Saksham Business Plan

Mission - To enable users to negotiate best deals for their desired product

Vision - To become the go to destination for consumers of local, native and traditional goods for
the best price possible

USP - (No platform links local businesses from all over India with customers online. Our service
gives local businesses a way to get online.)

Executive Summary

As we all know that local markets preserve the culture of our India.Everyone prefers to get items
from the local market even while on vacation. But unfortunately, we have to physically get there
and shop if we want to purchase something from the local market. So our Idea is to go ‘Vocal
about Local’ by introducing all local markets available online. The goal of our company is to
make our platform reach all over India as well as to foreign countries so as to provide people
everywhere with local and cultural products of their liking. The ability to bargain, the bidding
procedure, and the hitmap are the major characteristics of the online product. No other online
platform has all of these features in one place.We will be using targeting tools to market the
product and this tools will be define our own team.With that we will doing paid promotion for
the listed item. India is well known for its culture all over the world and local market promote
the culture by selling the items which has history relating to it. Utilizing social media is most
well-known marketing tactic. The business works with influencers and makes use of hashtags
and influencer marketing on social media sites. As per now we are bootstrapping our business for
6 months then we will target for seed fund round or we will be in position that we can manage
our expenses by the profit we will be getting. E-commerce has transformed the way business is
done in India. From a local vendor to a multinational enterprise, every business are online today.
E-commerce is growing exponentially year after year. So we planned to digitalised the local
market.
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About the product/service

Bargaining -Negotiating is a key component of the local market. In India, the golden rule of
bargaining is to start low and avoid asking for more than half of what is being demanded. We
will establish a minimum and maximum price for the product when purchasing it online. Only
the item's maximum cost is visible to the customer. Customers who negotiate within the price
range established for the merchandise will be given the item.

Bidding - Bid is a binding contract. When a customer wants to buy any item then vendors can
bid on that item to sell it with minimum cost and high quality. This service works vice versa as
even highly demanding products will be bid by customers.

Heat Map - A map that shows the degree of current activity of users around a certain location. If
there is high demand of any product in particular area then degree of current acitivity for that
location will be high. This will help to understand the product demand in any particular area and
attract customer because of their curosity to know the product in demand.

Marketing strategy :

● We will use targeting tools to reach out to the customer.

● We will make a documentary video of the top 50 demanding
● products(what is the story behind the product and what its origin and how these
● families are involved in it). We will push that content in every possible
● platform we can (through our accounts).
● We will help every vendor to create their own social media pages
● and teach them how to create and upload the content (After all nowadays
● everything is content).
● We will focus on Digital marketing and SEOs too.
● Promotion of culture by associating with the communities.
● Do tie-ups with the travel agents from that area to gift the
● travelers anything from that area (we will get the bulk orders from them)
● We are having a customized gift wrap feature where we are adding flowers and
chocolates with the product so if any one wants to send the product then it shall be a
better experience for both of them.
● Running ads before the festivals.(social media and Youtube).
● We are targeting social influencers to promote our business.
● We will pay vloggers to come to that vendor's place and explore the culture.
● Showcasing our product in vloggers video and also offline gifts shops .
Distribution and Operations Strategy

Intensive distribution strategy

The goal of our company is to make our platform reach all over India as well as to foreign
countries so as to provide people everywhere with local and cultural products of their liking. We
want to ensure that even a person sitting in North India can get a product locally made in a South
Indian market. We will hire a third party delivery service who will collect the product from the
local vendors and drop them at a storage house from where we will categorize the products
according to place of delivery and dispatch it through the same delivery service. Our distribution
channel will be as follows

Pakka Local will receive orders Intimate the third party They will collect orders from
the local vendors and bring it to us It will then reach the final customer

Operation strategy

The operation Strategy of Pakka Local includes improving the supply chain. There are numerous
local markets in India who we aspire to have on our app. To ensure timely delivery to our
customers, the third party we deal with has their storage houses to drop and pick up the products.
Our business model depends largely on human resources to pick up, categorize and deliver.
There will be a separate team for the Indian market and one for deliveries abroad. We will also
use high end technology to make sure the interface and overall experience of using our app is
very smooth for the customers.

Financial Planning

First six months - using promoters/seed capital to:

1. Develop an aggregator platform for local sellers (1-2 lakhs)

Enabling a platform that will be highly user and seller friendly to make the whole process
 seamless

2. Marketing to list sellers and find customers (50-100k/per month

Focus first would be to have as many sellers and customers as possible and later optimize
acquisition cost.

3. Human Resource expenses (50k/per month)

Operating Costs

Let’s divide the operating cost between Fixed cost and Variable cost.
Fixed Costs:
1. Rent (if applicable)

Variable Costs

1. Marketing - 50k/per month

2. Digital Maintenance - 15k/month

Viability

Let’s assume and average order to be for Rs. 500

Our targeted gross margin would be 30% of the order and Targeted net profit would be 15%.

