MUMBAI, INDIA: In recent years, the significance of Internet-based business or e-commerce as a medium of marketing and sales has gained wider acceptance not just by large enterprises but even by small and mid-size retail shops and stores.
For Hyderabad-based Reasoning Global eApplications Limited, a retail-centric software development firm, the emergence of online retailing trend across the Indian retail industry means more business opportunities.
“Any retail business faces with four key challenges — technology, integration of payment gateways, web traffic and logistics. So with the help of our alliance partners Google, HDFC Bank, Aramex, along with our multichannel retailing solution MartJack, we have created a concurrent ecosystem for retailers that overcomes those challenges,” says Jeetendra Joshi, Reasoning Global eApplications' vice president — marketing.
According to Joshi, the MartJack platform comes in three versions - basic, standard and enterprise - depending on the customer's requirements. However, Joshi points out that many customers tend to move from the basic to enterprise version within 3-4 months' time because of the benefits they gain.
Currently, MartJack platform is deployed by more than 2000 customers including top brands such as Videocon, Geetanjali Jewelers, Ruby London, Mitashi, Next Retail, Base Camp and others. Among them about 10 per cent are using the enterprise version, 50 per cent are on standard, while the rest are on the basic version.
At present, Reasoning Global has 10 per cent share of the total e-retailing transactions done in India, excluding the online bill payments and services.
“We are targeting about 40 per cent of e-retail transactions done direct or indirectly in the next two years,” says Joshi. According to market estimates the online retail market in India is worth around Rs.25,000 crore and last year about Rs.20,000 crore worth online retail sales were done.
MartJack is Microsoft's .Net-based platform developed by Reasoning Global's 140-member software team. The solution is offered on SaaS (software as a service) model with one-time initial setup cost for retail start-ups and web-stores along with business strategic support such as Google AdWords, SEO (search engine optimization), website designing, lead and traffic generation. Also, it can easily be integrated with SAP ERP or any in-house grown ERP and inventory applications.
Reasoning Global allows any retail start-up to setup web-store with a nominal investment of around Rs. 30,000 which include web designing fees of Rs.14,000, Google Adwords setup, basic SEO and traffic generation support along the SaaS fee of Rs.2,650 per month.
With such integrated and flexible approach, the company expects higher customer reach compared to its competitors.
“For any retail business, setting up of e-commerce portal would require huge funds in form of capital expenditure, but with our SaaS-based model, customer can save huge capitals required initially,” explains Joshi.