.
It is a fast and easy medium of advertising for all kind of business as
there is probability of new prospective customers viewing the ad as soon
as the ad campaign is approved to go live.
Company can guide visitors to relevant page so as to significantly
improving their purchasing experience and making them more
inquisitive.
Thorough campaign report on daily, weekly or monthly basis a company
can effectively know about the progress of their campaign by just
logging into their account.

12

E-commerce
Electronic commerce, commonly known as E-Commerce, eCommerce
or e-comm, refers to the buying and selling of products or services over
electronic systems such as the Internet and other computer networks. However,
the term may refer to more than just buying and selling products online. It also
includes the entire online process of developing, marketing, selling, delivering,
servicing and paying for products and services. The amount of trade conducted
electronically has grown extraordinarily with widespread Internet usage. The
use of commerce is conducted in this way, spurring and drawing on
innovations in electronic funds transfer, supply chain management, Internet
marketing, online transaction processing, electronic data interchange (EDI),
inventory management systems, and automated data collection systems.
Modern electronic commerce typically uses the World Wide Web at least at
one point in the transaction's life-cycle, although it may encompass a wider
range of technologies such as e-mail, mobile devices and telephones as well.
A large percentage of electronic commerce is conducted entirely in
electronic form for virtual items such as access to premium content on a
website, but mostly electronic commerce involves the transportation of
physical items in some way. Online retailers are sometimes known as e-tailers
and online retail is sometimes known as e-tail. Almost all big retailers are now
electronically present on the World Wide Web.
Electronic commerce that takes place between businesses is referred to
as business-to-business or B2B. B2B can be open to all interested parties (e.g.
13

commodity exchange) or limited to specific, pre-qualified participants (private

electronic market). Electronic commerce that takes place between businesses
and consumers, on the other hand, is referred to as business-to-consumer or
B2C. This is the type of electronic commerce conducted by companies such as
Amazon.com. Online shopping is a form of electronic commerce where the
buyer is directly online to the seller's computer usually via the internet. There is
no intermediary service involved. The sale or purchase transaction is completed
electronically and interactively in real-time such as in Amazon.com for new
books. However in some cases, an intermediary may be present in a sale or
purchase transaction such as the transactions on eBay.com.
Electronic commerce is generally considered to be the sales aspect of ebusiness. It also consists of the exchange of data to facilitate the financing and
payment aspects of business transactions.

14

Limitations of E-Marketing and E-Commerce

Though there are advantages of internet marketing there are some
limitations that can create problems for both companies and consumers these
are as follows:
Slow Internet connections can cause irritating website loading time.
If a company builds overly large or a complicated website its users may
struggle to view or download the information available on the website.
Internet marketing does not allow shoppers to touch, smell, taste or try
tangible goods before making an purchase decision (some E-Commerce
vendors have implemented liberal return policies to reassure customers,
Germany for example introduced a law in 2000 Fernabsatzgesetz - later
incorporated into the BGB, this allows any buyer who has brought a
new product online to return the product on a no-questions-asked basis
and get a full refund on their purchase, this is one of the main reasons
why in Germany internet shopping became so popular.)
Another limiting factor particularly with respect to actual buying and
selling, is the adequate development (or lack thereof) of electronic
payment methods like e-checks, credit cards, etc.
Additionally, there is the need to drive people to the website. Without
other mediums like print, television or radio it can often be difficult for
the consumer or other businesses to find any specific address.

15

Security concerns:
For both companies and consumers that participate in online business,
security concerns are very important. Many consumers are hesitant to buy
items over the Internet because they do not trust that their personal information
will remain safe. Recently some companies that do business online have been
caught giving away or selling information like credit card no. of their
customers. Several of these companies have guarantees on their websites
claiming that customer information will be private. By selling customer
information these companies are breaking their own publicized policy. Some
companies that buy customer information offer the option for individuals to
have their information removed from the database (known as opting out).
However, many customers are unaware that their information is being shared
and are unable to stop the transfer of their information between companies.
Security concerns are of great importance and online companies have
been working hard to create solutions. Encryption is one of the main methods
for dealing with privacy and security concerns on the Internet. Encryption is
defined as the conversion of data into a form called a cipher, this cipher cannot
be easily intercepted unless an individual is authorized by the program or
company that does the encryption. In general, the stronger the cipher, the better
protected the data is. However, the stronger the cipher, the more expensive
encryption becomes.