So, 15% of Average order = Rs. 75

Break-even: Operating Costs/Average Profit per order

Since our operating cost per month (after 6 months) was Rs. 75,000, we would need = 75,000/ 75

= 1000 orders per month to reach the break even point

Industry Analysis

E-commerce has transformed the way business is done in India. From a local vendor to a
multinational enterprise, every business are online today. E-commerce is growing exponentially
year after year.

The Indian E-commerce market is expected to grow to US$ 188 billion by 2025 from US$ 46.2
billion as of 2020. By 2030, it is expected to reach US$ 350 billion.

Much of the growth of the industry is triggered after the launch of Digital India Program and
because of this there has been a significant increase in internet and smartphone users.

The E-commerce industry has been directly impacting micro, small & medium enterprises
(MSME) in India by providing means of financing, technology and training and has a favourable
cascading effect on other industries as well.

Indian E-commerce industry has been on an upward growth trajectory and is expected to surpass
the US to become the second largest E-commerce market in the world by 2034.

Technology enabled innovations like digital payments, hyper-local logistics, analytics driven
customer engagement and digital advertisements will likely support the growth in the sector. The
growth in E-commerce sector will also boost employment, increase revenues from export,
increase tax collection by exchequers, and provide better products and services to customers in
the long-term. Rise in smartphone usage is expected to rise 84% to reach 859 million by 2022.
 PakkaLocal
Investment Pitch
Saksham
Agenda

● Mission and Vision Statement

● About the Product/Service
● USP
● Industry Analysis
● TG/Markets
Vision Statement

To become the go to destination for consumers of local, native and traditional

goods for the best price possible

Mission Statement

To enable users to negotiate best deals for their desired product

About the product/service

No platform links local businesses from all over India with customers online. Our service
gives local businesses a way to get online.
Bargaining -Negotiating is a key component of the local market. In India, the golden rule
of bargaining is to start low and avoid asking for more than half of what is being
demanded.
Bidding - Bid is a binding contract. When a customer wants to buy any item then vendors
can bid on that item to sell it with minimum cost and high quality. This service works vice
versa as even highly demanding products will be bid by customers.
Heat Map - A map that shows the current degree of activity of users around a certain
location
USP
The main idea of our business is to give people the access to Indian locals markets at their fingertips

In order to give people the entire experience of a local market, we have added a very essential service
which is bargaining as well as bidding

The USP of our startup is that people can negotiate for items they want to purchase just as they would
do in an actual market
Industry Analysis

E-commerce has transformed the way business is done in India. From a local
vendor to a multinational enterprise, every business is online today. E-commerce
is growing exponentially year after year.

The Indian E-commerce market is expected to grow to US$ 188 billion by 2025
from US$ 46.2 billion as of 2020. By 2030, it is expected to reach US$ 350 billion.

Much of the growth of the industry is triggered after the launch of Digital India
Program and because of this there has been a significant increase in internet and
smartphone users.
Target Group

Every seller that serves in a local market, or sells tangible traditional goods

Total Addressable Market

As of 2020, India has about 1,90,00,000 outlets operating, with 4% of them larger
than 500 sq feet in size. Assuming 1% penetration we get 19,00,000 sellers.
Marketing strategy:
● We will use targeting tools to reach out to the customer.
● We will make a documentary video of the top 50 demanding products(what is the story behind the product and
what its origin and how these families are involved in it). We will push that content in every possible platform
we can (through our accounts).
● We will help every vendor to create their own social media pages and teach them how to create and upload the
content (After all nowadays everything is content).
● We will focus on Digital marketing and SEOs too.
● Promotion of culture by associating with the communities.
● Do tie-ups with the travel agents from that area to gift the
● travelers anything from that area (we will get the bulk orders from them)
● We are having a customize gift wrap feature where we are adding flowers and chocolates with the product so if
any one wants to send the product than it shall be a better experience for both of them.
● Running ads before the festivals.(social media and Youtube).
● We are targeting social influencer to promote our business.
● We will pay vloggers to come to that vendors place and explore the culture.
● Showcasing our product in vloggers video and also offline gifts shops .
Financial Planning

First six months - using promoters/seed capital to:

1. Develop an aggregator platform for local sellers (1-2 lakhs)

2. Marketing to list sellers and find customers (50-100k/per month
3. Human Resource expenses (50k/per month)
Operating Costs

Fixed Costs:

1. Rent (if applicable)

Variable Costs

1. Marketing - 50k/per month

2. Digital Maintenance - 15k/month
Viability

Average order - Rs. 500

Targeted net profit = 15% of Average order = Rs. 75

Break-even: Operating Costs/Average Profit per order = 75,000/ 75

= 1000 orders per month

Distribution and Operations Strategy
Intensive Distribution Strategy

Pakka Local will receive orders intimate the third party Collect orders from the local
vendors and bring it to us It will then reach the final customer

Operations Strategy

Third party storage houses in every city as well as in some centrally located countries abroad
where the products can be dropped and picked from
Our business model depends largely on human resources to pick up, categorize and deliver
High end technology to use the best interface for our app