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Chapter: 01
1. INTRODUCTION
Internet Marketing is an all-inclusive term for marketing products and/or services online
and like many all-inclusive terms, Internet marketing means different things to different
people. Essentially, though, Internet marketing refers to the strategies that are used to
market a product or service online, marketing strategies that include search engine
optimization and search engine submission, copywriting that encourages site visitors to
take action, web site design strategies, online promotions, reciprocal linking, and email
marketing and thats just hitting the highlights (Aldridge Alicia et al 1997). Online
marketers are constantly devising new Internet marketing strategies in the hopes of
driving more traffic to their Web sites and making more sales; witness the increasing use
of blogs as marketing tools for business, for instance. Internet marketing is focusing on
web design and search engine optimization as a starting point; for most sites, the most
traffic still comes from search engines and directories. Internet marketing utilizes the
power of electronic commerce to sell and market products. Electronic commerce refers to
any market on the internet. Electronic commerce supports to selling, buying, and trading
of products or services over the internet. Internet marketing forms a subset of electronic
commerce. With the outburst of internet growth, internet marketing has started becoming
very popular. It is said that Internet marketing first began in the beginning of 1990 with
just text-based websites, which offered product information. With growth in internet, it is
not just selling products alone, but in addition to this, information about products,
advertising space, software programs, auctions, stock trading and matchmaking. A few
companies have revolutionized the way, internet can be used for marketing, such as
Google.com, Yahoo.com, Amazon.com, Alibaba.com and Youtube.com. Internet
marketing has brought forth so many strategies such as affiliate marketing which consists
of pay per click, pay per view, pay per call, pay per click advertising. Affiliate marketing
also includes banner advertisements. In addition to this e-mail marketing, viral marketing,
interactive advertising, blog or article-based marketing are also popular. There are newer
marketing techniques being invented all the time. It is important to know how the trend
would be. Companies are inventing new techniques to find better ways to make revenue
and establish their brand on the internet. Consumers are becoming more and smarter.
They do not want to be a party to the internet advertising campaigns made by companies
unless they get some incentive in doing so. They would be quite keen in participating in
campaigns provided the companies compensate them in some way. There are usually 2 or
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3 parties involved in internet marketing. It is companies and end users or companies,


internet marketing companies and end users. If it is a two party model then companies
themselves directly gets revenue from the end users. If it is a three party model then
internet marketing service providers acts as intermediate revenue providers for
companies. In order to attract end users they can share a part of their revenue, which they
receive from the companies with them. Internet marketing serves three business models.
They are the B2B model, B2C model and P2P model. The B2B model deals with complex
business-to-business transactions and internet advertising helps bring revenue to both.
B2C model involves direct interaction between the business and customer. P2P model
involves distributed computing which exploits individual exchange of goods and services.
P2P model was mostly useful for distribution of video and data. But due to copyright
problems P2P models have had troubles (Davidson Alistair et al 2006).

1.1 Motivation For This Thesis


Most of the literature, which we have come across in the area of trends in Internet
marketing, focuses on company perspective, consumer perspective and 3rd party
perspective individually. It is felt that there was a gap in these approaches. Consumers or
3rd party agencies need not feel what companies feel about Internet marketing trends.
Consumer awareness could play an important role in their interests to pursue Internet
marketing. It would be useful for companies and 3rd party agencies to understand the
minds of the consumers, as consumers would be the ones who would eventually drive
Internet marketing in a big way. More buyers mean more products to sell and more
products to sell means more marketing to be done by 3 rd party marketing agencies. This
will help us to understand whether all the 3 rd entities understand trends in Internet
marketing in the same way or there are differences in their understanding. Instead of
studying these entities in isolation I decided to pose the same set of questions to
companies, consumers and 3rd party agencies. This will help us understand whether there
are differences at all in their thinking and if there is, I can make suggestions to these
entities to positively influence the internet marketing trend.
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1.2 Objective of the study


We want to know how companies, 3rd party agencies and consumers would perceive the
trend of internet marketing to be for which we have designed the following questions.
The objectives of the research are to:
1. To analyse current status of Internet Marketing in Bangladesh,
2. To analyse different approach of Internet Marketing in Bangladesh,
3. To observe the growth rate of Internet Marketing in Bangladesh, and
4. To find out different findings of Internet Marketing in Bangladesh and proposed
specific suggestions to overcome those findings.

1.3 Methodology
Step 1: Status of Internet Marketing in Bangladesh
Step 2: Different Approach of Internet Marketing in Bangladesh
Step 3: Growth Rate Internet Marketing in Bangladesh
Step 4: Findings and solutions of Internet Marketing in Bangladesh

1.4 OVERVIEW OF MY PLAN


1.4.1 Analysis the E-Business in Bangladesh
Before going through for Internet marketing I need to analyse the E-Business as it is
interconnected with Internet marketing. In Bangladesh, E-Business tradition is poor due
to lack of information and implementation. People do not get the proper data and
information from government. Here are some important issues from bank perspective I
have described:

E-business has created tremendous opportunity all over the globe. Online banking can act
as a complementary factor of e-business. Bangladesh Bank has recently argued to
introduce automated clearing house system. This pushed upward transition from the
manual banking system to the online banking system. The study has been undertaken to
observe present status of the e-business and as its complementary factor online banking
system in Bangladesh. The article analyzes the data that were collected from
Bangladeshis banks up to February 2010 and also used snowball sampling techniques to
gather answer from the five hundred respondents who have already been using on line
banking system on the basis of a questionnaire which was prepared for this study purpose.
The study found that dealing officials of the banks are not well conversant about their
desk work. Authors observed that the country can be benefited through successful
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utilization of e-business as this will help to enhance productivity, monetary gain of both
producer and customer may be feasible and positive impact on raising gross domestic
product. E -business especially with the help of online banking can manage economy of
Bangladesh in a better way as customer will be satisfied (Kim D.J et al 2007).

1.4.2 Future of E-Business


Competitive advantages determine whether a company can move forward. Online
business is the right tool for gaining competitive advantage nowadays. Business now goes
online. Some restrict the definition of Online business only to internet enabled
transactions while some others defined broadly saying not only internet rather
telecommunication and telecommunication based tools are also involved in ecommerce
activities. In Bangladesh perspective, the broader definition is accepted to all.

Like traditional commerce, Online business does not involved only in buying and selling
of goods and services rather includes inter-company and intra-company functions like
negotiations and transactions, manufacturing and marketing etc. using email, Electronic
Data Interchange (EDI), fax, file transfer, video conferencing etc. Depending on the
involvement with electronic means, a company can be either a complete or partial Online
business user. Usually Online business is done in four forms: Business to Business (B2B),
Business to Consumer (B2C), Consumer to Business (C2B) and Consumer to consumer
(C2C). However, Business to Government (B2G) transaction may also exist.

1.4.3 Present situation in Bangladesh


In the year 1997, private Internet Service Providers (ISP) launched Internet in
Bangladesh. Since then, the infrastructural development in the sector of
telecommunication has helped spread the Internet network around the country. Right now
more than 6.5 million people are using Internet in the country with the help of around 200
registered ISPs and dial-up services and the cost of using Internet is low. The increasing
number of user of Internet creates more opportunity of Online business in the recent
years.

In order to cope with the present world, almost all of the financial organisations and
international businesses in Bangladesh enter in the information highway through hosting
website. Banks and other financial organizations have started online transactions like fund
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transfer, payment etc. However, almost 82 percent usage of Internet accounts for only to
send e-mail while in developed countries like USA, it is only 5 percent or less. This
indicates that ecommerce in Bangladesh lags far behind.

Human resource is must for the development of Online business and in Bangladesh,
around 10000 people are being produced by the educational institutions and training
centres around the country, which is not adequate for a country. Since Bangladesh is a
developing nation, the opportunity for the development of local and international trade
and business, like all other LDCs, is increasing. Although it faces some barriers like
infrastructural, cultural and outlook problem, recent steps taken by the government may
change the situation. The government has taken some steps to build ICT capable society
recently to materialize its dream of a 'digital Bangladesh'.

1.5 CONSTRAINTS
1.5.1 Online business
The number of Internet users is not adequate to create potential profit earning e-business;
there is lack of infrastructural facilities including electricity and transportation system;
high and unstable prices of computer and hardware is discouraging, there is lack of
skilled manpower and personnel required for effective e-business; there is absence of
cyber law and lack of governmental legislation and awareness.

1.5.2 Ensuring Bright Future Needs Right Efforts


In the first week of November 2009, Bangladesh Bank asked all the commercial banks
through a circular to use online payments system. The intention is good to facilitate fund
transfer, utility bill payments and credit card usage in local currency. But the local IT
giants and banking counterparts think that the step is taken much earlier because at least
two thirds of the bank branches around the country are not ready to comply with the
instructions. This indicates that Bangladesh is yet to get ready for full utilization of its
high potential. If Bangladesh wants to do Online business competing with the developed
world, it should ensure some vital supports. Using all the features of Online business will
create huge traffic on the Internet that would require high technical support. Huge
investment is necessary in the ICT sectors to spread the facility around the country on an
equity basis. Along with the infrastructural development, human resource development is
a must. All these should be controlled through ensuring a legal and regulating
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environment. All the efforts should be taken at a time as they all are dependent on each
other.

Telecommunication: It's the integral part of Online business. Although mobile phones
are very common here, the percentage is still very low, only 0.83 out of 100 has got a
phone. This indicates poor level of penetration. Reducing the cost of using phones and
developing the infrastructural support is necessary to fulfill the future demand. Although
all commercial banks have started following automation system, online banking system
through ATM, local credit cards and EFT is available in the selected area only.
Internationally accepted credit cards are not available due to the lack of facilities. It
creates inability to do business with the foreign businesses easily. Along with this exists
illegal mode of payments called Hundi based on basic transfer system. So, banks and
financial organizations are facing barrier at the same time.

Skilled Human Resource: Skilled manpower is needed to utilize the available


technology and infrastructures. Bangladesh lacks manpower and it is affecting the
potentials because the public officials are not aware of the use and high potential of
Online business. Technical education should be included at all levels while English
efficiency, both verbal and written, should be increased. Skilled resource should be
involved in developing user friendly international standard software. Internet is mainly
used for gathering and sharing information. A good segment of the users uses Internet for
entertainment. However, entertainment business based on Internet is not available in
Bangladesh till now. Web radio and TV may offer a new way for delivering services to
the customers. Recently, Internet radio is available but they are not familiar to the masses
and thus lose the opportunity to do business.

Online education and healthcare service is yet to start. Very few sites on personal
initiative on health and medical services are available but they are not up to the mark.
Online education can do well using electronic means but lack of necessary infrastructures
is hindering the process. It should be understood that only Internet connection is not
adequate for the development of Online business. Internet is nothing but a component of
the environment. The environment should be developed wholly. Various researches find
out that people in Bangladesh are friendly to technical innovation. In order to improve the
standard of life the people here can adopt the Online business system easily.
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1.5.3 Choice the Customers


We have to think about the customers and it can be devided the customer into some
categories like:
1. Regular customer or users
2. Possible customers
3. Qurious customers

1.5.4 Customer Analysis


The Customer Analysis section of the business plan assesses the customer segments that
the company serves. In it, the company must
1. Identify its target customers
2. Convey the needs of these customers
3. Show how its products and services satisfy these needs

The first step of the Customer Analysis is to define exactly which customers the company
is serving. This requires specificity. It is not adequate to say the company is targeting
small businesses, for example, because there are several million of these types of
customers. Rather, an expert business plan writer must identify precisely the customers it
is serving, such as small businesses with 10 to 50 employees based in large metropolitan
cities on the West Coast.

Once the plan has clearly identified and defined the company's target customers, it is
necessary to explain the demographics of these customers. Questions to be answered
include:
1. How many potential customers fit the given definition and is this customer base
growing or decreasing?
2. What is the average revenues/income of these customers?
3. Where are these customers geographically based?

After explaining customer demographics, the business plan must detail the needs of these
customers. Conveying customer needs could take the form of past actions (X% have
purchased a similar product in the past), future projections (when interviewed, X% said
that they would purchase product/service Y) and/or implications (because X% use a
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product/service which our product/service enhances/replaces, then X% need our


product/service).

The business plan must also detail the drivers of customer decision-making. Sample
questions to answer include:
1. Do customers find price to be more important than the quality of the product or
service?
2. Are customers looking for the highest level of reliability, or will they have their own
support and just seek a basic level of service?

There is one last critical step in the Customer Analysis -- showing an understanding of the
actual decision-making process. Examples of questions to be answered here include:
1. Will the customer consult others in their organization/family before making a decision?
2. Will the customer seek multiple bids?
3. Will the product/service require significant operational changes (e.g., will the customer
have to invest time to learn new technologies and will the product/service cause other
members within the organization to lose their jobs etc.)

It is essential to truly understand customers to develop a successful business and


marketing strategy. As such, sophisticated investors require comprehensive profiles of a
company's target customers. By spending the time to research and analyze my target
customers, you will develop both enhance my business strategy and funding success.
The report is made besed on the diagram in below:
Figure 1: Boundary of Internet marketing

1.5.5 SEO (Search Engine Optimization)


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Search engine marketing firm announces soon that they will open an internet marketing
agency in around the world. Internet Marketing Company currently works with
companies to provide them with marketing online, link building services, reputation
management and other services. The company provides a free online quote for interested
parties, as well as a list of all the services and prices they offer. They work with clients in
world, to help them drive traffic to their site. With decades of experience in the search
engine marketing industry, our Bangladeshi companies are able to provide the highest
quality of expertise and knowledge. (Z. Gyongyi et al 2005) The specialists at Internet
Marketing Company can help us to research and decide on the best suitable keywords for
our business with a potential plan on achieving top ranking results.

Internet Marketing Company delivers effective and cost-effective SEO services that help
companies compete and attract new customers driven by listings among the top search
engine results. Professionals at the Internet Marketing Company have the expertise and
experience to enhance exposure of a business on major search engines. And the better a
brands exposure, the better a company can reach the customers and prospects who rely
on search engines every day to research, find, and buy new products and services. With
SEO from Internet Marketing Company, everyone can see resultsfast, easy,
and guaranteed.

1.5.6 Branding
The taditional definition of a brand is the "identity" of a company's business. However, in
today's marketplace it is more than just an identity, it has to be an experience. As
technology has advanced over recent years, it is absolutely necessary to consider brand
development as a major part of any interactive marketing effort. Being consistent across
business cards, pamphlets, newspaper and radio isn't easy. And, maintaining that same
type of effort online can be a lot more difficult. In order to successfully manage brand
development and strategy, we need a strategic plan that protects the integrity of our brand
and our message while embracing all the advantages that the interactive spectrum can
offer.

Red Clay Interactive specializes in helping our clients move brands online while
providing the flexibility for them to truly expand into their new interactive space. In this
new space, all brand development efforts must consider not only a consistent website
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presence, but all interactive channels from social media to media buying. Our team will
take the time to understand the business, industry and competitors in order to provide a
set of solutions that work for customer. It's not just about developing a nice website, but
about developing overall brand so users can experience who and what we stand for
through every interaction they have with organization.