16

17

1.2

Market
Segmentation

Market Segmentation
Bases of segmentation:
It is widely thought in marketing that segmentation is an art, not a
science. The key task is to find the variable or variables that split the market
into actionable segments.
There are two types of segmentation variables:
1) Needs

2) Profilers

The basic criterion for segmenting a market is customer needs. To find the
needs of customers in a market, it is necessary to undertake market research.
Profilers are the descriptive, measurable customer characteristics (such as
location, age, nationality, gender, income) that can be used to inform a
segmentation exercise.
The most common profilers used in customer segmentation include:
Geographic
Region of the country
Urban or rural
Demographic
Age, sex, family size
Income, occupation, education
Religion, race, nationality

18

 Psychographic
Social class
Lifestyle type
Personality type
Behavioral
Product usage - e.g. light, medium, heavy users
Brand loyalty: none, medium, high
Type of user (e.g. with meals, special occasions)
Market segmentation is carried out on the basis of location or geographic
area; here area under considered is Baramati city and the industrial areas
present in the outskirts of city. For this project we have targeted most of the
small and medium scale industries (SMI) and the big shops of specific
categories which have differential products for sale and have the capacity to go
beyond the specific/ defined boundaries of the market segments.

Target Market
Before a business can increase its sales it has to know about prospective
customers for its products/services. Just an ideology that company will sell its
products/ services to anyone is a bit being vague.Business needs to zero in on a
specific segment that needs companys products or services to figure out the
target market and use market segmentation to narrow it down.

19

1.3

Scope

Scope of project
1) The project is carried out in the Baramati city and the industrial zones
(MIDC) around it, so the data restricts to this segment only and the time
period in which the research was carried out was from 25th of May to
31st of July 2011.
2) This research is concerned only with E-Marketing and E-Commerce
products and does not relate to or involve with any the other products
and services carried out by Deore Consultancy services.

20

II

Company
Profile

Company Overview
Deore consultancy services is a growing Information Technology
Consulting and Software Services company located at Pune, India. Company
provides IT services for increasing efficiency and enhancing productivity while
reducing operating costs of businesses. Companys expertise lies in identifying
customers business goals, choosing the most appropriate technology and
efficiently designing & developing solutions to maximize customers return on
investment. Customer centric approach helps the company to provide best
possible solution for range of services.
Deore Consultancy Services Pvt. Ltd. deals in the website design and
various web solutions and IT solutions including e-commerce. Following are
some of the services offered by Deore Consultancy Services Pvt. Ltd.:
Custom Application Development
Web Solutions
Enterprise Application Services
System Integration
IT Consulting
IT Outsourcing

21

Vision Statement
To achieve a highly efficient and effective sustainable world, with each
individual having equal opportunity to enjoy its valuable resources in peaceful
manner.

Mission Statement
To enhance efficiency and effectiveness of our customers businesses by
providing them with most excellent and innovative information technology
solutions.

Core Ideology
Core values:
1) Truth: Truthfulness in business (legal and ethical practices). We will
conduct our business fairly with honesty and transparency.
2) Customer is at the highest priority. We shall strive for utmost customer
satisfaction and delight.
3) Quest for innovation and creativity. We shall consistently strive for
creativity and innovation in our organization.

Core purpose:
Company core purpose is the attainment of sustainable world.

22

Corporate overview
The corporate governance structure specifies distribution of rights
and responsibilities among different members in the corporation, such as, the
board, managers, shareholders and other stakeholders, and spells out the rules
and procedures for making decisions on corporate affairs. By doing this, it also
provides the structure through which the companys objectives are set, this
means to attain objectives and monitor performance. This section details our
board of directors in corporate structure.
Currently, founder director Mr. Ankush Deore and Ms Kalyani Joshi
constitute the board of Deore consultancy services. Company is in process of
selecting eligible professionals for its board of directors as well as board of
advisory positions.

Matrix organization:

23

Company follows matrix organization structures. Matrix organization

structure at DCS ensures that the project manager gets maximum autonomy
and authority for taking project related decisions which is key requirement for
the successful completion of the project.

Brief history
Deore consultancy services is a growing company in the search
for ways to make a difference in the world economy. Mr Ankush Deore,
chairman and founder director of the company started evaluating different
entrepreneurial opportunities since May 2001. In June 2004 he along with ms
Kalyani Joshi established Centre for Entrepreneurship and Business
Management (CEBM) to identify, evaluate and exploit business opportunities
across the globe and mainly to lay a strong foundation for a visionary company.
In march 2005, Deore Consultancy services Pvt. Ltd. was incorporated.
Currently Deore consultancy services is engaged in developing infrastructure
and establishing a global customer base.

