StoreKing:

Reaching the Rural

consumer with
Assisted e-
CommerceGroup 3
Abhishek Tiwari 2020MBA001
Bhavya Singh 2020MBA013
Ishi Jain 2020MBA023
Natarajan R 2020MBA028
Viswanath Das 2020MBA054
Problem
Short-term Issue: Double the number of
Identificatio retail franchisee of StoreKing to 100,000
retailers within 2 years

n
Long-term Issue: Tackling growing
competition by dominant e-commerce giants
like Amazon and Flipkart, as access and
awareness of internet and logistic
infrastructure improves with time
 Strength
● Targets the rural indicant market with a
huge potential due to the high
population density
● The formation of partnerships with
local retailers has strategically
positioned the company to gain the
trust of the rural consumers.
● Has a strong brand loyalty in the rural
market
SWOT
● StoreKing has developed a
transactional business model built on
credit and trust
Opportunities
● Integrate the credit-based business
model to gain the trust of the rural
consumers
● Leverage the brand popularity in
India to create a global presence
● Partner with IT companies to deliver
the much-needed internet
infrastructure in
Weakness
● StoreKing lacks a competitive
advantage in the delivery of the
purchased items to customers while
competitors such as Amazon deliver
in less than 24 hours.
● Lacks advanced IT infrastructure to
improve the connectivity of the
point-of-sale devices in the rural
interior.
Threats
● Increased competition from
emerging e-commerce companies
and established
● giants like Amazon.
● Low literacy levels and the absence
of a postal code in every village
pose
● significant threats to rural
expansion.
 Value Chain of StoreKing
Firm Business: General management, Legal- Terms of trade agreement, Finance and Accounting-
Creating sustainable operating cashflow, Raising fund for working capital, Risk mitigation

e
Human Resource Management:
ACTIVITIES

Recruitment and workforce planning- RSO, Rural engagement team,

SUPPORT

a g
tech team, etc. training and development, RMF and Retail franchisee identification and onboarding

ant
Technological Development: Website/App development and management, Customer database and

v
Ad
analytics, Digital literacy amongst stakeholders, Onboarding digital service providers and payment getaways

Procurement: Association with e-commerce retailers and FMCG Manufacturers for product procurement,
vertical integration of varied suppliers for differential product and service offering

Inbound Outbound Marketng & Sales Service

Logistcs Operatons Logistcs

e
tv
●Order processing ●Partnerships with ●Customer
●Order reception ●Warehousing
other platforms- support

et
●Inventory control ●Packaging ●Order fulfillment
●Quality assurance Amazon,MobiKwik ●RMF and
●Transportation

mp
●Transportation retail
●Maintenance ●Distribution ●Digital service
planning franchisee
providers

Co
●RMF onboarding ●Data analytics ●Last-mile delivery
●Content creation assitance

PRIMARY BUSINESS
ACTIVITIES
 What they are Challenges
doing well?
● E-commerce – Low internet penetration
● The e-commerce website in local language
and slow internet connection
● Its operations was being assisted by a
● M-commerce – Few smartphones
trusted retailer
● Low literacy rate- Lack of English
● Providing products that are not available in
understanding (universal business
the local shops
language)
● Using the new age payments systems and
● Broken rural distribution channel
financial services
● Limited product availability
● It bridges the gap where the contemporary
● No customized offerings
e-commerce companies miss out
● Data collection and analysis of the
consumer behaviour
Short term
solutions-
50,000 more
retailers
Target expansion in existing states:
● 20% expansion in Madhya Pradesh
● 20% expansion in Maharashtra
Target expansion in new states
● 40% expansion in Uttar Pradesh
● 20% expansion in Bihar

*Data source: The Indian Telecom Services Performance

Indicators (April-June 2020), TRAI
Expansion to Intensifying
New geographies presence in
Existing markets
● Empower rural retailers to sell their
● Communicating the idea of ‘generating
products through the StoreKing platform
additional revenue without worrying for
● Increase focus on selling services through
working capital’ to the retailers of new
these retail outlets
geographies
● Providing consumer finance options for
● During the first phase of expansion in the
rural customers to purchase aspiring
rural areas of UP and Bihar we will do road
products
shows and loud speaker marketing
● Using referrals from retailers to provide
● In second phase we can set up pop up
franchise to other retail outlets in the
shops to educate the customers about our
neighbouring villages
app and purchase experience
● Including pharma products in their
● After this we will use the same strategy to
catalogue
expand in the existing markets
 Long term solution
Establishing the presence of a hyperlocal e-commerce consumer-based
applicaton, before the advent of other e-commerce giants
Application
● A voice-assisted consumer
application in the local language,
from where the customers can order
directly to the StoreKing retailer.
● Multiple service-platform for
products and services, including bill
payment, investment, and
microfinance awareness.
Retailers as promoters of Customers engagement on
app application
● Hyperlocal e-commerce model,
● A fun element- like videos and
where the consumers can receive
games, social media associations
their orders from their trusted
on the consumer application, to
retail store.
increase the customer engagement.
● The retailers can be incentivized
● Tutorial videos about internet,
at the number of signups at the
technology and finance awareness.
app from their geographical
location
Thank
You!!!