In the end, company's brand presentation across channels is just as important as the
appearance of physical location. They all portray an impression that can invite new
customers, extend existing relationships or turn them all away. Partnering with Red Clay
Interactive results in a truly strategic brand development plan and a brand presence that
can be second to none.

1.5.7 Internet Marketing Strategy


Explore strategies and techniques that we can use on the Internet that will enhance and
support our business's overall marketing objectives. Learn how to conduct banner
promotions, generate targeted online traffic, positioning our content, and over all brand
awareness. Small Business Guide to Creating an Effective Online Presence -Having a
website that is an effective marketing tool and takes work. Learn the four components of
an effective website for small businesses.

1.5.8 Social Media Marketing-Mind our Manners


We must mind our manners in order for our efforts in social marketing to be successful.
Social media marketing is about interaction, interaction creates relationships and those
relationships open up the opportunity for us to share information about our products and
services. Good manners is essential when it comes to interacting with others using social
media networks as a marketing tool. (Fernando Angelo, 2007)

1.5.9 Online Video and the Impact It Can Have on our Marketing
Video is making an impact when it comes to our marketing. If we haven't already, its
time to consider using video to market our business. It doesnt matter what size business
we have, video is an affordable and effective tool that can help us connect with customers
and prospects.

1.5.10 Marketing Online - Men and Women Use the Internet Differently
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We know that when it comes to the way men and women shop; it's different. Men waltz
into a store to gather what they came for while women will take the time to browse and
explore the new products that have been introduced in the sales. The same is true when it
comes to the online behavior of men and women; gender stereotypes apply. Take a few
moments to learn how both men and women use the internet and how that information
can help you in positioning your product or service.

1.5.11 Explore the Benefits of Marketing Online


Marketing online offers many benefits that we dont find in traditional marketing and
many companies are embracing those benefits during these tough economic times.

1.5.12 Social Media Marketing


Gain the knowledge we need to begin putting it to work for us and our business.

1.5.13 B2B Marketing Reasons to Adopt Social Media Marketing


Adopting social media marketing has been difficult for the B2B business. A recent study
has revealed that 69% of B2B buyers use social media to assist them in business
development and decision making. Can B2B companies really afford to continue to
dismiss social media marketing techniques as an effective way to get the word out about
their products and services.

1.5.14 Segmentation
1. Understand searcher personas-Its fundamental marketing to anticipate and understand
customer needs.
2. Develop an ideal keyword mix- Many companies start with a list of keywords they
think are best for SEO and implement them with on-page optimization and link building.
3. Optimize content for specifics- Content can mean web pages, digital assets and any
other documents that can be optimized for organic search.
4. Wrap-up- Fragmented marketing with search helps no one. Marketers would do well
for themselves and the customers theyre tying to reach by paying attention to the
development of searcher personas, developing quality keyword research and optimizing
specific pages and digital assets for specific phrases according the searcher needs.

1.6 ANALYSIS
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Analysis includes the following areas:


1.6.1 Sales
Purchases percentage increasing
Increasing of products amount in one order
Increasing of an average bill of one purchase

1.6.2 Marketing
Decreasing of marketing expenses for each purchase
Brand awareness increasing
Growth of conversion rate turning visitors into buyers
Increasing of repeated purchases amount
Increasing of registrations amount
Increasing of references amount in the network

1.6.3 Call-Center
Increasing of handled calls amount
Growth of conversion rate turning calls into sales
Consultancy time reduction
Reduction of calls not related to order placing (guarantee, uptime, etc.)

1.6.4 Web Development


Higher pages download speed
Reduction of downtime of a site
Reduction of unavailable pages amount(the 404-th and other)

1.6.5 Search engine optimization


Increasing of visits from organic search
Increasing of revenue from visitors who come from search engines etc.

1.7 ADWORDS OFFERS FOUR DIFFERENT KEYWORD MATCH TYPES


1.7.1 Broad Match
This is AdWords default option. Broad match shows ad when any combination of the
searchers term is entered. For example, if I searched on Internet Marketing our ad
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could potentially be served for queries containing a combination of words including


internet, marketing and possibly along with other terms or synonyms.

1.7.2 Phrase Match


Entering keyword in quotation marks, such as Internet Marketing enables phrase match.
In this case, AdWords will only serve our ad if the search query contains your keyword or
keyword phrase in the exact order you specified. For example, a search for best internet
marketing, internet marketing and internet marketing for small business would meet
the criteria to serve ad. But a search for marketing on the internet will not.

1.7.3 Exact Match


Placing your keyword in brackets [Internet Marketing] designates Exact Match. With this
option, your ad will only qualify for search terms that use the exact phrase within the
brackets.

1.7.4 Negative Match


Last but not least is AdWords negative match. This is done by adding a minus sign before
keyword such as -Internet Marketing, or selecting negative match within AdWords
account. This applies a keyword filter in AdWords account where ad will not be served if
the search term contains the negative match keyword.

Chapter: 02
ONLINE BUSINESS IN BANGLADESH

2. Online Business Concept


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Online business is trading products or services over computer networks, and the most
popular of all such networks is the Internet. It could be thought of as the modern version
of the mail-order purchase by catalogue, and can be conducted by both individuals and
firms and almost any good or service can be offered, from books and toys to plane
tickets and medical services. It allows 24/7 shopping and many choices for consumers,
but limits customer contact and verification by checking the actual goods.

2.1 MARKETING STRATEGY


Bangladesh is one of the top 10 countries with the largest population where emerging
trends are headed for smartphones and online transactions. The young people these days
possess entrepreneurial skills and wish to make progress. The e-commerce industry in
Bangladesh is experiencing new horizons of success and innovation as more and more
online trading platforms are emerging on daily basis. A look into kaymu's unveiling of
the large market potential would tell us that Kaymu catered to an important need. Kaymu
not only caters to big companies but also to individuals, giving their businesses a chance
to grow by providing a medium.

To get maximum people's attraction, the main strategy kaymu follows is:
2.1.1 Giving Advertisements Online
The mother company Rocket Internet makes different rules for its different ventures. So it
did for kaymu; that no offline marketing is allowed. Which means as much as we can
promote kaymu but only online? For example: giving ads on other websites is one of the
main strategies to grab maximum attention.

2.1.2 Using Youtube as a Large Media


Not only still pictures, kaymu also promotes itself on YouTube, one of the large platform
where not only in Bangladesh but also from all over the world can see what kaymu
Bangladesh can do.

2.1.3 Blogs/Write-ups
kaymu's social media does a great job by posting minimum 10 blogs on kaymu.com.bd
every month so that people can also read about it.
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2.1.4 Targeting Celebrities


Kaymu recently signed an agreement with Bangladesh national cricket team opening
batsman Tamim Iqbal. As per the deal, Tamim will use Kaymu's sticker on his bat. The
agreement was signed at Kaymu's Banani office in the city. Kaymu Bangladesh chief
executive George Wolf and chief public relation officer Sayeda Umaela Akter were
present at the signing ceremony.

2.1.5 Collaborating With Prothom Alo Digital


Kaymu.com.bd, one of the online shopping communities in Bangladesh, has signed an
agreement with ProthomAlo Digital (a concern of Mediastar Limited) to feature
Prothoma Store at Kaymu.com.bd. By giving Kaymu users all across Bangladesh access
to such a great assortment of books on the Prothoma e-store, both companies are
venturing into unchartered territory.

2.1.6 Facebook Promotion


kaymu has an official facebook page with more than 40 lacs likes. Time to time giving
posts about new products in kaymu's website makes the visitors crazier to love the
service.

2.1.7 Targeting Different Occasions


On this year's Pahela Baishakh, 1422; kaymu arranged a large program with its
employees along with successful sellers with lots of funfair and enthusiasm. So that these
sellers can go home thinking they are with a big organization which not only think about
the profits but also gives good attention to their precious clients. Thus a corporate
relationship is made. (http://www.
These are the main strategies of kaymu. Apart from that, thinking about the marketing
theory/ marketing mix, the 4 p's - Product, Price, Promotion, Place; kaymu covers all of
them pretty nicely.

Kaymu sells all kind of products starting from clothing, footwear, jewelry, home and
living appliances, health and beauty products, electronics, food and beverage and so on.
By these we get the clear idea that kaymu doesn't only represent one or two kind of
products but a large variety of them.
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In kaymu.com.bd there are products that cost 1000 tk. to more than 10,000 tk. So that
anyone can afford to shop online.
Though kaymu's policy does not give the freedom to give any television ads but so far
whatever kaymu did was enough to make around 40 lacs people to know that kaymu
exists.

From all over Bangladesh anyone can give the order for any product through kaymu's
website. So place is not at all a big issue. Also kaymu provides a very organized and
trustworthy delivery service controlled by ajkerdeal, another venture of Rocket Internet.

2.2 MARKETING STRATEGIES OF ONLINE BUSINESS


Figure 2: Marketing Strategies of Online Business

2.2.1 Penetration
When marketers try to sell the existing product to the existing customers, they engage in
penetration strategy. It can be achieved in multiple ways. For example, by changing
pricing, by adding minor features, changing the packaging or highlighting alternative
uses. In cookie jar when we pitch a client for their social media account and when we
got their account we then asked for making their website, their visuals and courage them
to start different media platform

2.2.2 Product Development


We have developed different service and platform day-to-day basis as we know that the
platform we are using is different and it needs regular development so we have to
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develop our service according to changes. For Example: Facebook ad campaign systems
change every quarterly and according to that we need to change our entire ad set.

2.2.3 Market Development


Introducing an existing product in different markets is perhaps one of the most used
strategies to extract full benefit of a successful service. A very common example is
entering different geographical areas nationally and internationally. Cookiejar is for now
working on different local and multinational companies but still we dont have any
international customers. But soon we are hoping for get some.

2.2.4 Diversification
Cookie jar is digital wing of Asiatic events and when Asiatic saw that opportunity that in
Bangladesh digital marketing is growing they start to also diversify their business and
start a digital wing and in future we are hoping to get an extraordinary result.

2.3 By Sales Type


Business-to-Consumer (B2C)-In a Business-to-Consumer Online business environment,
companies sells their online goods to consumers who are the end users of their products
or services. Usually, B2C Online business web shops have an open access for any
visitor, meaning that there is no need for a potential customer to login in order to make
any product related inquiry. Example- Amazon.com.

Business-to-Business (B2B)-In a Business-to-Business environment, companies sell


their online goods to other companies without being engaged in sales to consumers. In
most B2B Online business environments, entering web shops will require a log in. B2B
web shop usually contains customer-specific pricing, customer-specific offering types
and customer-specific discounts. Example- Alibaba.com.

Consumer-to-Business (C2B) -In a Consumer-to-Business environment, consumers


usually post their products or services online on which companies can post their bids.
A consumer reviews the bids and selects the company that meets his price. Consumer-
to-Consumer (C2C)-In a Consumer-to-Consumer environment, consumers sell their
online goods to other consumers. Example: Ebay.com, Bikroy.com.
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2.4 Online Business Practice in Bangladesh


Online business in Bangladesh actually stated in the year of 1999 based in USA with
some non-resident Bangladeshis. This people opened some Bangladeshi sites focused on
providing local news and some transactional things like sending gift items to
Bangladesh.
The first ever online business site in Bangladesh is www.munshigi.com. List of different
online business-type web sites:
www.bikroy.com
www.olx.com
www.kaymu.com
www.cellbazar.com
www.clickbd.com
www.chorka.com
www.chaldal.com
www.hutbazar.com
www.bdjobs.com
www.shoppingcart.com
www.upohar.com
www.ushop.com
www.hungrynaki.com
www.foodpanda.com
www.kroybikroy.com
www.kholabazar.com
www.bestway.com
www.sonalibangla.com
www.e-bangla.com
www.bangladeshinfo.com
www.bdbazar.com
www.quickezine.com
www.Webbangladesh.com
www.deshigift.com
www.bangla2000.com
www.banglabaskets.com

2.5 Products/Services Offered by Kaymu


Kaymu is, first and foremost, an online marketplace of its kind. One can browse
through categories like - Clothing, Footwear, Jewelry, Watches, Mobiles &
Accessories, Jewelry, Books & Media, Electronics, Footwear, Watches, Mobiles,
Computers, Electronics, Home & Living, Health &Beauty, Toys, Kids & Babies,
Books & Media, and Sports & Outdoors and so on to see all the products under
these.
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When a customer sees something they like, they click on the product and view
the details that include pictures, descriptions, payment options and shipping
information.
Customers also can search for their desired products by using keywords in no
time. Kaymu provides advanced search option in which Customers can narrow
down their search and shop comfortably.
Just as one can buy almost anything on eBay, one can sell almost everything, too.
Using a simple listing process, one can put all of the junk in their basement up
for sale. People can sell old laptops, clothing, furniture, etc.
But if one wants to sell as a business, they need to enlist in Kaymu as a Kaymu
seller via which they get a Kaymu e-store. When one sells an item on Kaymu,
they pay a certain percentage of the final sale price to Kaymu.
There is no listing fee except this commission on sales and for people selling
personal products, there is no commission either. Kaymu operates an online
marketplace enabling end customers to buy and sell basically anything online.

2.6 Statistics of Bangladesh


The World Bank indicates that 6.5% of our population was internet users in 2013. 111
Internet service providers (ISP) serve the nation with an extra 84 in the central zone. 3
companies provide Wi-Max and an unknown number of LAN service providers (LSP)
serve so called broadband internet (which has much faster speeds than the theoretical
definition of broadband).

Ekhanei.com: Ekhanei is the official Facebook brand page of buying and selling
website ekhanei.com. One of their main objectives of presence on social media websites
such as Facebook is to drive traffic to their main webpage ekhanei.com. Their strategy is
different from other pages because for other brand pages their main objective is to
communicate their brand message and create engagement among online consumers on
Facebook page but on Ekhanei brand page it is to divert the consumers to their own
webpage and generate sales. Its digital marketing is also wider than Airtelbuzz and
Nokia. Airtelbuzz use both the pages increase and post likes through page promotion
and post promotion but for Ekhanei it is also Google ad word advertisement, search
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engine optimization and search engine marketing which other Brand pages dont
mentioned above.

Currently Ekhanei has around 2300000 fans on its page with a people talking about it of
80,000 which show that people are well engaged with this page through likes, comments
and shares of its posts. The other observation is that they mostly post product related
posts with links to their website rather than lifestyle post which Airtelbuzz. Ekhanei also
uses funny and entertaining video on their Facebook page which is product related to
gain attention and engagement of consumers to divert them to their main web page to
generate more buying and selling through their website.