24

Company Profile:

Name of the Company - Deore Consultancy Services Pvt. Ltd.

Location - Pune
Address - 204, Amit Court,
Old Tophkhana,
Memon Lane, Shivaji Nagar,
Pune, Maharashtra, India.
Pin Code - 411 005
Contact Person Mr. Ankush Deore, Director.

25

2.1

Products
Profile

Products
Deore QT
Finding out quantities has been tough task for construction companies
till date, process is tedious and time consuming but is equally important as
success of whole project rests on correct quantity estimates.
By keeping this unique need of construction companies, Deore
consultancy services has introduced special software solution Deore QT.
Extensive research of two and half years has finally fruited into a unique
quantity take off product with the desire to empower construction companies
with technology and improve their efficiency.

Deore Estimate
Deore Estimate is an end to end solution for carrying out the cost
estimation of various projects. It not only automates the estimation process but
also helps in generating various reports which are proving to be most important
documents while taking critical decisions.
As estimation is carried out in the initial phase of life cycle of the
project, its importance is highlighted with the fact that maximum cost reduction
can be carried out with effective and accurate estimation. Doing estimation
manually becomes time consuming and tedious when building plans are altered
many times before they are finalized. The cost involved goes up in this process.

26

Deore Inventory
Keeping inventory costs down is crucial to gain competitive advantage
in present global scenario. Managing inventory has never been easy as
demonstrated by Deore inventory. Effective management of inventory which
in turn results in cost reduction, has emerged as one of the biggest challenges
for management in most of the organization.
Deore inventory provides software solution for effective management
of inventory.

Deore CRM
Deore CRM empowers management to keep effective track of all the
customers enquiries along with assessing payment dues on day today basis.

Deore Purchase
Deore Purchase aims at optimizing procurement process at any
construction company which leads to reduction of paper work, increase in
efficiency of operation and in turn improves the profit.

Deore School
Automation of schools or colleges ha started with introduction of
computers. But just presence of computers is not enough. These machines need
to be equipped with necessary software which can take care of day today
administration, track the progress of students, analyze their performance, and

27

automate library functions etc. Deore School is a software solution offers all
of the above facilities.

Deore ORS
Deore ORS is an excellent assistant to any HR manager who now a
days has to spend a lot of time and effort scrutinizing and recruiting right kind
of people. Deore ORS not only streamlines the work but also helps in perfect
selection.

28

Services
Website designing and custom application development
Deore consultancy services provide custom application development
(CAD) and website development services which focus on delivering
customized development of software applications and interfaces as well as
enhancements to existing packaged applications or pre engineered templates
and support and provision of custom applications.

Search Engine Optimization (SEO)

It is observed that 92% of the online population visits a search engine
portal every day. Top ranking of a website in search engines generates more
traffic which results in more awareness about a company as well as increased
sales.
Search engine optimization (SEO) is a process of improving website
ranking among search engines. Improved rankings ensure more number of
visitors which in turn generates more business for company.

E-Commerce
E-Commerce is online shop which operates 24x7 . E-Commerce
solutions facilitate buyers to do business without any restrictions such as time
and location. It helps in creating a virtual office without a huge infrastructure.

29

Internet advertising and online branding

Internet has begun to make its presence in advertising world. In the
recent developments it has been observed that internet is becoming a major
channel of communication and information. Businesses abroad looking for
suppliers search on internet and contact those who have a web presence.
Internet advertising is one of the low cost medium of advertising which helps
in targeting domestic as well as international markets. Various researchers
indicate that Indians with access to the internet spend a considerable percentage
of their time online; it is thus natural that an increasing number of advertisers
and business are keen to advertise online.

IT outsourcing
IT outsourcing is the process of transferring an existing business
function or a part of a business function over to an external provider in order to
strategically use outside resources to perform activities previously handled in
the same organization.
IT Outsourcing (or contracting out) can also be defined as the
delegation of non- core operations or jobs from internal production within a
business to an external entity (such as a sub contractor) which specialize in
these operations

30

III

Objective

Title of the project

Market potential survey for E-Marketing and E-Commerce in Baramati
city area
(Covering areas under Baramati city and Baramati MIDC)

Primary objective:
To find out market potential related to E-Marketing and E-Commerce
for Deore Consultancy Services, within the premises of Baramati city.

