During the time of Demonetisation, the companies offering COD services suffered says Co-founder of Samshek.com

The majority of Indian population is in the mid to late 20s who not only respect their traditional values but also modern enough to accept new products. Samiksha Bajaj; Co-founder of Samshek.com in her exclusive interaction with Nitish Raj of The Policy Times talks about the various challenges and opportunities of e-commerce industries in India.

Samiksha Bajaj
Samiksha Bajaj

Samiksha Bajaj is the co-founder of online fashion brand www.samshek.com. She has more than seven years of experience in fashion industry. She is qualified with dual degree in MA Fashion Entrepreneurship and Innovation from London College of Fashion, London and International Business, marketing as specialization from India. Her ideology and hardwork has triggered the establishment of this immense company.

 Q.How has the E-commerce changed our shopping experience compared with traditional buying?

Answer.  E-commerce is one of the booming sectors in coming future. It has completely changed the shopping experience as compared to traditional buying. In most of the sectors like electronics, books, grocery, eyewear etc. e-commerce is flourishing. People can sit at home and order at their convenience. It saves lot of time and makes it more comfortable. However, if we look at clothing industry, people still think buying online especially affordable luxury or luxury clothing. They still feel skeptical about fabric and fit of the garment. Clothing industry still needs more technology where people can be more confident about the size and the fabric of the garment. At the same time, people enjoy shop clothing which is affordable as they don’t have to spend more time searching at different retail outlets. They can search and compare different brands sitting at one place and do the shopping.

Q.Indians believe in traditions. Does it make your job difficult to segregate target audience for your products?

Answer.  India is rich in its culture and is highly diversified in traditions. The company may need to localize their marketing strategy to segregate the target audience for their product. However, the majority of Indian population is in the mid to late 20s who not only respect their traditional values but also modern enough to accept new products. Therefore, the product has to be localized while maintaining its USP.

 Q.How much the recent economic transformations in India are going to effect the business of the e-commerce companies?

Answer. The recent economic transformation is effecting the e-commerce companies. Demonetization and GST are one of the major economic changes which effected the e-commerce companies. During the time of Demonetization, the companies offering COD services suffered. People were short of cash. Sales dropped down by 30%. With the introduction of 5% GST on the fabric, companies increased prices for the garments.

Clothing e-commerce sector is already very competitive and online customer is highly volatile. They prefer to buy where they get the maximum discounts. So it’s effecting the online business.

Q.What problems the e-commerce have to face while the company of a different origin is operating in a different company and that even through internet?

Answer.  I hope you are saying in a “different country”!! If yes, the answer is: To launch in the different country it’s really important that name of the company or brand should be acceptable by the people of that particular country. The name should be global, there should be a story behind the name especially when you are a new e-commerce company. There are other challenges like registration and creating the corporate structure of the company. In logistics, returns are major challenge. However, things are manageable with time.

Q. There are lot of genuine complain over exchange, quality, etc. How you are going to come over the perception of the general public who consider e-commerce websites as not so reliable?

Answer.  This perception can only be changed by providing the best quality product with timely delivery. We have a niche segment so we provide best of the services in terms of exchange, quality and delivery time to ensure that customer stay happy with the services and comes back.

Q. Don’t you think just restricting your websites to western apparels restrict your business interests as India is big market for traditional outfits? 

Answer.  Our expertise is in western wear and we do provide customization. There are very few brands which provide customization to  such an extent. So there is less competition in western wear. On the other side, the market for traditional outfits is huge but at the same time, its getting saturated. Young population of India is more modern and accepting the western culture widely. Initially, acceptability of western to ethnic was 25:75 (western to ethnic), now it has increased to 40:60. Therefore, market for western wear is increasing.