Chapter: 03
LITERATURE REVIEW

3. WORLD WIDE ONLINE BUSINESS


English entrepreneur Michael Aldrich was a pioneer of online shopping in 1979. His
system connected a modified domestic TV to a real-time transaction processing
computer via a domestic telephone line. He believed that videotext, the modified
domestic TV technology with a simple menu-driven human computer interface, was a
'new, universally applicable, participative communication medium the first since the
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invention of the telephone. This enabled 'closed' corporate information systems to be


opened to 'outside' correspondents not just for transaction processing but also for e-
messaging and information retrieval and dissemination, later known as e-business. His
definition of the new mass communications medium as 'participative' was fundamentally
different from the traditional definitions of mass communication and mass media and a
precursor to the social networking on the Internet 25 years later. In March 1980 he
launched Redifon's Office Revolution, which allowed consumers, customers, agents,
distributors, suppliers and service companies to be connected on-line to the corporate
systems and allow business transactions to be completed electronically in real-time.
During the 1980s he designed, manufactured, sold, installed, maintained and supported
many online shopping systems, using videotex technology. These systems which also
provided voice response and handprint processing pre-date the Internet and the World
Wide Web, the IBM PC, and Microsoft MS-DOS, and were installed mainly in the UK
by large corporations.

The first World Wide Web server and browser, created by Tim Berners-Lee in 1990,
opened for commercial use in 1991. Thereafter, subsequent technological innovations
emerged in 1994: online banking, the opening of an online pizza shop by Pizza Hut,
Netscape's SSL v2 encryption standard for secure data transfer, and Inters hops first
online shopping system. The first secure retail transaction over the Web was either by
Net Market or Internet Shopping Network in 1994. Immediately after, Amazon.com
launched its online shopping site in 1995 and eBay was also introduced in 1995.
Alibaba's sites Taobao and Tmall were launched in 2003 and 2008, respectively.
Retailers are increasingly selling goods and services prior to availability through
"pretail" for testing, building, and managing demand.

3.1 Customers
Online customers must have access to the Internet and a valid method of payment in
order to complete a transaction. Generally, higher levels of education and personal
income correspond to more favorable perceptions of shopping online. Increased
exposure to technology also increases the probability of developing favorable attitudes
towards new shopping channels. In a December 2011 study, Equation Research
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surveyed 1,500 online shoppers and found that 87% of tablet owners made online
transactions with their tablet devices during the early Christmas shopping season.

3.2 Product Selection


Consumers find a product of interest by visiting the website of the retailer directly or by
searching among alternative vendors using a shopping search engine. Once a particular
product has been found on the website of the seller, most online retailers use shopping
cart software to allow the consumer to accumulate multiple items and to adjust
quantities, like filling a physical shopping cart or basket in a conventional store. A
"checkout" process follows (continuing the physical-store analogy) in which payment
and delivery information is collected, if necessary. Some stores allow consumers to sign
up for a permanent online account so that some or all of this information only needs to
be entered once. The consumer often receives an e-mail confirmation once the
transaction is complete. Less sophisticated stores may rely on consumers to phone or e-
mail their orders (although full credit card numbers, expiry date, and Card Security
Code,[12] or bank account and routing number should not be accepted by e-mail, for
reasons of security).

3.3 Payment
Online shoppers commonly use a credit card or a PayPal account in order to make
payments. However, some systems enable users to create accounts and pay by alternative
means, such as:
Billing to mobile phones and landlines[13][14]
Cash on delivery (C.O.D.)
Cheque/ Check
Debit card
Direct debit in some countries
Electronic money of various types
Gift cards
Postal money order
Wire transfer/delivery on payment
Invoice, especially popular in some markets/countries, such as Switzerland
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Bitcoin or other cryptocurrencies


Some online shops will not accept international credit cards. Some require both the
purchaser's billing and shipping address to be in the same country as the online shop's
base of operation. Other online shops allow customers from any country to send gifts
anywhere. The financial part of a transaction may be processed in real time (e.g. letting
the consumer know their credit card was declined before they log off), or may be done
later as part of the fulfillment process.

3.4 Product Delivery


Once a payment has been accepted, the goods or services can be delivered in the
following ways. For physical items:
Shipping: The product is shipped to a customer-designated address.
Retail package delivery is typically done by the public postal system or a
retail courier such as FedEx, UPS, DHL, or TNT.
Drop shipping: The order is passed to the manufacturer or third-party distributor,
who then ships the item directly to the consumer, bypassing the retailer's physical
location to save time, money, and space.
In-store pick-up: The customer selects a local store using a locator software and
picks up the delivered product at the selected location. This is the method often used
in the bricks and clicks business model.

3.5 For digital items or tickets


Downloading/Digital distribution:[15] The method often used for digital media
products such as software, music, movies, or images.
Printing out, provision of a code for, or e-mailing of such items as admission
tickets and scrip (e.g., gift certificates and coupons). The tickets, codes, or coupons
may be redeemed at the appropriate physical or online premises and their content
reviewed to verify their eligibility (e.g., assurances that the right of admission or use
is redeemed at the correct time and place, for the correct dollar amount, and for the
correct number of uses).
Will call, COBO (in Care Of Box Office), or "at the door" pickup: The patron
picks up pre-purchased tickets for an event, such as a play, sporting event, or concert,
either just before the event or in advance. With the onset of the Internet and e-
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commerce sites, which allow customers to buy tickets online, the popularity of this
service has increased.

3.6 ONLINE BUSINESS SITES IN BANGLADESH


Kaymu.com.bd
3.6.1 History
Founded in December 2012, Kaymu.com.bd is a venture of Rocket Internet AG, one of
the worlds largest startup incubators. Since then, growth has been phenomenal and now
the site enjoys nearly 500,000 visitors per month. Kaymu.com is also operational in
around 40 other countries of the world.

3.6.2 Goal
The goal of Kaymu.com is to provide a smooth online shopping experience for
Bangladeshi customers, as well as providing convenient methods for payment such as
the popular cash on delivery, KaymuSafepay and Advance payments. It aims to achieve
this goal by bringing reliable sellers and buyers together in a solid B2C platform.

3.6.3 Operation
Both buyers and shoppers have to register at kaymu.bd, and then shop and post goods:
the and is here because a registered visitor can buy and sell from the same Kaymu
account, if he/she chooses to. Kaymu is also intent on being convenient to the seller, by
ensuring that payments are properly made. In keeping with their easygoing vibe,
registration for sellers is totally free, but of course, Kaymu receives commissions for the
sales made.

Finally, the site also ensures that transactions actually took place by contacting the buyer
and seller by phone and email.
Strength- Convenient measures.
Weakness- Apparently none: and this is the reason for the rapid rise in
popularity.
Opportunity- Including product suggestions, providing discounts to existing
customers
Threats- Existing Competition- akhoni, ekhanei, bikroy etc.

3.7 COMPARISON OF ONLINE BUSINESS SCENARIOS


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3.7.1 Developed Country Example: United States of America


81% of US citizens use the internet; the country houses some of the biggest ISPs in the
whole world, with unrivaled speeds. This is the environment in which Online business
giants such as Amazon and Ebay have flourished, and others continue to flourish.
A 2013 study by Walker Sands reveals that nearly 2/3rd of surveyed Americans shop
online for at least once per month, thus revealing widespread popularity of online
shopping. So what products do American consumers buy online the most? The Top 5
are Consumer Electronics (68%), Books (67%), Clothing and Apparel (63%),
Household goods (38%) and Office Supplies at 30%.
Figure 3: Online shopping

What drives such popularity? 80% of consumers would buy if free shipping is
provided, and a still-impressive 66% is willing to buy with one-day shipping. 64% of
consumers will make a purchase if free returns and lucrative exchange offers are in
place.

The same Walker Sands Study tells us that 30% of the surveyed group will spend more
than $1000 (77,600 Tk) on an online purchase if it has free shipping and returns, and
only 10% will buy a product priced above $1000 online without free shipping and
returns. It can be seen that free shipping is deemed very convenient and may facilitate
purchases of costlier goods.

3.7.2 Amazon.com
When it comes to USA, it would not do justice to go along without mentioning
Amazon.com, one of the most popular online stores on the planet; it was found by an
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American, Jeff Bezos in Seattle, Washington, America. In the study, it is seen that a
whopping 95% of the surveyed sample have bought something from Amazon in the last
year, and 40% are willing to buy absolutely any product from Amazon. 37% of the
sample disclosed that they would be hesitant to purchase food and groceries from
Amazon, and 29% would hesitate to purchase luxury goods. In both of these cases, the
majority would still consent to buying these goods from Amazon, as well as all the other
categories.

Online business through mobile devices is highly prevalent- 64% of consumers use
theirs to research products before buying them. 52% would buy products if the retailer
offers instore navigation with a mobile device, and 59% would be willing if the store
had checkout via mobile.

Forrester has forecasted that US online retail sales would grow by 57% by 2018; from
$263 billion in 2013 to $414 billion in 2014, which shows a whopping annual growth
rate of 9.5% compounded. Consumers aged 25-33 years spend the most of all age
groups on online shopping in the US-an average of $563 for the last 3 months. Fast
growth creates its own challenges- retailers must ensure smoother and faster checkout,
and that too from mobile devices, which from the aforementioned statistics, prove to be
the rising means of store access for US online shoppers.

3.7.3 Developing Country Example


Pakistan
In 2013, 10.5% of the population was internet users, and new online business sites keep
emerging. Pakistans online business has been valued at Pakistani Rupee 4.5 Billion per
year, as of 2013.

In Pakistan, there are 31 million Internet users. 15 million of them browse through
mobile devices, according to the Pakistan Telecom Authority. Pakistans 125 million
active mobile device users, out of population of 190 million, give it the fifth-largest
number of mobile phone users in Asia. The market size and large online population lay a
strong foundation for Internet retailing.
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Internet retailing in Pakistan started in late 1997 with brands such as Liberty Books and
Gift Express, with the first payment gateway provided by Citibank and e-store powered
by The Cyber Bridge. Since then, several stores have been set up in various categories,
including gifts, books, music, movies, consumer electronics, computers, clothing and
footwear. Classified sites, such as OLX, Deals Today and Kaymu provide platforms for
online trading. There is no formal estimate on online retail sales in Pakistan, due to cash
on delivery being popular and in-case of selling to expatriate Pakistanis; other third-
party arrangements are used.

U.S.-based Amazon.com Inc. ships items to Pakistan. Also, U.S. retailers like Macys
Inc. and J.C. Penny Co. Inc. let customers choose Pakistan as the country of delivery
and price items in Pakistani rupees. Unlike in the USA, where most online consumers
pay with credit and debit cards, Pakistani consumers prefer to pay through online
banking or through cash on delivery. There is only one domestic gateway maintained by
UBL (United Bank Ltd), which processes Visa and MasterCard transactions. In Pakistan,
online shopping is also not as massively widespread as in USA. Perceptions are
therefore on a different rung on the ladder. A 2012 report claims that 43.7% of
consumers buy online due to the convenience it provides, 23% buy due to lower prices
online, and 18% make purchases resulting from positive reviews from friends and
family. Speaking of reviews, another study from 2012 reveals that 60% of the sample
discourages online shopping. The same study shows that 70% found online shopping to
save time and 49% found it convenient. Opinions of prices being higher, lower or the
same as real-world market price was mixed, and 58% of respondents felt secure about
making purchases online. The attitudes reflect that of a developing Online business, but
overall show a gradually developing positive bent towards online-shopping.

3.8 BARRIERS
3.8.1 Chances of Fraud
Those who are not shopping online have repeatedly mentioned about the fact that there
is a high chance of being trapped in online shops. Many social online sites are there who
have been victim of fraud. So they dont trust this channel for shopping.
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3.8.2 Insecurity
People are insecure of ordering product online because of chances of getting lower
grade products or fake products. They say that when they are ordering online they are
not sure of what quality products they will be receiving.

3.8.3 Payment issue


Though most of the websites have cash on delivery system of payment. But still there
are many sites who demand a certain percentage of money in advance through Bkash or
online payment. People say this process involves risks of being victimized of fraud,
insecurity of losing credit card information.

3.8.4 Less disclosure about product


Another issue that creates obstruction for people to shop online is that during shopping
online people dont get to see detailed specification of the product. And they also dont
get to ask the sales person about it. So there is no direct communication. So many
customers dont prefer going for online shopping because of it.

3.8.5 Future Buying behavior


12% of the respondents are not ready to buy from online in future because they do not
trust this channel. They prefer a physical shopping where they can physically see the
product and communicate with the seller directly. According to them physical shopping
reduces chances of fraud. 34% of the respondents are willing to buy more in future
provided their expectations are met. 54% of the respondents will buy the same in future.

3.8.6 Recommendation
The products we make are the basic necessities of any household. We are a FMCG
company and our products moves faster than anything. So for such a very fast moving
product it is very important to have a super fast accessibility to customers when we are
planning to go online. Our products are readily available in the nearest shops of any
person. So for us to seize the e-channel, we have to build a very speedy and fastest
delivery system. In a very densely populated country like ours, where human traffic and
transport traffic both is at the peak, ensuring fastest delivery is very difficult. So for that
I have few recommendations
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To create a central warehouse hub and at least 1 touch point within maximum 4 sq.
km. area. The city will be divided into several zones and each zone will have one
touch point. Each touch point will take orders from the zonal websites whose data
will be centrally coordinated by the central hub. The central database will keep
record of the products in the touch points and ensure all time availability by
alarming the employee when number of product goes down under certain number.
To provide post purchase service to the customers so that we can hear to their
complains and they dont feel that they are not able to come in contact with the
seller.
In this way they will be ensured that they are not being betrayed with fake products
and will not feel insecure.

Chapter: 04
OVERVIEW TOP ONLINE BUSINESS SITE IN BANGLADESH

TOP FOUR ONLINE BUSINESS SITES IN BANGLADESH:


1. Bikroy.com
2. Kaymu.com.bd
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3. Ajkerdeal.com
4. Ekhanei.com

4.1 Bikroy.com
4.1.1 Company Overview
Bikroy.com is a free classified e-marketplace, i.e. it serves as middle man between buyer
and the seller. This service is can be attained from their website, or their mobile
application.
Figure 4: www.bikroy.com website

Figure 5: Bikroy.com mobile apps


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Bikroy.com is probably the safest and most convenient choice for buying and selling all
across Bangladesh. The website has been in operation since 2012. This service allows
anyone in Bangladesh to buy and sell in their region conveniently in a very simple
manner without registration and complicated procedures. Ads can be posted for free and
browsing with GrameenPhone Internet is free as well. Thus, Bikroy.com aims to attract
more traffic that is more people posting ads on the website, to generate profit.