Secondary objectives:
1) To find out the untapped market potential for IT products.
2) To find out the awareness about E-Marketing and E-Commerce.
3) To find out target market for Deore Consultancy Services.
To carry out awareness for Deore Consultancy Services.

31

IV

Research
Methodology

Research Methodology
Research is a scientific and systematic search for pertinent information
on a specific topic. Research is thus an original contribution to the existing
stock of knowledge making for its advancement it is the pursuit of truth with
the help of study, observation, comparison and experiment.

1) Descriptive research method

It includes surveys and fact-finding enquiries of different kind. The
major purpose of descriptive research is description of the state of affairs as it
exists at present the main characteristic of this research is that the researcher
has no control over the variables; he can only report what has happened or what
is happening.
By this method it was quite possible for me to gather important data and
state and compare present situations with the findings of my project.

2) Applied research method

Applied research aims at finding a solution for an immediate problem
facing a society or an industrial/ business organization. The central aim of the
applied research is to discover a solution for some pressing practical problems.
Whereas basic research is directed towards finding information that has a broad
base of applications, applied research adds to the already existing body of
scientific knowledge.
This method was useful to find out the data for the expansion plan and
the platform availability for expansion.
32

3) Qualitative research method

It involves investigating the reasons, discovering the underlying motives and
desires and using in depth interview for the purpose.
I have adopted field research method and interviewed the concerned persons by
means of a questionnaire having closed and open ended questions in it.

Sample Design
All the items under consideration in any field of enquiry constitute a
universe or population; from this universe we have selected only a few
items for our study purposes, this items so selected constitute what is
technically called a sample. Sample can be either probability samples or nonprobability samples. With probability samples each element has a known
probability of being included in the sample but the non-probability samples do
not allow the researchers to determine its probability.

Following sampling techniques were used

1) Deliberate sampling - This sampling technique involves purposive or
deliberate selection of particular units from the universe (here Baramati
city and the outskirts of it having various industrial zones constitute the
universe).
2) Simple random sampling - This type of sampling is also known as a
chance sampling or probability sampling where each and every item in
the universe has an equal chance of inclusion in the sample. For the
33

samples or the companies for which no database was present I visited

them randomly or made the cold calls to them and these companies were
approached through my own effort.
3) Convenience sampling - When population elements are selected for
inclusion in the sample based on the ease of access, it can be called
convenience sampling. I collected the data by using convenience
sampling methods such as from different newspapers, yellow pages,
industrial directory which were selected on the basis of easy access to
include them in the sample size.

Method of data collection

While deciding the method of data collection to be used for the study,
the researcher should keep in mind two types of data viz. Primary and
Secondary.

Primary Data
The primary data is the data which is collected afresh for the first time, and
thus happens to be original in content. The secondary data on the other hand is
the one which is collected by someone else and which has been passed through
the statistical process.
1) Interview method - Personal interview method is used for data
collection, using this method I contacted the concerned persons and
interviewed them and collected the relevant data.
34

2) Through questionnaire - Interview technique is followed by the

questionnaire format which consisted of various open and closed ended
questions.
3) Through e-mails - Where it was not possible to meet the concerned
persons I e-mailed them for further reference.

Secondary Data
Secondary data is the data which is already available I collected this data
from following sources:
1) Various publications of the central, state and local government.
2) Various publications of the foreign govt., international bodies and their
subsidiary organizations.
3) Technical and trade journals.
4) Books, magazines and news papers.
5) Various websites on the internet.

35

Limitations of the research

Though the survey for this project has been carried out to reach
meaningful conclusion and to provide recommendations on the basis of the
findings during the survey, but as we know that no project is ideal and hence in
reality this survey suffers from certain problems which acts as limitations of the
project these are as follows:
1. The real information may not be disclosed.
2. Interviewer can provide a biased data for avoiding further questioning or
as a security measure.
3. Limited time frame restricts the surveyor to come to the exact
conclusion and hence authenticity of the project can be questioned.
4. The sample selected for the survey may not represent the exact universe
or all of the population.
5. As the company is newly established and brand name of the company is
not so known, some of the respondents didnt entertain any requests for
an interview.
6. The collected data is mainly focuses medium and small scale industries
(MSI) only. So the results and findings are applicable to these
companies only.

