It was 2008 Winter during my MBA and in between rush of submitting last minute assignments incidentally I picked up a Green Colour Hard Bound Book from the library shelf. This was about a great visionary of modern times and one of the biggest retail store on earth - Yes it was about Jeff Bezos and his vision "Amazon".
Next 5 days I was completely glued to it and finished the book with a whizz dreaming that one day we will see this kind of a game changing environment in our country.
Little did I knew at that time that it was already brewing & the retail landscape in our country is about to change in next few years and we will see Amazon and many other revolutionary companies from across the world and many home grown corporations shortly flexing their muscles for the Indian pie.
Jeff Bezos visit to India in sep,14 was a big news and I still remember the Flipkart's aggressive "Big Billion Day Campaign" during that time with many hoardings at the Bangalore airport, highway and Commercial Business district.
In July,14 Amazon announced to pump in $2 billion investement into its India business as it aims to become the leader in one of the fastest growing e-commerce markets.
The biggest learning he's taken away from India is the success of fashion e-tailing here which is evident from the following recent examples :
Jabong saw a sales growth of whooping 11,357 % in 3 years. It has grown its revenue from Rs 4.6 crore in 2011-12 to Rs 527 crore in 2013-14.
Another top fashion etailer Myntra (Taken over by Flipkart in May,14) grew its revenue from Rs 67.1 crore in 2011-12 to Rs 441 crore in 2013-14.
Amazon is no alien to the fashion business. It took over in July,2009 one of the best company well known for its excellent customer service "Zappos" created by Tony Hsieh selling shoes online.
It was no surprise to me when I saw this TVC first time, two days back for "Introducing Amazon Fashion - Fashion For Who You Are"
Amazon.in Fashion for Women
Amazon.in Fashion for Men
It was almost on the cards - Amazon's push to get a strong hold of Indian Fashion etailing market and garnering market share of the overall customer's wallet.
Amazon is now entering the Fashion arena in India in a big way.
For all my management friends out there in B Schools this is a great example in the realm of Line extension & Brand Extension.
In the current etailing scenario in India, Currently "Amazon.in" is perceived as a good destination for buying Books,Electronics,Gadgets, Computing Devices, Home & Kitchen Supplies etc.
However when it comes to fashion natural click is towards Myntra & Jabong who have seen stupendous growth and are still going very aggressive with their spends & campaigns
Recent Campaign by Jabong :
Recent Campaign by Myntra :
There is a drastic similarity with Jabong Saying "Be You" and Amazon Fashion Saying "Fashion For Who You Are" in contrast to "Live For Likes" as said by Myntra. The first two are concentrating on Center of Control while the later is concentrating on center of concern.
We can drill down further on this to understand the concept of Brand Positioning.
Also another important concept the launch of Amazon Fashion brings to my mind is "Integrated Marketing Communication" - Within few days of the launch I can see the same concept & communication being played on :
TV:
Print:
The campaign has just started and will keep everybody posted on the other means of communication & promotion strategy utilized by Amazon to create a space in the niche fashion etailing.
Also to be seen is how Amazon's strong entry in this area will effect the scenario now as some pundits have predicted that going forward the ecommerce space is game for only bigger players with huge funding or niche players like bigbasket.com (Selling Grocery's), pepperfry.com (selling funiture), caratlane.com (selling
jewellery), zivame.com (selling lingerie) etc.
Stay tuned for more practical examples and Jugalbandi of Concepts thought in B Schools and their real world implementation across industries
Zappos - Delivering Happiness: A Path to Profits, Passion, and Purpose
http://www.pearltrees.com/rajatchaddha#item132966732
How digital is transforming retail: The view from eBay:
http://www.pearltrees.com/rajatchaddha#item123501060
Hero MotoCorp sells 700 bikes online during Google's online shopping festival
http://www.pearltrees.com/rajatchaddha#item132966732
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