4.1.2 Company Profile

Web address bikroy.com


Slogan The Largest Marketplace in Bangladesh.
Commercial Yes
Type of site Marketplace
Registration Optional
Available in Bengali, English
Launched 1 June 2012
Alexa rank 5,928 in world, (21 in Bangladesh) (Apr 2016)
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Current status Active

4.1.3 Using the service


The website first requires a user to select a location. After that, the list of advertisements
show up and the user can browse through one of eight primary categories:
Cars, Motorcycles & Vehicles
Phones, Computers & Electronics
Fashion & Personal Items
Home & Living
Hobbies, Pets & Sports
Property & Housing
Jobs & Services
Business, Agriculture & Food
Figure 6: Product Search Option

These categories are subdivided into specialized categories and there is a ninth category
Others which does not fall under any of the above classifications. An item can be
clicked to view in detailed mode and the buyer can directly contact the seller via phone
number provided in the ad. For a use who wants to sell an item, they can click the Post
your free ad button on the home screen and follow a series of steps to post an ad. A
general description of the product, a price and contact number is required to post the ad.
The ad goes into review, and within 24 hours, if it attains to the policies of the site, the ad
is posted.
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4.1.4 Products/ Services Offered by Bikroy.com


Bikroy.com is, first and foremost, an online marketplace of its kind. One can browse
through categories like Clothing, Footwear, Jewelry, Watches, Mobiles & Accessories,
Jewelry, Books & Media, Electronics, Footwear, Watches, Mobiles, Computers,
Electronics, Home & Living, Health &Beauty, Toys, Kids & Babies, Books & Media, and
Sports & Outdoors and so on to see all the products under these. When a customer sees
something they like, they click on the product and view the details that include pictures,
descriptions, payment options and shipping information.
Customers also can search for their desired products by using keywords in no time.
Bikroy.com provides advanced search option in which Customers can narrow down their
search and shop comfortably. Just as one can buy almost anything on eBay, one can sell
almost everything, too. Using a simple listing process, one can put all of the junk in their
basement up for sale. People can sell old laptops, clothing, furniture, etc. But if one wants
to sell as a business, they need to enlist in Bikroy.com as a Bikroy.com seller via which
they get a Bikroy.com e-store. When one sells an item on Bikroy.com, they pay a certain
percentage of the final sale price to Bikroy.com. There is no listing fee except this
commission on sales and for people selling personal products, there is no commission
either. Bikroy.com operates an online marketplace enabling end customers to buy and sell
basically anything online.

4.1.5 Segmentation
Because of the nature of the service provided, Bikroy.com is open to all with internet
access and a Smartphone or a computer. However, it is not possible to serve all of the
market, and fulfill their needs and wants. The following segmentation can be done for a
better, focused service to customers within this segment.
4.1.5.1 Demographic Segmentation
Bikroy.com serves anyone in any place within Bangladesh and allows them to buy and
sell within their region. Both genders fall within the target demographic. Since selling and
buying is mostly trusted towards adults, the segmented age should be 18 years and older.
Bikroy.com best serves income groups from lower middle to upper middle class.

4.1.5.2 Behavioral Segmentation


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A prerequisite to attaining the service is having access to the Internet and being able to
operate a Smartphone, a tablet or a computer. It also requires the intended customer to be
inclined towards selling or buying objects or services online.

4.1.6 Consumer Profile


Target Market
Even after segmentation, the market is too large to cater to all needs and wants within the
market. Therefore, we suggest the following four basic target markets to channel
marketing strategies towards.
Figure 7: Consumer profile

Bargain Hunters Intelligent Buyers Convenience Evergreens


Seekers
Lower middle Middle class Middle class Upper middle
Mostly buyers Buyers and sellers
class class
Mostly buyers Tech savvy Look for ease of Higher age
Look for second- Spend time on transaction group (40 and
researching Do not spend
hand/used above)
products product much time on Mostly sellers
Younger age specification purchases/sale Look to sell
group (18-25) before making decision property,
Lower price is purchases Nuclear families, automobiles
priority Students, young young Senior level
professionals professional professionals,
retirees

4.1.7 The Leading Online Marketplace: Bikroy.com


Around 2012 on October Bikroy.com Bangladesh Ltd. started its journey in Bangladesh.
And on June 1, 2012 it was launched. As we know that Bikroy.com is the leading online
marketplace for emerging markets. It sells everything, starting from books, to mobiles &
tablets, fashion wear and accessories, electronics, jewelry, home and living products, kids
products and many more. It is the one stop solution for customers to find their products
online. It is the fastest growing online shopping platform in the emerging markets, with
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over million customers. Bikroy.com operates an online marketplace enabling end


customers to buy and sell basically anything online. Organizational structure/ operational
network organ gram Bikroy.com has different departments to run its operations in
Bangladesh. Right now Bikroy.com has 6 different departments which are also called
teams.
1. Sales
2. Human Resource
3. Customer Support
4. Finance
5. Public Relation
6. Seller Management

4.1.8 Marketing Strategy


Bangladesh is one of the top 10 countries with the largest population where emerging
trends are headed for smartphones and online transactions. The young people these days
possess entrepreneurial skills and wish to make progress. The e-commerce industry in
Bangladesh is experiencing new horizons of success and innovation as more and more
online trading platforms are emerging on daily basis. A look into Bikroy.coms unveiling
of the large market potential would tell us that Bikroy.com catered to an important need.
Bikroy.com not only caters to big companies but also to individuals, giving their
businesses a chance to grow by providing a medium.

To get maximum peoples attraction, the main strategy Bikroy.com follows is:
1.6.3.1 Giving Advertisements Online
The mother company rocket internet makes different rules for its different ventures. So it
did for Bikroy.com; that no offline marketing is allowed. Which means as much as we can
promote Bikroy.com but only online? For example: giving ads on other websites is one of
the main strategies to grab maximum attention.

1.6.3.2 Using YouTube As a Large Media


Not only still pictures, Bikroy.com also promotes itself on YouTube, one of the large
platform where not only in Bangladesh but also from all over the world can see what
Bikroy.com Bangladesh can do.
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1.6.3.3 Blogs/Write-ups
Bikroy.coms social media does a great job by posting minimum 10 blogs on
Bikroy.com.com.bd every month so that people can also read about it.

1.6.3.4 Targeting Celebrities


Bikroy.com recently signed an agreement with Bangladesh national cricket team opening
batsman Tamim Iqbal. As per the deal, Tamim will use Bikroy.coms sticker on his bat.
The agreement was signed at Bikroy.coms Banani office in the city. Bikroy.com
Bangladesh chief executive George Wolf and chief public relation officer Sayeda Umaela
Akter were present at the signing ceremony.

1.6.3.5 Collaborating With Prothom Alo Digital


Bikroy.com.com.bd, one of the online shopping communities in Bangladesh, has signed
an agreement with ProthomAlo Digital (a concern of Mediastar Limited) to feature
Prothoma Store at Bikroy.com.com.bd. By giving Bikroy.com users all across
Bangladesh access to such a great assortment of books on the Prothoma e-store, both
companies are venturing into unchartered territory.

1.6.3.6 Facebook Promotion


Bikroy.com has an official facebook page with more than 40 lacs likes. Time to time
giving posts about new products in Bikroy.coms website makes the visitors crazier to
love the service.

4.1.9 The Buying and Selling Process of Bikroy.com


Unlike other websites, Bikroy.com provides very flexible and user friendly process for
both the sellers and buyers to get registered in the website. Bothe the processes are
describes below:
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4.1.9.1 The Buying Process


To purchase something, one must have an account in Bikroy.com. One simply needs to
register by providing some basic information (name, address, birth date, phone number
etc.). With that account they can place orders on Bikroy.com. Once a buyer likes
something, he/she places an order online by clicking on buy now. After this, a text
message/email is sent with a code to validate the purchase. If the buyer validates it, the
seller can see it when they login to their account and then the seller is responsible for
calling up the buyer, confirming the order, answering to any necessary queries, and
deliver the product. If the buyer is unable to validate the order, a customer service agent
from Bikroy.com calls the buyer up and validates the order. And then the sellers process
starts as mentioned above. This process generally takes about 3-5 working days and the
buyer usually gets it by then unless there are other issues. Often, pre-payment is necessary
and then the delivery time becomes higher as the seller would not dispatch the product
without the buyer paying first.

Most sellers provide cash on delivery to buyers residing in Dhaka, meaning the buyers
can pay after the product reaches their home. Some sellers provide cash on delivery
facility outside Dhaka as well, but not most sellers. Following is a flow chart showing
how a customer can buy through Bikroy.coms website:
Figure 8: Category wise search

4.1.9.2 The Selling Process


To sell through Bikroy.com, one needs to have an account as well. Once an order is
placed it is showed in the account where details of the buyer is given with the product
details (the one that the buyer chose). The job of the seller is to contact the buyer, confirm
the order, answer queries of the buyer (if any) and deliver the product. The seller pays
Bikroy.com a percentage commission on the final sale amount. The commission payment
is made after a month. The advantages sellers get are the fact that the products stay with
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them so they are not stuck with stock that hasnt sold. Also, they get free marketing via
Bikroy.com. To get started with Bikroy.com as a seller, one needs to sign a simple
contract paper that enlists them as a Bikroy.com seller. Afterwards, they need to send their
product listings along with product details and images so that it can be uploaded in their
e-store. Sellers can upload from the front end as well by login into their accounts

Figure 9: Why consumer prefer shopping online

4.1.10 ANALYSIS
4.1.10.1 Group Influence
There is a significant amount of influence from primary groups, i.e. friends and family for
prospective consumers of this service. Because of cultural norms, it is usual for elderly
family members to provide advice in the purchase or sale of an item. The buying and
selling decision, and hence the use of the service is heavily dependent on the approval or
disapproval of the primary group. Informational influence can also have a role for a
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prospective consumer who has never used such a service before. Expert opinion is sought
out before making the decision to use the service, in this scenario. The opinion from the
expert is likely to change the sale or purchase decision and hence the use of the service.

4.1.10.2 Motivation
The only motivation for using the service is either the need or want to purchase a product,
or the need or want to sell a product. This can be divided into two categories:
Benefit derived from successful and satisfactory purchase/sale from the site will
motivate the user to sell through this site when there is need.
When there is an urgent need to buy or sell an item, the consumer will look to gain
maximum exposure hence will be motivated to use the site more often during those
times. This can lead to an approach-approach motivational conflict because
consumers usually post in all free classified marketplaces and therefore have no
incentive to select just Bikroy.com for the purpose.

4.1.10.3 Gender
From the consumer survey conducted we have found that a greater proportion of men use
Bikroy.com rather than women. There were only 33% female users compared to the 67%
male users, regardless of the fact that the service is targeted towards both genders.
Figure 10: Gender

Percentage of users

Male
33%
Female
67%

This is due to the risk and feelings of insecurity in posting mobile numbers in public sites.
Perpetrators use these phone numbers to harass women, and this deters many potential
consumers who would like to use the service, but cannot because of this persistent
problem.

4.1.10.4 Consumer Perception


The consumer perception is crucial to the existence of the service because without the
consumers, the company would cease to exist. Because of the unique nature and the
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newness of the industry, consumers are divided between embracing the technological
shifts and entering the e-marketplace, or sticking to traditional forms of buying and
selling.
Figure 11: Consumer perception

From where did you learn about


Bikroy.com?
TVC Online Friends or Fimily Newspaper or magazine Radio

4% 4%
3%
5%
Never heard of it 27% 57%

From the consumer survey conducted, we can see that Bikroy.com has a very good
exposure rate. They ran a series of humor based TVCs which were immensely popular
and allowed the general populace to learn about the brand. Only 4.4% of respondents had
never heard of Bikroy.com and 57.4% of respondents had first heard about it from the
TVCs.
Figure 12: Have use bikroy.com

Have you used Bikroy.com?

Yes
35% No
65%

Despite the high exposure, only 35% of respondents said that they had used Bikroy.com.
This means that the exposure was ineffective in its purpose. Although the brand and the
jingle were constantly being promoted, the association of the free classifieds e-
marketplace had not reached the target market.
Figure 13: For which purpose did you used Bikroy.com
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For which purpose did you used Bikroy.com?

16%
Buying Selling Both
40%

44%

Those of who had used Bikroy.com had bought and sold multiple categories of items.
From the consumer survey, we have found that there are more sellers (44%) than buyers
(40%) and there are users who have used the services for both buying and selling.
Figure 14: For which product category did you use Bikroy.com

For which product category did you use Bikroy.com?


60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%

The most popular category was Phones, Computers & Electronics (50%) among the
respondents, followed by Fashion & Personal Items (25%) and in third place Property &
Housing and Cars, Motorcycles & Vehicles (12.5%).

4.1.11 LEARNING
Learning is any change in the content or organization of long-term memory or behavior.
Before looking into the influence of learning, we examine the conditions of involvement
pertaining to the two features of Bikroy.com.
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4.1.11.1 Selling
The selling feature is a low-involvement process for the following reasons:
it is less time-consuming as it requires simply posting an advertisement on the site
about the product, along with description
does not involve price constraints and thus no limitations
has lower perceived risk as the person would not have to pay

4.1.11.2 Buying
On the other hand, buying is a high involvement process as:
it is more time-consuming due to involving searching for and evaluating available
options among a wide range of advertisements
involves price constraints and thus limits options and requires more calculations
higher perceived risk as the person would be subject to payment

4.1.12 CUSTOMER ATTITUDE


The general attitude of customers towards online classifieds in Bangladesh is as follows:

4.1.12.1 Cognitive component


This consists of the values and beliefs of the customers. The beliefs regarding the product
category are:
It is unsafe and lacks security
The platforms are technical and thus difficult to use
There is existence of frauds who post ads in the websites

4.1.12.2 Affective component


The affective component, consisting of the feelings associated with category, is thus
slightly skeptical.

4.1.12.3 Behavioral component


The behavioral component has been shaped by the negative cognitive and subsequent
negative affective components. As proof we see that even many regular educated internet
users, 18% of the respondents of our consumer survey; do not use any online portal for
buying or selling. An important observation is that the attitude towards this category
becomes more favorable with the increase of educational level of the customers. To
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change this existing attitude, it is required to change the cognitive component which is the
root cause.

4.1.12.4 This can be done by Bikroy.com through


Posting safety rules regarding online sale and purchase in its website
Demonstrating the ease of use through its advertisements and Facebook promotions
Actively promoting the existing safety measures adopted by the site

4.1.12.5 Appeal characteristics


The appeal characteristics which can be used by Bikroy.com for influencing the change
are:
Utilitarian appeal which would highlight the functionality of the site and thus aim to
offset the benefits against the perceived risks
Light humor appeal to grab the attention of the target customers, and also conforming
to the modern, youth-based target market psychographics

4.1.14 Self Concept


Target Market is significantly large: At Bikroy.com, almost every profession, from all
corners of the country, will find something or the other to satisfy their needs. Hence, there
is an extremely diversified collection of self concepts, coming from the target group.
Thus, this factor does not seem a significant criterion in evaluating the marketing strategy
of the brand.