36

Data Analysis

5.1

Current
Statistics

Table 1: Internet Users in the world as on March 31st 2011

Region
Asia
Europe
North America
Latin America / Caribbean
Africa
Middle East
Oceania / Australia

No. of internet users (%)

44
22.7
13
10.3
5.7
3.3
1

Fig 1: Percentage of Internet Users in the world - 2011

Fig 2: No. of Internet Users in the world - 2011

37

Table 2: World Internet Penetration Rates as on March 31st 2011

Region
Asia
Europe
North America
Latin America/ Caribbean
Africa
Middle East
Oceania/ Australia

Internet Penetration Rate (%)

23.8
58.3
78.3
37
11.4
31.7
60.1

Fig 3: World Internet Penetration Rates as on March 31st 2011

Table 3: India Internet Usage and Population Statistics
Year
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2009
2010

Users
1,400,000
2,800,000
5,500,000
7,000,000
16,500,000
22,500,000
39,200,000
50,600,000
40,000,000
42,000,000
81,000,000
100,000,000

Population
1,094,870,677
1,094,870,677
1,094,870,677
1,094,870,677
1,094,870,677
1,094,870,677
1,094,870,677
1,112,225,812
1,112,225,812
1,129,667,528
1,156,897,766
1,173,108,018

38

% Pen.
0.10%
0.30%
0.50%
0.70%
1.60%
2.10%
3.60%
4.50%
3.60%
3.70%
7.00%
8.50%

5.2

Data Analysis
&
Interpritation

5.2.1 Distribution of companies based on type of business

Table 4: Distribution of companies based on type of business
Type of Business

No. of Companies (%)

B2B
B2C
Both

40
40
20

Fig 4: Distribution of companies based on type of business

Observation / Comments
Equal amount of companies i.e. 40% are doing business in B2B and
B2C respectively and about 20% of these are doing business in both B2B and
B2C.

39

5.2.2 Distribution of companies based on annual turnover

Table 5: Distribution of companies based on annual turnover
Turnover

No. of Companies (%)

Upto 10 Cr.
Upto 20 Cr.
Not disclosed

30
15
55

Fig 5: Distribution of companies based on annual turnover

Observations / Comments
There are about 55% of companies that were not ready to reveal there
turnover but remaining 45% disclosed their turnover and these companies can
be targeted in future.

40

5.2.3 Distribution of companies based on operating area

Table 6: Distribution of companies based on operating area
Area

No. of Companies (%)

Baramati
Maharashtra
India
International

35
15
13
37

Fig 6: Distribution of companies based on operating area

Observations / Comments
There are about 37% of companies that carry out their business
internationally, and remaining carry out their businesses nationally - of these
13% do business all over India, 15% do business only in Maharashtra and 35%
restrict their business to Baramati.

41

5.2.4 Distribution of companies based on owning of a website

Table 7: Distribution of companies based on owning of a website
Response

No. of Companies (%)

Yes
No

68
32

Fig 7: Distribution of companies based on owning of a website

Observations / Comments
Of all the companies interviwed 68% have their own website, while
32% do not own a website, these companies can be targeted as prospective
coustomers for website develoupment.

42

5.2.5 Distribution of companies based on awareness about EMarketing and E-Commerce

Table 8: Distribution of companies based on awareness about EMarketing and E-Commerce
Response

No. of Companies (%)

Yes
No
Little

25
10
65

Fig 8: Distribution of companies based on awareness about EMarketing and E-Commerce

Observations / Comments
Only 25 % of the interviewed had thorough knowledge about EMarketing and E-Commerce, 10% were clueless and about 65% had some kind
of idea / knowledge about E-Marketing and E-Commerce, these companies can
be future targets only if required information is provided to them.

43

5.2.6 Distribution based on successful online / credit card

transactions carried by an individual
Table 9: Distribution based successful online / credit card
transactions carried by an indivisual
Response

No. of Individuals (%)

Yes
Many times
No

55
10
35

Fig 9: Distribution based on successful online / credit card

transactions carried by an indivisual
Observations / Comments
About 55% of respondants had used a credit card and / or bought
something online, 35% had never used or own a credit card and had never done
an online transaction, and 10% are regular online shoppers.

