E-commerce, an abbreviation for electronic commerce, denotes the online exchange of goods and services. This encompasses a range of internet-based activities, including online retail, electronic payments, digital marketing, and virtual marketplaces. Over the last decade, the e-commerce industry has undergone substantial expansion, propelled by factors such as heightened internet accessibility, technological advancements, evolving consumer tastes, and the convenience inherent in online shopping.
Use Case – FP&A
An Indian e-commerce company became one of the prominent online marketplaces in India. It connects buyers and sellers, providing a convenient online marketplace for consumers to browse, compare, and purchase products. The platform has gained popularity for its diverse selection of items, competitive pricing, and user-friendly interface, contributing to its significant presence in the e-commerce industry.
- ~$100M Revenues
- 5Lac's+ Sellers
- ~5k+ Workforce
- Excel based approach with very low visibility considering the dynamic nature of market and vast categories of products
- Difficult to incorporate new product line/ segment / cost structure
- Working capital requirement measurement
- Promotion Calendar by seasonality and by peer measurements
- No category Level P&L for expense management
Identifying expected demand levels for the product or service with multiple subtle changes that add up over time and change the trajectory of demand.
Transforming a strategic plan into a detailed roadmap, delineating precise actions the team will undertake on a weekly, and at times, a daily basis.
The metrics and outcomes that marketing departments look at to determine how well the marketing activities are doing at achieving the goals in marketing plans.
Internal reports used to run the organization, make business decisions, and monitor progress to make more accurate, data-driven decisions.
- Flexibility to introduce new product/ segment/channel
- Holistic model to cover pain areas with better visibility and planning at category/product level integrated with key parameters i.e. cashback, promo cashback, average order value etc.
- Top down planning
- Trend analysis and forecasting based on statistical methods
- Real time data collaboration / impact of changes in plan
- Category P&L view by month, by segment, by entity.
- Marketing expense management with better visibility and rationalization