4.1.15 Brand Personality


If Bikroy.com were a person, she would be the one in the friends circle everyone adores.
She is always making the group laugh, but whenever you have a problem, you will
consult her first. She is updated on almost every current issue; she would try her best to
help you and would not judge you by your wallet.
In short, Bikroy.com personality is best described by 4 attributes:
Young and Dynamic
Humorous
Friendly and Open
Versatile

4.1.16 SHORTCOMINGS OF BIKROY.COM AS A BRAND


4.1.16.1 Website Features
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While competitors Bikroy.com, ajkerdeal.com and bdjobs.com have flashy product


advertisements grabbing your attention the moment you enter their website, Bikroy.com
has a static line of placements at the bottom. Moreover, the option of liking their
Facebook page is in tiny fonts and black color at the very end of the page, where it would
be ignored by most. Most Bangladeshi online portals open in Bangla language, with the
scope of switching to English. However, with Bikroy, the opposite is in action.

4.1.16.2 Supportive Legal Systems


While, yes, it is true that there is little that such portals can do regarding ensuring zero
fraudulence, they also cannot deny all responsibilities to the customers in cases of such
occurrences. While such sites do have warning messages and guidelines in their sites,
their initiatives should go beyond basic warning messages, and should include actions
such as checking authenticity of vendors, keeping tabs of performance, keeping records of
transactions whenever possible, etc.

4.1.16.3 SWOT analysis of Bikroy.com in Bangladesh


Strength:
As Bikroy.coms parent company of rocket internet, it has a strong financial
backup
Bikroy.com has decision makers with lots of experience from renowned
organizations. which is a plus point for Bikroy.com.
High traffic of website visitors because of aggressive online advertising.
Bikroy.com has a business model which is already successful.

Weakness:
Some sellers are not efficient and dont deliver the product on time.
Bikroy.com has no reliable delivery partner to maintain all of its daily basis
orders.
Opportunity:
Rapidly growing internet users which are a huge opportunity for e-business in
Bangladesh.
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Emphasizes on e-business.
Young generation is tending to order online mostly as it has less hassle and unique
products. Its increasing day by day.
Threat:
Fraud online buyers
Fraud sellers

5.0 Proposed Strategies


Problem 1: Unsatisfactory User Experience
Description: There is a noticeable stream of issues with Bikroy.com that makes the user
experience difficult and problematic.
For example:
It is difficult to get instant customer service as email responses take time.
Customers have to browse between product listings for a long time to get very
specific products.
The app has many lacking such as difficult search options, improper search results
and incompatibility with some versions of Android.

Solution 1: Secure Online 24/7 Chat Facility


Description: Host Gator is one of the biggest web hosting services in the world, and it
has a highly responsive 24/7 Chat Facility where one can instantly connect with a
representative from the firm for help in any matters. A similar facility offered by
Bikroy.com will make it much easier for customers to get responses to their queries
quickly. The initiative may require hiring of a significant workforce just to run the
system, but the potential payoff is much higher as it will differentiate Bikroy.com in the
countrys online business arena in a very positive manner.

Solution 2: Advanced Search Filters


Description: Bikroy.com has some basic search filters that allow customers to find
products from a specific category. Yet a more advanced search filter will add another
differentiating factor for the company. Such as:
a) Old/New Filter: Customers will get to filter products based on whether they are
completely new or second-hand.
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b) Personal/Business Filter: This will enable consumers to search for products based on
whether they are being sold by another customer (C2C) or a business (B2C).
c) Brand Filter: Products can be filtered on the basis of their brands. For example, by
filtering a search for cell phones with Symphony, a customer will see all listings from
Symphony only.
d) Price Filter: Price can be used as a filter for getting the desired product. For example, a
range BDT 50,000-1,00,000 for refrigerators will show only the ones belonging to that
price range.
Solution 3: Improvement of App
Description: It is estimated that around 68% of the customers in Bangladesh browse
online through cell phones. As a result, a fully functional smartphone app is critical to
accessing this market. We propose that Bikroy.com takes the help of expert consultants
like Aamra Technologies to remove glitches in their app and make it more user-
friendly.

4.2 Kaymu.com.bd
4.2.1 Introduction
Through internet or others computer networks products or services are bought and sold
which is widely known as E-commerce. E-commerce improves the efficiency and
effectiveness of business, government and not profit organization agencies. Online
transactions can effectively save a lot of time and money which often is the main reason
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for consumers to shop online rather than purchasing from a physical marketplace. As the
people in Bangladesh are not much aware or educated, they still cannot be the large
market worldwide. Previously, people would use computers for completing educational
assignments or used for governmental or private projects. Just recently, the online market
boomed and now more and more people are shopping online. For more than a year
Kaymu is the leading online marketplace for emerging markets. Kaymu replicates the e-
Bay model (online marketplace where buyers meet sellers) in emerging countries where
they do not have e-Bay. Kaymu is a venture of Rocket Internet which is one of the world's
largest e-commerce focused venture capital firms and startup incubators. The company's
business model is to identify successful internet companies from other countries (often
the United States) and replicate them in predominantly emerging markets. Kaymu
operates an online marketplace enabling end customers to buy and sell basically anything
online. Kaymu's successful peer model is eBay which is the leading C2C online
marketplace in the world. Kaymu Bangladesh was launched in October 2013 and as of
now some in formations are given.

4.2.2 Company Profile

Type of site E-commerce


Available in English, French, Portuguese
Founded 2013
Area serve Africa, Asia, Europe, Bangladesh
d
Industry Online Business
Parent Rocket Internet, Africa Internet
Group, Asia Pacific Internet Group
Website Kaymu
Launched 2013
4.2.3 Where are this site's visitors located?
Visitors by Country
Country Percent of Visitors Rank in Country
Bangladesh 94.2% 104

4.2.4 Which sites did people visit immediately before this site?
Site Percent of Unique Visits
1. facebook.com 17.4%
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2. google.com 12.0%
3. google.com.bd 10.3%
4. youtube.com 4.4%
5. googleadservices.com 3.3%
(Source: www.alexa.com).
Kaymu's main focuses are the buyers and sellers. The sellers are the clients of Kaymu
who sells products in the website and Kaymu focuses on them because the only way
Kaymu makes money is if the sellers make money. By focusing on obtaining quality
sellers, Kaymu ensures buyers get good products and good services from good sellers and
get competitive deals from sellers and are satisfied. This report looks into the operations
of Kaymu in Bangladesh especially focusing on the issues faced by a new business and its
prospect in the Bangladeshi e-commerce market. The following chapters contain more in-
depth information and analysis on this matter.
Figure 15: Company Position
Rank Country Internet 1 Year 1 Year Total 1 Year Penetration Country's Country's
Users Growth User Country Population (% of Pop. share of share of World
% Growth Population Change (%) with World Internet Users
Internet) Population

Bangladesh 10,867,567 9% 896,332 158,512,570 1.22% 6.86% 2.19% 0.37%

4.2.5 History
The mother company of kaymu.com.bd is the Rocket Internet. This is worlds largest
Internet incubator which was found in Berlin, Germany in 2007 by the Samwer Brothers
(it is headquartered in Berlin).The Rocket team has been building online companies since
1999 and has created over 100 market leading companies in 50+ countries. The founders
gained visibility through successful investments in Groupon, eBay, Facebook, Linkedin,
Zynga, etc (either through early direct investment or through taken over target
companies). The company's business model is to identify successful internet ventures
from other countries (often the United States) and replicate them in predominantly
emerging markets. In 2013, Rocket Internet raised close to $2 billion from investors
including Russian billionaire Leonard Blavatnik, Swedish investment firm Kinnevik, and
J.P. Morgan. This is in addition to nearly $2 billion that Rocket raised in 2012. The firm,
tightly controlled by its founders, is known for its aggressive approach in managing its
invested ventures. It prides itself for the speed of execution and ability to hire exceptional
talent.
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Rocket Internet operates in more than 50 countries and has more than 75 ventures in their
portfolio such as the e-commerce retail companies Zalando in Germany, Jabong.com in
India, Lamoda.ru in Russia, ZALORA in South East Asia, The Iconic and Zanui in
Australia, the global food delivery platform foodpanda/hellofood, the global property
listings site Lamudi, Carmudi, etc. Rocket Internets various companies created more than
20.000 jobs worldwide. Previous ventures include, for example, Citydeal, which was
purchased by Groupon for US$126M, which profited by US$90M. Rocket Internet
launched 4 companies in Bangladesh last year- Carmudi, Lamudi, Foodpanda and
Kaymu. Kaymu as mentioned before, replicates the eBay model in emerging markets and
since Bangladesh is an emerging market where eBay has not been introduced yet, Kaymu
decided to come in!

4.2.6 Few Key Facts about Rocket Internet


Started in 2004 by serial entrepreneurs Alexander, Marc & Oliver Samwer
Incubated more than 100 fast growing online companies all over the world
since inception
Currently 25+ international branch offices on all 5 continents from Africa to
South East Asia
Operated by a highly talented team of Business Development, Operations, IT
and Online experts
Currently 15,000+ employee in more than 60+ start-ups around the world

Figure 16: All Ventures


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4.2.7 Products/ Services Offered by Kaymu


Kaymu is, first and foremost, an online marketplace of its kind. One can browse through
categories like - Clothing, Footwear, Jewelry, Watches, Mobiles & Accessories, Jewelry,
Books & Media, Electronics, Footwear, Watches, Mobiles, Computers, Electronics, Home
& Living, Health &Beauty, Toys, Kids & Babies, Books & Media, Sports & Outdoors and
so on to see all the products under these. When a customer sees something they like, they
click on the product and view the details that include pictures, descriptions, payment
options and shipping information.

Customers also can search for their desired products by using keywords in no time.
Kaymu provides advanced search option in which Customers can narrow down their
search and shop comfortably. Just as one can buy almost anything on eBay, one can sell
almost everything, too. Using a simple listing process, one can put all of the junk in their
basement up for sale. People can sell old laptops, clothing, furniture, etc.

But if one wants to sell as a business, they need to enlist in Kaymu as a Kaymu seller via
which they get a Kaymu e-store. When one sells an item on Kaymu, they pay a certain
percentage of the final sale price to Kaymu. There is no listing fee except this commission
on sales and for people selling personal products, there is no commission either. Kaymu
operates an online marketplace enabling end customers to buy and sell basically anything
online.
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4.2.8 The Leading Online Marketplace: kaymy.com.bd


Around 2013 on October Kaymu Bangladesh Ltd. started its journey in Bangladesh. And
on November 2013 it was launched. As we know that Kaymu is the leading online
marketplace for emerging markets. It sells everything, starting from books, to mobiles &
tablets, fashion wear and accessories, electronics, jewelry, home and living products, kids
products and many more.

It is the one stop solution for customers to find their products online. It is the fastest
growing online shopping platform in the emerging markets, with over million customers.
Kaymu operates an online marketplace enabling end customers to buy and sell basically
anything online.

4.2.9 Organizational Structure/ Operational Network Organogram


Kaymu has different departments to run its operations in Bangladesh. Right now Kaymu
has 6 different departments which are also called teams.
1. Sales
2. Human Resource
3. Customer Support
4. Finance
5. Public Relation
6. Seller Management
Organizational Chart of Kaymu Bangladesh Ltd.
Figure 17: Organogram of Kaymu
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4.2.10 Visions of Kaymu


Since its inception, Kaymu Bangladesh is advancing towards a single vision, The Vision
to satisfy the diversified Customer base of this country. They are trying to provide the
best quality products at the most competitive price. Kaymu believes to introduce the most
latest and demanding products for its customers. They have a vision to make sellers in
each and every part of the country.

4.2.11 Description of kaymus Workflow


Bangladesh is producing new sellers every day. The Sales activity of Kaymu Bangladesh
starts with lead generating of the new potential sellers of different products. After
sourcing the leads, Sales intern tries his/her best to convince them to sell on Kaymu,
explaining them the features of the website, of the company itself. I would like to mention
here, that it is not an easy task to do at all. After the sellers come on board to sell their
products, Kaymu Sales Intern helps them to open their personalized e-store on Kaymu
website. To register on Kaymu Website, Sellers need to fill up a form with their necessary
details.

After they register their e-store on Kaymu website, the launch page for them looks like
this in the following:
Figure 18: Product category

This is viewed when the sellers login to Kaymus websites. From here, they can add their
products in their e-store. They also can view their pending orders from this page. To
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purchase any product from Kaymu website, buyers need to open an account too. It is the
same account as the sellers. When buyers open an account, they not only can buy from
the website, but also can list their own products for selling. So after creating an account,
if the buyer buys and products from Kaymu, they will get a text message and verification
email. They need to verify the order. After they verify their order, a notification will go to
the Seller, from whom they want to buy the product. Then the seller will contact the buyer
and set a delivery time and deliver his/her order. In the meanwhile Kaymu Customer
Support is also contacts the Buyer to check the status of their order. If the buyer does not
get their ordered products in a briefed time period, then the Seller Management team
contacts the sellers and urges him to deliver the order as soon as possible.

After the delivery of the product, Kaymu Customer Support contacts the buyer to get the
feedback on the order delivered. Buyers pay for their orders via cash on delivery.
Sometimes, a few sellers demand prepayment when they get orders of very expensive
products. Kaymu Sellers also can contact Kaymu Sales team or the Seller Management
team or the Portfolio Management team regarding any query. It is the duty of Seller
management team and Portfolio Management team to provide any assistance required for
the sellers. From the very beginning of the buy and sell process, Kaymus different
departments are working to provide any support to the sellers and the buyers. This is the
main reason why they are becoming so successful.

4.2.12 Marketing Strategy


Bangladesh is one of the top 10 countries with the largest population where emerging
trends are headed for smartphones and online transactions. The young people these days
possess entrepreneurial skills and wish to make progress. The e-commerce industry in
Bangladesh is experiencing new horizons of success and innovation as more and more
online trading platforms are emerging on daily basis. A look into kaymu's unveiling of the
large market potential would tell us that Kaymu catered to an important need. Kaymu not
only caters to big companies but also to individuals, giving their businesses a chance to
grow by providing a medium.

To get maximum people's attraction, the main strategy kaymu follows is


Giving Advertisements Online: The mother company Rocket Internet makes
different rules for its different ventures. So it did for kaymu; that no offline marketing
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is allowed. Which means as much as we can promote kaymu but only online. For
example: giving ads on other websites is one of the main strategy to grab maximum
attention.
Using Youtube As a Large Media: Not only still pictures, kaymu also promotes
itself on youtube, one of the large platform where not only in Bangladesh but also
from all over the world can see what kaymu Bangladesh can do.
Blogs/Write-ups: kaymu's social media does a great job by posting minimum 10
blogs on kaymu.com.bd every month so that people can also read about it.
Targeting Celebrities: Kaymu recently signed an agreement with Bangladesh
national cricket team opening batsman Tamim Iqbal. As per the deal, Tamim will use
Kaymu's sticker on his bat. The agreement was signed at Kaymu's Banani office in the
city. Kaymu Bangladesh chief executive George Wolf and chief public relation officer
Sayeda Umaela Akter were present at the signing ceremony.
Collaborating With Prothom Alo Digital: Kaymu.com.bd, one of the online
shopping communities in Bangladesh, has signed an agreement with ProthomAlo
Digital (a concern of Mediastar Limited) to feature Prothoma Store at
Kaymu.com.bd. By giving Kaymu users all across Bangladesh access to such a great
assortment of books on the Prothoma e-store, both companies are venturing into
unchartered territory.
Facebook Promotion: kaymu has an official facebook page with more than 40 lacs
likes. Time to time giving posts about new products in kaymu's website makes the
visitors crazier to love the service.
Targeting Different Occasions: On this year's Pahela Baishakh, 1422; kaymu
arranged a large program with its employees along with successful sellers with lots of
funfair and enthusiasm. So that these sellers can go home thinking they are with a big
organization which not only think about the profits but also gives good attention to
their precious clients. Thus a corporate relationship is made.
(http://www.thedailystar.net/star-weekend/kaymu-bangladesh-welcomes-pohela-
baishakh-1422-77564).