44

5.2.7 Distribution based on companies selling their products online

Table 10: Distribution based on companies selling their products
online
Response

No. of Companies (%)

Yes
No

30
70

Fig 10: Distribution based on companies selling their products online

Observations / Comments
30% of companies interviewed are currently selling their products online
while 70% are not selling their products online, these 70% of companies can
increase their sale by selling their products online, but for this to happen they
have to be made aware of E-Marketing and E-Commerce.

45

5.2.8 Distribution based on willingness of companies to sale their

products online
Table 11: Distribution based on willingness of companies to sale their
products online
Response

No. of Companies (%)

Yes
No
Maybe

20
25
55

Fig 11: Distribution based on willingness of companies to sale their

products online
Observations / Comments
20% of the companies interviewed were ready for taking their business
online, 25% were not ready as they had their own reasons, but 55% were not
sure as they had little or no knowledge about E-Marketing and E-Commerce,
these companies can be prospective customers if they are educated about EMarketing and E-Commerce.
46

VI

Findings

Findings
1) Equal amount of companies are doing business in B2B and B2C
respectively and some of these companies are doing business in both
B2B and B2C.
2) Most of the companies were not ready to reveal there turnover but some
of them disclosed their turnover and these companies can be targeted in
future.
3) There are few companies that carry out their business internationally,
and others carry out their businesses nationally - of these some do
business all over India, some do business only in Maharashtra and
remaining restrict their business to Baramati.
4) Of all the companies interviwed many companies have their own
website, while few do not own a website - these companies can be
targeted as prospective coustomers for website develoupment.
5) Only few of the companies interviewed had thorough knowledge about
E-Marketing and E-Commerce, while most were clueless and some of
these companies had some kind of idea / knowledge about E-Marketing
and E-Commerce - these companies can be future targets only if
required information is provided to them.
6) About half of the respondants had used a credit card and / or bought
something online, majority had never used or own a credit card and had

47

never done an online transaction, and very few are regular online
shoppers.
7) Some of the companies interviewed are currently selling their products
online while some are not - these companies can increase their sale by
selling their products online, but for this to happen they have to be made
aware of E-Marketing and E-Commerce.
8) Few of the companies interviewed were ready for taking their business
online, some of the companies were not ready as they had their own
reasons, but about half of the interviewed companies were not sure as
they had little or no knowledge about E-Marketing and E-Commerce these companies can be prospective customers if they are educated about
E-Marketing and E-Commerce.

48

VII

Sugessions

Sugessions
1) Company should target potential markets as these small scale companies
cant progress / grow in future without being exposed to the EMarketing and E-Commerce.
2) The potential market is quite confused about the E-Marketing and ECommerce concept and hence a regular interaction and some form of
seminars should be arranged for them which may clear their ideas about
the topic to some extent.
3) The potential customers are quite curious about the price range of the
offered services; they can be lured by providing some discounts, early
registration benefit or mass registration benefits.
4) Potential market has many customers not having a website, so company
can target these customers and can offer them services like website
development. Also to attract these company some kind of introductary
offer like one year domain name registration free etc. can be provided.
5) As company is in its early stages many customers arent aware of the
company, so company should work on promotion to increase the
awareness and brand value of the company.
6) The Researchers are the mirror images of the company as they represent
the company so they should be equipped with the proper training
programs having detailed emphasis on the products and its nearest
competitors.

49

VIII

Conclusion

Conclusion
This survey i.e. Research on E-Marketing and E-Commerce
opportunities (Covering Baramati city and industrial zones around it) was
carried out in and around premises of Baramati city. Research shows that the
market is buzzed with the lot of opportunities available to be to grabbed and
also unexplored. Survey shows that there is a little confusion about EMarketing and E-Commerce in the minds of entrepreneurs as they dont know
or knows very little about E-Marketing and E-Commerce so there is a need to
carry out the seminars so as to clear their doubts, this can benefit the company
in long term future on which company can build its image in the present
market.
The survey also shows that the industrial zones like Baramati MIDC are
full of opportunities as these areas have many medium and small scale
companies. These companies can prove to be nice opportunities for EMarketing and E-Commerce. Also there are lots of opportunities for web
development, as some of these companies still dont have their own websites.
Hence company can grab these opportunities and create a stronger base for is
E-Marketing and E-Commerce projects.