These are the main strategies of kaymu. Apart from that, thinking about the marketing
theory/ marketing mix, the 4 p's - Product, Price, Promotion, Place; kaymu covers all of
them pretty nicely. Kaymu sells all kind of products starting from clothing, footwear,
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jewelry, home and living appliances, health and beauty products, electronics, food and
beverage and so on. By these we get the clear idea that kaymu doesn't only represent one
or two kind of products but a large variety of them.

In kaymu.com.bd there are products that cost 1000 tk. to more than 10,000 tk. So that
anyone can afford to shop online. Though kaymu's policy does not give the freedom to
give any television ads but so far whatever kaymu did was enough to make around 40 lacs
people to know that kaymu exists. From all over Bangladesh anyone can give the order
for any product through kaymu's website. So place is not al all a big issue. Also kaymu
provides a very organized and trustworthy delivery service controlled by ajkerdeal,
another venture of Rocket Internet.

4.2.13 How Kaymu Functions


E-bay model was first introduced in Bangladesh by kaymu being the first online marketplace.
One can browse through categories like Clothing, Footwear, Jewelry, Watches, Mobiles &
Accessories, & Accessories, Jewelry, Books & Media, Electronics, Footwear, Watches,
Mobiles, Computers, Electronics, Home & Living, Health & Beauty, Toys, Kids & Babies,
Books & Media, Sports & Outdoors and various other categories. When a customer sees
something they like, they click on the product and view the details that include pictures,
descriptions, payment options and shipping information. If the customers have a pretty good
idea of what they are looking for, they can search for it using simple keywords, such as
"Ladies Watch," or using more advanced search criteria that helps narrow the results, such as
item location, brand and price range.
Figure 19: What Customers See After Clicking On a Product?
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Products are usually sold at fixed prices. The option of selling at auctioned prices is also
available, but so far no seller has chosen to sell their products by auctioning. So when a
customer sees what s/he likes, they place an online order, they buy it, pay for it and wait
for it to arrive at their doors! If they reside in Dhaka, they usually get home deliveries and
many sellers provide cash on delivery even outside Dhaka (meaning customers can pay
after receiving the product). Customers can pay for an item on Kaymu using variety of
methods, including cash on delivery (this is available only in few cities at the seller's
discretion), bank deposit, bkash or other mobile banking methods, etc. Unfortunately,
online payment gateway has not yet been installed and customers can not yet make online
payments to buy products from Kaymu thereby making it difficult for people outside
Bangladesh to purchase products.

Just as one can buy almost anything on e-bay, one can sell almost anything, too. Using a
simple listing process, one can put all of the junk in their basement up for sale. People can
sell old laptops, clothing, furniture, etc. But if one wants to sell as a business, they need to
enlist in Kaymu as a Kaymu seller via which they get a Kaymu e-store. When one sells an
item on Kaymu, they pay a certain percentage of the final sale price to Kaymu. There is
no listing fee except this commission on sales and for people selling personal products,
there is no commission either. Once anybody registers (for free) with Kaymu, he/she can
access all of their Kaymu buying and selling activities in a single location called "My
Accounts"

4.2.14 Buying and Selling Process of Kaymu


Unlike other websites, kaymu provides very flexible and user friendly process for both
the sellers and buyers to get registered in the website. Bothe the processes are describes
below:

4.2.15 Buying Process


To purchase something, one must have an account in Kaymu. One simply needs to
register by providing some basic information (name, address, birth date, phone number
etc.). With that account they can place orders on Kaymu. Once a buyer likes something,
he/she places an order online by clicking on 'buy now'.
After this, a text message/email is sent with a code to validate the purchase. If the buyer
validates it, the seller can see it when they login to their account and then the seller is
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responsible for calling up the buyer, confirming the order, answering to any necessary
queries, and deliver the product. If the buyer is unable to validate the order, a customer
service agent from Kaymu calls the buyer up and validates the order. And then the sellers
process starts as mentioned above. This process generally takes about 3-5 working days
and the buyer usually gets it by then unless there are other issues. Often, pre-payment is
necessary and then the delivery time becomes higher as the seller would not dispatch the
product without the buyer paying first. Most sellers provide cash on delivery to buyers
residing in Dhaka, meaning the buyers can pay after the product reaches their home.
Some sellers provide cash on delivery facility outside Dhaka as well, but not most sellers.
Therefore, most customers outside Dhaka need to prepay via bank account or mobile
banking.

Following is a flow chart showing how a customer can buy through kaymus website:
1. Select the desired category
2. Click on the desired category
3. Customer can see all the products under that category
4. Click on the preferred product
5. The customer needs to register/ create his/her own account
6. The customer will get an email
7. Verify the email
After verifying the seller will get an email from kaymu regarding the order and accordingly
he/she will deliver the product to the customer.

4.2.16 Selling Process


To sell through Kaymu, one needs to have an account as well. Once an order is placed it
is showed in the account where details of the buyer is given with the product details (the
one that the buyer chose). The job of the seller is to contact the buyer, confirm the order,
answer queries of the buyer (if any) and deliver the product. The seller pays Kaymu a
percentage commission on the final sale amount. The commission payment is made after
a month. The advantages sellers get are the fact that the products stay with them so they
are not stuck with stock that hasn't sold. Also, they get free marketing via Kaymu. To get
started with Kaymu as a seller, one needs to sign a simple contract paper that enlists them
as a Kaymu seller. Afterwards, they need to send their product listings along with product
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details and images so that it can be uploaded in their e-store. Sellers can upload from the
front end as well by login into their accounts.
Following is a flowchart shows how kaymus selling process works:

1. Kaymu's sales dept. calls the seller to sell through kaymu's website
2. After agreeing an account is made by the seller's name
3. When the seller gets an orer, all the information directly goes to that particular account
4. After chewcking the order the seller calls the cutomer to confirm

If the order is confirmed then the seller delivers the product to the customer. Thus a
selling process ends.

4.2.17 Kaymus Interaction with Sellers and Buyers


The way Kaymu works is pretty straight forward. Vendors can register on our site, upload
pictures, description and price of the product they would like to sell. Similarly, buyers are
able to open their own accounts and browse through the site to find the products they
would like to purchase. Once a buyer has selected a product they want to buy from a
particular vendor, Kaymu confirms the order, and the vendor dispatches it to the buyer.
Now there are two alternatives through which the shipment takes place. A vendor may
have their own shipping company or could avail the services from our shipping company
called Kaymu Shipping. We emphasize on cash on delivery shipping, so that the buyer
can ensure that the product they intended to purchase is the same one that was delivered
to them and in proper condition. There are no fees incurred by vendors to host products
on our platform but only after a successful transaction has been made that Kaymu takes a
small commission.

Now there is a process through which it all happens. On the next page is a flowchart
showing the full system of kaymu starting from finding the sellers till helping them in
every way also what kaumy does for the customers.
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4.3 Ajkerdeal.com
4.3.1 Company overview
Bangladesh is a developing nation with gigantic prospects. Its economy is consistently
developing and because of the accessibility of cheap labor, unproblematic and productive
communication and exposure to outside world through port facilities, aviation routes and
rail and street; it is an extraordinary spot to invest in. But the world is moving forward,
Bangladesh is also going with the flow. These days communication has become lightning
fast due to the massive improvement of internet, for that business is getting more efficient
through it. All the existing business sector are being benefited by it. And because of the
vast improvement and scope that the internet offers a new sector has emerged, e-
commerce. E-commerce or Electronic commerce is not a new concept; it has been
around for over a decade. But back then it was at an infant stage and was only available in
the developed countries. But now it has been matured and with the help of globalization
and widespread internet access it has entered into our country as well. Ajkerdeal
Bangladesh is one of those companies; Ajkerdeal is an online shopping destination where
people can shop the widest selection of electronics, fashion, home appliances, kids items
and more in Bangladesh and have them shipped directly to their home or office at their
convenience. Ajkerdeal offers free returns and various payment options including cash on
delivery. With affordable prices and great products, Ajkerdeal lets its customer enjoy an
amazing shopping experience with their order sent directly to their doorstep. They are
constantly expanding their product range to include the latest gadgets, fashion styles and
new categories.

Bangladesh has an immense populace which pulls in a great deal of advertisers to offer
their items. However, because of absence of innovation, Bangladeshi individuals still
need numerous latest facilities the modern world offers. A large portion of the
Bangladeshi people doesnt have the foggiest idea about the utilization of internet which
is turning into a challenge for the online marketers. Bangladesh Government is attempting
to provide internet all through the nation, which will empower the development of e-
commerce industry of Bangladesh. From the beginning, ecommerce area is booming
every day and gradually it is spreading its wings.

Ajkerdeal was launched in late September 2013 and its turning into the main online
shopping center for Bangladesh. Here, in Bangladesh, people just knew about Amazons
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business model where customers meet sellers and trade merchandise. Ajkerdeal presented
the Amazons business model in Bangladesh. Ajkerdeal is one of the many endeavors of
Rocket Internet GmbH in Bangladesh. They attempt to take after the compelling internet
ventures from other creative companies and recreate their procedures in developing
markets. Ajkerdeal Bangladesh Limited is thoroughly giving B2C sort on offering which
no other E-Commerce entrance does in Bangladesh.

4.3.2 Parent Company


Rocket Internet is the parent company of Ajkerdeal Bangladesh. Rocket Internet is a
German Internet company headquartered in Berlin. The organization manufactures online
startup companies and claims shareholdings in different models of internet retail
businesses. The organization model is known as a startup studio or a venture developer.
The organization intends to work outside the US and China. Starting 2016, Rocket
Internet has more than 30,000 employees over its worldwide network of organizations,
which comprises of more than 100 entities in 110 nations. The company was founded in
Berlin in 2007 by three brothers: Marc, Oliver and Alexander Samwer. On July 1, 2014,
Rocket Internet changed its legal form from a GmbH (private limited company) to an AG
(public limited company).
Figure 20: Rocket Internet Logo

4.3.2.1 Slogan of Rocket Internet


We Build Companies.

4.3.2.2 Mission Statement of Rocket Internet


To Become the World's Largest Internet Platform Outside the United States and China.
Rocket Internet takes after the methodology of building companies on the premise of
proven Internet-based business models. As indicated by Rocket Internet's financial
statements, the organization particularly focuses on Food and Groceries, Fashion, Home
and Living and Travel. Rocket Internet possesses stakes in organizations at different
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development stages, extending from newcomer models to industry giants that are setting
up authoritative positions or as yet still expanding their geographic scope. Rocket
Internet's investments include shares in the following companies,

Figure 21: Mission Statement of Rocket Internet


Subsidiaries of Rocket Internet
Ajkerdeal Cuponation Everdine Home24 Lendico Zanui
Campday Dafiti Everjobs Jumia Lyke Ridelink
Carmudi Delivery Foodpanda Kaymu Namshi Spotcap
Hero
Carspring Easy Taxi HelloFresh LaModa Nestpick Travelbird
Wimdu Westwing Vaniday Traveloka Zalando Zalora
Caterwings Eatfirst Helpling Lazada Printvenue Zipjet
Zenrooms

4.3.3 Marketing Mix of Ajkerdeal Bangladesh


The Marketing mix is a set of four decisions which needs to be taken before launching
any new product or service. They are also known as the 4 Ps of marketing. The
Marketing Mix is discussed below.

Figure 22: 4Ps of Marketing mix

4.3.3.1 Product
Ajkerdeal is, above all else, an online commercial center. On Ajkerdeal One can search
through categories like Clothing, Footwear, Jewelry, Watches, Mobiles and Accessories,
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Jewelry, Books and Media, Electronics, Footwear, Watches, Mobiles, Computers,


Electronics, Home and Living, Health and Beauty, Toys, Kids and Babies, Books and
Media, Sports and Outdoors and many more. If a customer sees something they like, they
tap on the item and view the complete detail of the product that includes pictures,
descriptions, payment options and shipping information. customer additionally can hunt
down their desired items by utilizing keywords as a part of the search in no time.
Ajkerdeal give advanced search option in which Customers can narrow down their option
and shop peacefully. Pretty much as one can purchase just about anything on Amazon,
they can do it the same in Ajkerdeal. In the event that one needs to offer as a business,
they have to enroll in Ajkerdeal as a Ajkerdeal vendor by means of which they get a
Ajkerdeal e-store. When one offers a thing on Ajkerdeal, they pay a specific rate of the
final sale price to Ajkerdeal. There is no listing fee with the exception of this commission
on deals. Ajkerdeal works an online commercial center empowering Seller to offer
fundamentally anything on the web.

4.3.3.2 Price
Ajkerdeal offer services. The price of the Ajkerdeal services hinge on various
characteristics. It is not the consumer who pays the price. It is the Vendor of the products
who is accountable for the price of Ajkerdeal. Ajkerdeal runs on commissions
fundamentally. Whenever there is a sale, Ajkerdeal gets it from its Seller. In other words,
Ajkerdeal is the intermediary between the Vendor and the Buyer.

4.3.3.3 Promotion
Ajkerdeal by nature it is an online based business. Hence, the core focus of the Ajkerdeal
governing body is on online platform. To reach its target group it has put its existence to
all possible online sectors. From Google search engines to social media networks,
Ajkerdeal is everywhere. Ajkerdeal has preserved its existence on Facebook, due to the
hefty use of Facebook (Social Network) locally. Ajkerdeal sponsors ads on Facebook
daily that reach outs 10 million. Other than Facebook, Ajkerdeal also maintaining it
presence on Twitter, YouTube and on Instagram as well. They are also using personal
email database to reach almost a million customers. Ajkerdeal is using the tele network as
well, by sending SMS promotions to gain its potential sales possibilities. As a new comer
in the market Ajkerdeal has covered its promotional needs on Online platforms.
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Nevertheless, Ajkerdeal is still no actively participating in Above-The-Line (ATL) or


Below-The-Line (BTL) communication channels.

4.3.3.4 Place
Ajkerdeal is an online business, so basically the main place of business for Ajkerdeal is
the virtual place which is www.ajkerdeal.com; where customers are buying their desired
products. And the physical place of business can be considered the address of the
customers, where customers are receiving their ordered goods.