50

IX

Bibliography

Bibliography

1) E-Marketing, fourth edition by Judy Strauss, Adel El-Ansary, Raymond

Frost. Prentice hall India.
2) Guide to web marketing successful promotion on the net .by Judy Davis,
Crest Publishing House.
3) Marketing management by Rajan Saxena, third edition, Tata Mcgraw
Hill.
4) E-Marketing Excellence by Dave Chaffey and P. R. Smith, third edition,
Butterworth-Heinemann in an imprint of Elsevier.
5) eMarketing: The essential guide to online marketing by Rob Stokes,
second edition, Quirk eMarketing (Pty) Ltd.
6) Business Research Methods by Donald Cooper, Pamel Schindler, Tata
Mcgraw Hill Education Private Limited (2006).
7) Research Methodology: Methods And Techniques by C. R Kothari,
New Age International (2004).
8) www.edoore.com - Date acsessed 14th Jun 11
9) www.wikipedia.com - Date acsessed 20th Jun 11/ 3rd Jul 11
10) www.internetworldstats.com - Date acsessed 21st Jul 11
11) www.iconocast.com - Date acsessed 23rd Jun 11
12) www.nkarten.com - Date acsessed 13th Jun 11

51

13) www.businessindia.in - Date acsessed 14th -15th -16th Jun 11

14) www.vanik.com - Date acsessed 12th Jul 11
15) www.businesslink.com - Date acsessed 15th Aug 11

52

Annexure

DEORE CONSULTANCY SERVICES PVT. LTD.

Name of the Company: ___________________________________________

___________________________________________

Address: ___________________________________________

___________________________________________

___________________________________________

___________________________________________

Phone No.: ____________________________________________

Name of the contact person: _______________________________________

Email id: ______________________________________________________

Mobile No.: ____________________________________________________

53

01) What is the core business of your company?

02) What are the products/services offered?

03) What is the type of business?

B2B

B2C

04) What is the turnover of your company?

05) What is the marketing area of your company?

Baramati city

Maharashtra (other states)

National

Worldwide

06) Do you have a website of your company?

Yes

No

54

07) Have you heard about e-commerce?

Yes

No

08) Have you ever done a transaction using Internet?

Yes

No

often

always

09) Do you use E-Commerce for your products/services?

Yes

No

10) Are you interested in using E-Commerce for your products/services?

Yes

No

not sure

11) Any references you would like to suggest of those who may be interested
E-Marketing and E-Commerce.

_______________________________________________________________
_______________________________________________________________

55

Companies Visited

Sr. No.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38

Name of Company
Val India Private Company
Raj Industries
Godrej Agrovet Ltd.
Venture Steels
Shakti Group
Transmech System
Graphitech Casting & Alloys
Mahalami Seamles Equipment
Lande Patil Transport Ltd.
Delta Engineering
Vedant Enterprises
Dynamix
Darade Auto Engineering Works
Shree Shreeyash Indurstries
J.J Engineering
Metlife Insurance Ltd.
Soham Insurdtries
Bharati Engineering Works
Sanva Auto Component Pvt. Ltd.
Suraj Indurstries
Mota Garments
Sai engineering
Omkar Packaging Indurstrues
Shrinath Powder Coating
Suyash Auto
Max Insurance Life
Spectrum Coats
Raj Packaging
Suneet Indurdtries
Govind Cement Pipes
Shreeya Indurstries
Reliable Indurstries
Sadguru Indurstries
Baramati Tiles Pvt. Ltd.
Soma Textiles
Shardual Packaging Indurstris
Baramati Electomech
Piaggo Vahicles
56

Contact No.
02112-645937
9823029550
9158005352
919011-025657
09422-011425
09860036308
02112-325627
09545514939
9922960382
02112-243362
09371147437
02112-243821
9975305304
942231939
9326039017
02112-649091
9272798557
9673994009
8805471500
9623447225
9604929122
9960038988
9822217099
9765989005
9011027111
9822199696
9850950498
9823072152
9922076869
9850410666
9423584159
9325311400
9822550655
02112-243908
02112-243716
02112-43720
02112-243908
9881139960

39
40
41
42
43
44
45
46
47
48
49

Kaygee Foam Pvt. Ltd.

Success Life Buisness.
Kunal Traders
Sundaram Finance Ltd.
Guradatta Enterprises
Tate Electricals
V- Connect Placement Service
Angel Industries
Chankeshwara Auto Indurstries
Sahaydri Agro
Sameer Indurstries

57

9922439822
9209192970
8600101243
02112-243041
9373007086
09423042596
9272107081
9822874213
9270000753
02112-244055
9763719849