4.3.4 Major department of Ajkerdeal Bangladesh


All organizations, regardless of what the size, require some kind of hierarchical structure
to work appropriately. Organizations without a set authoritative structure have issues
executing organization strategies and working at effective generation levels. Whether an
organization is offering or assembling, certain divisions are vital to fundamental
operations. Ajkerdeal is a multinational company and to run its operation smoothly they
have some dedicated department with the right kind of people. The major departments of
Ajkerdeal Bangladesh are given below, ("Ajkerdeal Careers | Grow your career with us |
Ajkerdeal Bangladesh", 2016)
Business Development
Category Management
Content Graphic & Design
Customer Management
Engineering
Human Resources & Communication
Marketing
Sales & Account Management

4.3.5 Swot Analysis


Ajkerdeal Bangladesh is an online store for electronics, fashion and lifestyle. From
mobile phone to kids toy and clothing everything about lifestyle is available here and
ready to be delivered at your door when needed. They have been operating in Bangladesh
for almost three years. Powered by Rocket Internet which is the parent brand of Ajkerdeal
Bangladesh. Ajkerdeal is also running its operation in Pakistan and Myanmar. For any
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business analysis environment analysis is compulsory. The elements of environment can


primarily be categories into two types, they are internal environment and external
environment. The external environment can also be classified into two which are micro
environment and macro environment.

1. Internal Environment
The environment within the organization. Generally known as the element that can be
changed by the organization. For Ajkerdeal Bangladesh they can

2. External Environment
The external environment is the one out of the organization's reach but affects the
organization. Which means the business has to keep them in mind and take steps
according them. For Ajkerdeal Bangladesh they can be the rules and regulation of
Bangladesh, the political situation of Bangladesh, the technological environment and
many more.
Macro Environment: These are the bigger parts of the external environment that
has big influence on the market but cannot be changed by changing any smaller
factor. Such as the economic condition of the country or the political condition.
Micro Environment: The microenvironment is the smaller external environment
like the supplier, bank and government policy.
The business environment can be analyzed with different tools. One of them is SWOT
analysis. It works with four different types of environment. They are the Strength,
Weakness, Opportunity and Threats of an organization.

4.4 ekhanei.com
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4.4.1 Company Overview


Ekhanei.com is a free classified e-marketplace, i.e. it serves as middle man between buyer
and the seller. This service is can be attained from their website, or their mobile
application

Figure 23: Ekhanei.com web site

Figure 24: Ekanei.com mobile app


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Ekhanei.com is probably the safest and most convenient choice for buying and selling all
across Bangladesh. They originally launched their services in 2006 as Cellbazaar as an
innovative SMS service. The website has been in operation since 2007.

This service allows anyone in Bangladesh to buy and sell in their region conveniently in a
very simple manner without registration and complicated procedures. Ads can be posted
for free and browsing with GrameenPhone Internet is free as well. Ekhanei.com has also
recently acquired OLX.com.bd and owns its registered customer base under their domain.
The revenue model for Ekhanei.com is advertising. It earns revenues from other
companies advertising on its website, based on the number of traffic of Ekhanei.com.
Thus, Ekhanei.com aims to attract more traffic that is more people posting ads on the
website, to generate profit.

4.4.2 Using the service


The website first requires a user to select a location. After that, the list of advertisements
show up and the user can browse through one of eight primary categories:
Cars, Motorcycles & Vehicles
Phones, Computers & Electronics
Fashion & Personal Items
Home & Living
Hobbies, Pets & Sports
Property & Housing
Jobs & Services
Business, Agriculture & Food
These categories are subdivided into specialized categories and there is a ninth category
Others which does not fall under any of the above classifications. An item can be
clicked to view in detailed mode and the buyer can directly contact the seller via phone
number provided in the ad.

For a use who wants to sell an item, they can click the Post your free ad button on the
home screen and follow a series of steps to post an ad. A general description of the
product, a price and contact number is required to post the ad. The ad goes into review,
and within 24 hours, if it attains to the policies of the site, the ad is posted.
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4.4.3 SEGMENTATION
Because of the nature of the service provided, Ekhanei.com is open to all with Internet
access and a smartphone or a computer. However, it is not possible to serve all of the
market, and fulfill their needs and wants. The following segmentation can be done for a
better, focused service to customers within this segment.

4.4.3.1 Demographic Segmentation:


Ekhanei.com serves anyone in any place within Bangladesh and allows them to buy and
sell within their region. Both genders fall within the target demographic. Since selling and
buying is mostly trusted towards adults, the segmented age should be 18 years and older.
Ekhanei.com best serves income groups from lower middle to upper middle class.

4.4.3.2 Behavioral Segmentation:


A prerequisite to attaining the service is having access to the Internet and being able to
operate a smartphone, a tablet or a computer. It also requires the intended customer to be
inclined towards selling or buying objects or services online.

4.4.4 Consumer Profile


Target Market
Even after segmentation, the market is too large to cater to all needs and wants within the
market. Therefore, we suggest the following four basic target markets to channel
marketing strategies towards.
Figure 25: Consumer profile in ekhanei.com

Bargain Hunters Intelligent Buyers Convenience Evergreens


Seekers
Lower middle class Middle class Middle class Upper middle class
Mostly buyers Mostly buyers Buyers and sellers Higher age group
Look for second- Tech savvy Look for ease of (40 and above)
hand/used products Spend time on transaction Mostly sellers
Younger age group researching product Do not spend much Look to sell
(18-25) specification before time on property, or
Lower price is making purchases purchase/sale automobiles
priority Students, young decision Senior level
professionals Nuclear families, professionals,
young professionals retirees
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4.4.5 ANALYSIS
4.4.5.1 Group Influence
There is a significant amount of influence from primary groups, i.e. friends and family
for prospective consumers of this service. Because of cultural norms, it is usual for
elderly family members to provide advice in the purchase or sale of an item. The buying
and selling decision, and hence the use of the service is heavily dependent on the approval
or disapproval of the primary group.

Informational influence can also have a role for a prospective consumer who has never
used such a service before. Expert opinion is sought out before making the decision to use
the service, in this scenario. The opinion from the expert is likely to change the sale or
purchase decision and hence the use of the service.

4.4.5.2 Motivation
The only motivation for using the service is either the need or want to purchase a product,
or the need or want to sell a product. This can be divided into two categories:
Benefit derived from successful and satisfactory purchase/sale from the site will
motivate the user to sell through this site when there is need.
When there is an urgent need to buy or sell an item, the consumer will look to gain
maximum exposure hence will be motivated to use the site more often during
those times.

This can lead to an approach-approach motivational conflict because consumers usually


post in all free classified marketplaces and therefore have no incentive to select just
Ekhanei.com for the purpose.

4.4.5.3 Gender
From the consumer survey conducted we have found that a greater proportion of men use
Ekhanei.com rather than women. There were only 33% female users compared to the
67% male users, regardless of the fact that the service is targeted towards both genders.
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Figure 26: Percentage of users

Percentage of users

33% Male
Female

67%

This is due to the risk and feelings of insecurity in posting mobile numbers in public sites.
Perpetrators use these phone numbers to harass women, and this deters many potential
consumers who would like to use the service, but cannot because of this persistent
problem.

4.4.5.4 Consumer Perception


The consumer perception is crucial to the existence of the service because without the
consumers, the company would cease to exist. Because of the unique nature and the
newness of the industry, consumers are divided between embracing the technological
shifts and entering the e-marketplace, or sticking to traditional forms of buying and
selling.
Figure 27: Consumer perception
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From where did you learn about Ekhanei.com?

TVC
4%
3% 4% Online
5% Friends or Family
Newspaper
57% Radio
27%
Never heard of it

From the consumer survey conducted, we can see that Ekhanei.com has a very good
exposure rate. They ran a series of humor based TVCs which were immensely popular
and allowed the general populace to learn about the brand. Only 4.4% of respondents had
never heard of Ekhanei.com and 57.4% of respondents had first heard about it from the
TVCs.
Figure 28: For which purpose did you use Ekhanei.com

For which purpose did you use Ekhanei.com?

16%
Buying
40% Selling
Both

44%

Those of who had used Ekhanei.com had bought and sold multiple categories of items.
From the consumer survey, we have found that there are more sellers (44%) than buyers
(40%) and there are users who have used the services for both buying and selling.

4.4.6 LEARNING
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Learning is any change in the content or organization of long-term memory or behavior.


Before looking into the influence of learning, we examine the conditions of involvement
pertaining to the two features of Ekhanei.com.

4.4.6.1 Selling
The selling feature is a low-involvement process for the following reasons:
It is less time-consuming as it requires simply posting an advertisement on the site
about the product, along with description.
Does not involve price constraints and thus no limitations.
Has lower perceived risk as the person would not have to pay.

4.4.6.2 Buying
On the other hand, buying is a high involvement process as:
It is more time-consuming due to involving searching for and evaluating available
options among a wide range of advertisements
Involves price constraints and thus limits options and requires more calculations
Higher perceived risk as the person would be subject to payment

In both the cases, learning will increase consumer knowledge about the site and its usage
situations, along with the benefits offered. As a result, it will be stored in customers
memory increasing chances of recall when the customer would buy or sell anything
online.

The learning theories which could be effectively applied in case of Ekhanei.com are
discussed below:

4.4.6.3 Iconic rote learning


This involves associating two or more concepts, in the absence of conditioning. Through
iconic rote learning, Ekhanei.com could be associated with the concepts of:
Being the easiest online buying/selling platform in terms of user friendliness

Being the hub for all types of products a customer may need in a varied range of
situations
Being the site containing the best deals and practices
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These positive associations will lead to learning about benefits, attributes and usage
situations of the website. As a result, Ekhanei.com would be stored more favorably in the
schematic memory. Also it would ensure the site achieve top-of-mind recognition in the
category, as the associations mentioned above are critical to customers. And ultimately
this would lead to trial of the site.

4.4.6.4 Operant Conditioning


Operant conditioning usually involves product trial, after which positive reinforcement, if
received, induces customer to form a favorable learning of the product. Ekhanei.com
could induce trials through repetition of its promotional activities and relevance to usage
situations.
The reinforcements in its case would be:
User friendliness which is the ease with which the customer can use the site
Availability of desired products within the specific price range as per budget of
customer
Positive reinforcement will lead to a stronger learning about the site which would ensure
storage in long-term memory of customer. This would further increase the chances of
repeat use by the customer in future.

4.4.7 Brand Personality


If Ekhanei.com were a person, she would be the one in the friends circle everyone
adores. She is always making the group laugh, but whenever you have a problem, you
will consult her first. She is updated on almost every current issue; she would try her best
to help you and would not judge you by your wallet.
In short, Ekhanei.coms personality is best described by 4 attributes:
Young and Dynamic
Humorous
Friendly and Open
Versatile
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Chapter: 05 Analysis
5.1 SWOT ANALYSIS
Figure 29: SWAT Analysis
Better website among competitors
All brand new products
Deals with renowned brand
STRENGTH Brand warranty
Fast delivery
Strong collaboration among departments
Easy and free register
Delivery in whole Bangladesh
High turnover rate
WEAKNESS Low brand recognition
No refund on specific products
Lack of ATL and BTL marketing
Emerging online market
OPPORTUNITY Take order from outside Bangladesh
Gift delivery service
Emergency delivery
Upcoming native competitors
THREAT International giants
Political instability
Lower internet availability

5.1.1 Strengths
Better website among competitors: Ajkerdeal Bangladesh has better website
among competitors like pickaboo.com and clickbd.com
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All brand new products: Selling all brand new products here. Ajkerdeal
Bangladesh do not sell any second hand or refurbished goods.
Deals with renowned brand: Ajkerdeal Bangladesh is very popular for coming up
with deals from various renowned brands like Samsung, Bata, Apex.
Brand warranty: A lot of brands offer authorized warranty to customer who buys
from Ajkerdeal Bangladesh.
Fast delivery: Delivery among customer all over the country within three days.
Strong collaboration among departments: Ajkerdeal Bangladesh has a very strong
collaboration among departments. Like delivery to content department they
communicate fast and solve problems.
Easy and free register: It is free and easy for seller to register with Ajkerdeal
Bangladesh.
Delivery in whole Bangladesh: Ajkerdeal Bangladesh delivery their product all
over Bangladesh no matter in cities or villages.

5.1.2 Weakness
High turnover rate: The turnover rate in Ajkerdeal Bangladesh is high due lower
chance of career development and small pay scale.
Low brand recognition: A lot of people are not aware of the brand named
Ajkerdeal Bangladesh. They mostly know bikroy.com or ekhanei.com
No refund on specific products: In some products like books, some clothing they
do not offer refund.
Ajkerdeal is only focusing on online marketing. The company should focus on
some ATL marketing and BTL advertising.

5.1.3 Opportunity
Emerging online market: The online market in our country is still an emerging
market with a lot of potentially.
Take order from outside Bangladesh: Ajkerdeal Bangladesh can take order directly
from outside Bangladesh and delivery them to a destination inside Bangladesh
like UpoharBD.com
Gift delivery service: Ajkerdeal Bangladesh can also take gift deliveries orders
like cakes or cards or flowers.
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Emergency delivery: They are currently not offering emergency delivery service
like same day delivery but they can since there is a demand of it.

5.1.4 Threat
Upcoming native competitors: Upcoming native competitors can be a big threat.
As a lot competitors are coming up.
International giants: International giants like Amazon or EBay can come to our
market and take over it if Ajkerdeal Bangladesh cannot make a strong position in
the market.
Political instability: Bangladesh is a country with unstable political history. So
political incident can harm the business in times.
Lower internet availability: As a third world country internet is not yet widely
available everywhere in our country so Ajkerdeal Bangladesh is still out of reach
of a lot of potential market.

5.2 Competitive Analysis:


For a business to run smoothly one need to look at various things. An organization
need to forecast its profitability; have to decide on what kind of resources to use.
For that A SWOT analysis is done. Where we find the organization strengths and
weaknesses. We also get to identify the potential opportunities and threats. But
SWOT analysis only determines all this for the company itself. Whether as
Competitive Analysis is done regarding the top most competitors in the market
with similar businesses. It identifies the competitors and evaluate their strategies
to find out their strength and weakness relative to our own product or service.
As mentioned before Bangladesh is a developing country and e-commerce is a
relatively new field. Some people even goes as far to say that this sector is The
Future or The next big thing for this country. Not many disagrees. However,
Ajkerdeal isnt the only one in this sector, in fact there are many online store it has
to compete with to stay relevant.
The biggest competitor of Ajkerdeal is considered Kaymu. They are both
subsidiary to Rocket Internet but has been in a silent battle since the beginning.
But thats just one big competitor. In addition, Bagdoom and Pickaboo are two
company who can be considered as top competitors. There are many more
Although Ajkerdeal and Kaymu has been merged together recently under
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Ajkerdeal Group, they are still maintaining their business separately from each
other and still have no change in their business model or in their websites. So
Kaymu is still a competitor of Ajkerdeal for the time being. Pickaboo has emerged
recently and is getting to a lot of reach towards its potential customer base.
Akhoni.com has rebranded itself as Bagdoom.com and it was one of first mover to
the e-commerce sector.
Figure 30: Market analysis in top online site in Bangladesh
Below a chart is Target Market Price Method of Website Advertising Language
given to show some Distribution Design Platform
highlights of these
companies. Name
Ajkerdeal -Mass Market Competitive Home delivery Most -TV -English
-1st hand buyer Attractive -Facebook -Bangla
-Twitter
-Instagram
Kaymu -Mass Market Lowest Home delivery Not up to Facebook -English
-1st hand buyer the Mark
-2nd hand
buyer
Bikroy.com -Mass Market Competitive Home delivery Very -Facebook -English
-1st hand buyer Attractive -Instagram -Bangla
- Twitter
Ekhanei.com -Mass Market Competitive Home delivery Attractive Facebook -English
-1st hand buyer -Bangla

I have tried to analyze Kaymu Bangladeshs market prospects and competitors of in terms
of competition, challenges faced, customer base and overall industry analysis. The
financial analysis of Kaymu was not properly done because of lack of financial
information due to confidentiality issues.

5.3 Major Players of E-commerce


Kaymu is an online marketplace where sellers sell their products to buyers through
Kaymu website. Kaymu can be compared to physical marketplace, only difference is, in a
physical marketplace, you have to visit different shops located at different floors for
different products and in Kaymu website, you can visit different e-stores for different
products with a click of the mouse.
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Kaymu has some competitors who are also trying hard to grab the opportunity to get
settled in this emerging market. OLX, Ekhanei, ClickBD, Akhoni, Bikroy, Rokomari are
some of the other popular e-commerce websites who are also becoming popular.
OLX is an Indian online classified who are operating in Bangladesh since early 2013.
OLX website can be used through internet and mobile applications. OLX allows its users
to post free advertisements to sell their products. They are looking forward to getting
revenues by streaming advertisements on their website.

Ekhanei is a free classified online advertisement website. Ekhanei is venture of


Grameenphone Limited which is providing a mobile based online buying and selling
platform. They are also generating revenue through advertisement streaming.

Bikroy is another online classified which is also providing a platform for the Bangladeshi
people to buy and sell products for free. This is right now the most popular platform for
the Bangaldeshi people.

ClickBD is the first e-commerce website of Bangladesh which started its journey in 2005.
ClickBD is mostly used as a second hand product selling website. ClickBD now has 25
online stores along with its classified to provide its customers a wide range of product
choice.

5.4 Comparison with the Competitors


If you try to compare between Kaymu and the other e-commerce website, first of all, you
will find out that, most of the popular e-commerce websites are actually classified,
whereas Kaymu is an online marketplace. In the classifieds, when the sellers post
advertisement, they are not organized, but when someone is posting their advertisement
on Kaymu, their advertisements are showing in one e-store under the sellers name. If a
buyer visits a product of a seller, from that very page he/she can see all the products from
that seller.

5.5 CONSUMER PERCEPTION ANALYSIS


To get an idea about what the consumers are thinking I did a short online survey. I used
simple random sampling method so that the data I would gather would be unbiased and
everyone has an equal chance to participate. I created a google form and posted the links
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at various Facebook groups. On this survey I have gathered information from various
people who participated on filing the form on their own will. I have gathered information
from 41 individuals, due to time restriction and the deadline of this report I couldnt
gathered information from more people.

So here I will be discussing the information from the survey to paint a picture of the
consumers perception regarding Ajkerdeal Bangladesh.

5.5.1 Age groups


To understand the majority people that are involved with e-commerce, I put four options
for them to select. They are-
16 - 20 years
21 - 25 years
26 - 30 years
31 years and above
Figure 31: Age group

Age Group

9% 16-20 Years
10%
21-25 Years
26-30 Years
31 Years and above
23% 59%

From this analysis we can clearly see that the majority of the people thats highly
involved are people who are in their early 20s, which is 90% of my sample population.
The second largest groups are the people in their late 20s which is 7%. The teenagers are
at 3% and out of 41 individuals that participated in the survey none of them are over
thirty.

5.5.2 Gender
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To properly target the consumer base an organization needs to know who their main
consumers are. Gender plays an important role here.
Male: 68%
Female: 32%

Figure 32: Gender group

Gender

Male
44% Female
56%

From the chart above we can see that there isnt a very big gap between Male and Female
user regarding their involvement with e-commerce businesses. While the male
participants are 56% and the female are at 44%, just a mere 12% gap. So we can see
although the men are being more involved but the women arent falling behind. So
Ajkerdeal should continue to target both male and female as their consumers.

5.5.3 Online Shopper Ratio


Here I wanted to find out how many people actually have online shopping experience.
Yes: 78%
No: 22%
Figure 33: Online shopper ratio
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Actual Online Shoper

22%
Yes
No

78%

78% of the people previously had online shopping experience. Which is a good sign that
many people are adopting into this online shopping behavior, so organization should more
focus on this sector.

5.5.4 Top E-commerce site in Bangladesh


In the survey form the question was In your opinion, which is the top e-commerce store
in Bangladesh? I have provided them with top 4 online stores similar to Ajkerdeal
Bangladesh who has a similar business model, the options were-
Brikoy
Kaymu
Ajkerdeal
Ekhanei
Figure 34: Top E-commerce site in Bangladesh

Top E-commerce site in Bangladesh

21% Bikroy
35% Kaymu
Ajkerdeal
Ekhanei
18%

26%
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Approximately 35% of the participant picked Bikroy as the top site. While Kaymu being
the second one with 26% of the peoples support to rival Bikroy. Only 21% and 18%
people chose Ekhanei and Ajkerdeal respectively as the top site in Bangladesh.

5.5.5 Areas of improvement


As I mentioned before no organization is perfect, neither is Bikroy. So what does the
majority of people think that Bikroy should improve to better their performance? I gave
three options for this question for the respondent to answer. They are-
Customer Service
Delivery Time
Website Design
Figure 35: Areas of improvement

Sales

29% Customer Service


Delivery Time
44%
Wedsite Design

27%
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5.6 PROPOSED STRATEGIES


5.6.1 Problem: Unsatisfactory User Experience
Description: There is a noticeable stream of issues with Ekhanei.com that makes the user
experience difficult and problematic. For example:
It is difficult to get instant customer service as email responses take time.
Customers have to browse between product listings for a long time to get very
specific products.
The app has many lacking such as difficult search options, improper search results
and incompatibility with some versions of Android.

5.6.1.1 Solution: Secure Online 24/7 Chat Facility


Description: HostGator is one of the biggest web hosting services in the world, and it has
a highly responsive 24/7 Chat Facility where one can instantly connect with a
representative from the firm for help in any matters. A similar facility offered by
Ekhanei.com will make it much easier for customers to get responses to their queries
quickly. The initiative may require hiring of a significant workforce just to run the
system, but the potential payoff is much higher as it will differentiate Ekhanei.com in the
countrys online business arena in a very positive manner.

5.6.1.2 Solution: Advanced Search Filters


Description: Ekhanei.com has some basic search filters that allows customers to find
products from a specific category. Yet a more advanced search filter will add another
differentiating factor for the company. Such as:
a) Old/New Filter: Customers will get to filter products based on whether they are
completely new or second-hand.
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b) Personal/Business Filter: This will enable consumers to search for products based on
whether they are being sold by another customer (C2C) or a business (B2C).
c) Brand Filter: Products can be filtered on the basis of their brands. For example, by
filtering a search for cell phones with Symphony, a customer will see all listings from
Symphony only.
d) Price Filter: Price can be used as a filter for getting the desired product. For example, a
range BDT 50,000-1,00,000 for refrigerators will show only the ones belonging to that
price range.

5.6.1.3 Solution: Improvement of App


Description: It is estimated that around 68% of the customers in Bangladesh browse
online through cell phones. As a result, a fully functional smartphone app is critical to
accessing this market. We propose that Ekhanei.com takes the help of expert consultants
like Aamra Technologies to remove glitches in their app and make it more user-
friendly.

5.6.2 Problem: Ineffective Marketing


Description: Ekhanei.com is not taking advantage of the whole range of tools it can
access to make the most of its marketing activities.

5.6.2.1 Solution: Aligning Website with Facebook Ads


Description: When a person enters a particular section or page of a website, Facebook
can recognize and store that information, and help the website use it for better Facebook
ad targeting. This can be done by installing the Facebook Custom Audience pixel into
the webpages, which then automatically aligns the website with Facebook. For example,
if a person has checked a few products from the Furniture category but has not made a
purchase, Ekhanei.com can capitalize on this by directing ads of some of its best furniture
products to the customer through Facebook for a specific period of time, like 1 week.
During this time, continuous exposure to ads of the product the customer was interested
in might entice him enough to re-visit and make a purchase. The price of the products
may also be displayed to
Some leading commercial sites around the world such as HostGator, Udacity, and Guitar
World etc. use such Facebook ad targeting.
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5.6.2.2 Solution: Increasing effectiveness of advertisements Informative Ads


Description: One of the best ways to gain credibility with customers is to educate them
on how to use a product. Ekhanei.com should run print ads that detail on how to make a
purchase in the website, including the use of its search filters and other options that can
help customers make the most of the buying experience. The company can also run print
ads that make buyers and sellers alike aware of the risks associated with online shopping
and how they can be mitigated.
Believable and Relevant Ads
Description: Although the TVC aired a few months ago was very popular and increased
exposure, it did not induce actual trial of the website. 58.2% of the respondents in our
consumer survey said that they heard about Ekhanei.com from the TVC, only 35.8% have
used the site. This was due to lack of believability and relevance of the usage situations
shown in the communication. Thus more believable and hence more effective
advertisements have to be used.

Themed Ads
Description: Specific themed ads can be used before special occasions like Eids, Pahela
Baishakh, Valentines Day etc to promote products relevant to each ritual.

Ads for both buyers and sellers:


At present, all the communication are aimed towards buyers. But, both buyers and sellers
are target customers. I our survey, 45.8% of customers have used the site for selling and
41.7% for buying, with 12.5% respondents availing both options. Thus advertisements
should be aimed for both categories of target customers.

5.6.2.3 Solution: Product Placement in Soap Operas (Natoks)


Description: During special occasions such as Eid-Ul-Fitr and Eid-Ul-Adha, limited
period soap operas are launched on major local TV channels which tend to be quite
popular. Ekhanei.com can align with such a soap opera so that they incorporate scenes
where characters use this service in a candid fashion.

5.6.2.4 Solution: Search Engine Optimization


Description: When a person uses the keywords online shop Bangladesh in Google, the
top results are Daraz.com, PriyoShop.com and Akhoni.com. A person will not go to
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Ekhoni.com unless the site shows up in the top results too. So Ekhanei.com should
engage in intense keyword bidding and Search Engine Optimization to make sure its
name is at the top of search results when major keywords are used, such sell online
Bangladesh, buy online Dhaka etc.

5.6.2.5 Solution: Premium Listing


Description: This feature will allow a seller to keep his post ad at the top of search
results permanently in a given category for a set period of time for a payment. Thus
sellers who are desperately seeking to sell their products or need to sell quickly can use
this feature, and Ekhanei.com can also benefit from the earnings.

5.6.2.6 Solution: App Promotion through Local Cell Phones and advertising
Description: When a person buys a new cell phone, he usually checks to see what apps
are pre-installed. If the app of Ekhanei.com is present in such phones, the firm will have
won a user of the app without having them install it themselves. The person may later
resort to using this app to search or sell a product. So Ekhanei.com should partner with
local cell phone makers like Walton and Symphony so that their cell phones come pre-
installed with Ekhanei.com.
Besides, the mobile app itself should be promoted through advertising in Facebook and
TVCs.
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Chapter: 06
Recommendation & Conclusion

Recommendation
1. Verify that the current maturity of your E-Business organization is in line with
strategic business objectives, online strategies and meets performance criteria.
Benchmark against external parties but be careful in choosing them, include other
customer groups and sectors.
2. Build sponsorship and involvement at senior and operational level by showing
the real value of E-Business for the organization.
3. Clarify ownership (governance, roles & responsibilities) but also review
governance and ownership for all customer facing processes. Make ownership
transparent throughout the whole organization. Leverage the positive culture towards
E-Business to do this.
4. Bridge the gap between different units in the organization, specifically marketing
and IT, by establishing a cross departmental E-Business steering team. Work on
creating an integrated E-business roadmap. Pay attention to improving E-Business
process integration (cross-departmental) and Business & IT alignment.
5. Invest in improving E-Business performance and cost measurement. Include
cross-channel measurement metrics to determine the real value for the organization.
Continually measure e-business performance and take corrective action where
needed.
6. Specify the desired internal E-Business competences, roles and location. Invest in
developing in house E-Business competencies (cross departments).
7. Contemplate (re)organizing IT: start differentiating between short and long term
projects, (re)organize IT accordingly and/or contemplate outsourcing either. This will
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enable the IT organization to be more flexible in meeting business demand, getting


better results.

Conclusion
After careful observation, it has come to my conclusion that e-commerce has undeniably
become an important part of our society. The World Wide Web is and will have a large
part in our daily lives. It is therefore critical that small businesses have their own to keep
in competition with the larger websites. Since web developers have lowered down the
prices for their services, it has become more affordable for small businesses to use the
World Wide Web to sell their products. Although there are negative aspects of e-
commerce, small businesses have tried to accommodate to the needs of the consumers.
For example, one of the negative aspects of e-commerce is that consumers lack the advice
and guidance of sellers, to accommodate that, they have customer service through the
phone of online to answer any questions. It is also important to note that e-commerce
does not benefit all small companies equally. How much revenue a business gets from e-
commerce depends on what kind of service it gives. For example, most people would like
to try on clothes before they buy them, so it probably would not benefit a small business
that sells clothes as much as a small business that sells home supplies or specialty books.
Nevertheless, e-commerce does benefit any business even in small ways. This is why it is
crucial to understand how e-commerce affects small businesses because it is becoming
such a huge part of how society functions that it affects the economy greatly and whatever
happens to the economy affects us. This is why is it important to understand this subject
because in the long run, it will affect all of us. Bikroy.com is one of the largest e-
commerce website in Bangladesh and it has made the status of top online marketplace of
Bangladesh. It is relentless in detection of business revolution and development. Bikroy
first entered the Bangladeshi market back in 2012. In this very little time it has cemented
its place as one of the leading e-commerce site in Bangladesh. It has created job
opportunities for many fresh graduates. Bikroy.com also uses university going students as
their agent and pay them based on commission. It gives them a great experience which
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they can use in real life. They always maintain good relation with both their vendors and
customers. They will utilize bikroy to make them even stronger than before, continue to
give Bangladeshi market always something to look forward to.

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bangladesh
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https://review.easycounter.com/reputation-Ekhanei-safe

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