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E-commerce and M-commerce Technologies assignment.

  

BBA 6 th Semester 
 
Submitted by - Sanidhya Ghatiya 
 
Roll no. - 65048 
 
Portal analysis of MEESHO app and VIVOBAREFOOT 
(business model and revenue model + SWOT analysis) .   
Meesho Business & Revenue Model – Online Reselling App 

Can you name some Indian businessmen? Have you ever thought that women are still 
struggling to break the glass ceiling in the commercial sector? According to the sixth 
Economic Census released by the Ministry of Statistics and Program Implementation, 
women make up only 14% of total entrepreneurship; Of the 58.5 million entrepreneurs, 
this is 8.05 million. Do we still want to stop Indian women within four walls? Or do you 
think things are changing? 
 
Online re-selling marketing app - MEESHO 
 
MEESHO, 'Mary Shop' is a social business startup based on 'My Shop' which originated 
out of 'India's Silicon Valley' - founded by IIT Delhi graduates Vidit Athre and Sanjeev 
Banwal in 2015. The online shopping app is a re-selling platform that enables small and 
growing businesses and individuals to launch their own online store through social 
channels such as WhatsApp, Facebook and Instagram. This is the ideal ‘shop’ for 
potential entrepreneurs who usually face barriers to starting a business. 
 
The Meesho business model has been successful in bringing social change in their own 
way by making shopping for social entrepreneurs. It empowers every entrepreneur 
whether it be a Bangalore housewife or young mother of Kochi. This is what most 
people dream of. 
 
   
MEESHO Online Re-selling Sales Application Services: 
 
Meesho's origins are largely based on unknown and are now a disappearing mobile app 
- Fashioner. The app allows users to see all the real 'fashion boutiques', find what they 
like, get selected fashion products for home testing, and then find and buy the ones they 
like - all in one click. The saying "failures are steps to success" has never been proven. 
Now, the Meesho business model services not only in apparel and fashion but also in 
footwear, electronics and some other household products. 
 
Clothing​:​ This clearly includes a variety of fashion items such as saris, kurts, 
shirts, as well as local customized clothes. 
 
Shoes:​ W
​ hether it's casual shoes or formal shoes or sports shoes, the Meesho 
Online Resale app offers a variety of shoes. 
 
Electronics:​ Mesho Online Shopping app also deals with some electronic 
products such as headphones, mobile and power bank. 
 
Others:​ As the Meeshao Working Model expands the wings, it also offers 
kitchen, jewelry and beauty specialties. 
 
Meesho Online Re-selling Sales Enabling App Factors 
 
The meesho working model captures the essence of Indian shoppers and gives them 
what they need. Some of the factors that enabled meesho to work are: 
 
1. E-Commerce Blossoms: 

Suddenly everyone started scrolling through different sites to buy things.Rather 


than Physically, going to at least three stores, looking at the types, and then 
deciding what to buy, people started exploring the e-commerce option and 
eventually relying on products and having fun. With various discounts, offers and 
home delivery facilities, e-commerce has knocked on the door and people have 
taken over at once. The social trading platform very intelligently brings the 
physical world into the virtual world. The Meesho business model effectively 
utilizes the views of its audience. 

 
   
2. Internet Explosion: 

Whether  smartphones  have  betrayed  us  or  made  our  lives  easier  is  an  entirely 
different  debate.  However,  this  has  definitely  changed  the  virtual  map  of  India. 
According  to  a  report  by  market  research  firm  Kantar  IMRB,  there  are  about  293 
million  active  internet  users  in  urban  India  and  this  is  a  serious competition with 
200  million  active  users  in  rural  India.  Due  to  cheap  data  plans  and  active 
awareness  of  various  stakeholders,  the  Internet  has  found a place in the heart of 
every  person.  The Internet provides hope to millions of Indians who live remotely. 
The  Meisho  Online  Shopping  App  has  made  Indians  believe  that  finally  they  can 
earn through mobile apps. 

 
3. Cashless India 

A society heavily transacting in cash transformed altogether by moving towards 


becoming a cashless and digitized society. Meesho revenue model still has the 
option of cash on delivery along with the other options of online payment. 

4. GST: 

Goods and Services Tax, famously known as GST, is an indirect tax imposed in 
India on the supply of both goods and services. GST had its own carving path 
since its introduction in the Budget Speech in 2006. However, now with the 
‘one-nation-one-tax’, GST has unified the nation in terms of tax. 

   
How does Meesho online re-selling sales work for app 
marketers? 
 

Step 1: Go to the Meesho website. 

Step 2: Click on 'Sign Up Trader'. 

Step 3: Fill out the form with details and verify your business. 

Step 4: Upload high-quality images of products. 

Step 5: Start receiving orders. 

Step 6: Delivery and payment will be handled by Meesho-Account Manager. 

How the Meesho Online Shopping App works for resellers: 


 
Step 1: Download the application. 

Step 2: Go to the collection and select the appropriate category. 

Step 3: Share information on social media platforms. 

Step 4: Make customized prices for the order. Here you can add an 'extra' 
amount to earn your income. 

Step 5: Order the product. Enter the address and tap. 

Step 6: Review and pay or select COD. 

   
Positive aspects of Meesho's business model include: 
 

The Meesho business has gained a lot for the benefit of the people of various 
cities and states of India. Some of its distinctive features are: 

Zero investment​: Everyone can be a business person now without thinking 


about the initial investment. This means that anyone can start a business with 
zero investment. You do not need to buy the product before signing the contract. 

Variety:​ Meesho has various collections along with several categories. All your 
needs are met through this app. 

Logistics​: Because Meesho cares about logistics, you can spend time thinking 
about expanding your business and not worry about delivery and payment. 

Easy Return:​ If you receive a defective product or are dissatisfied with the 
product, Meesho has an easy return policy. ' 

The negative aspects of the meesh working model are: 


 

Just as there are two sides to a coin, each idea and product has two sides, and 
the Meesho business model is no different. 

Delivery Charges:​ The Meesho Revenue model has an 'Easy Return' but you 
also have to bear the delivery charges, which can be up to Rs.100 / -. 

Bad Support:​ As with many e-commerce platforms, Meesho does not often 
respond via phone or email support. 

Belief:​ Is it often difficult to trust local products that have no brand value? Well, 
Meesho’s main strength is that it offers local products to its people; However, 
Meesho may be a little hiccup because people value the brand. 

Online Review​: Meesho has mixed reviews on various online review platforms, 
such as Mouthshot.com and AmbitionBox. 
Meesho Revenue Model | How MEESHO make Money: 
 

Let us understand how Misho makes money by analyzing Meesho's income 


model: 

Commission-based:​ Meesho earns 10-20% commissions from the product 


price. 

Logistics:​ For Meesho, a higher income also arises from logistics, as this is its 
main responsibility. 

Increase ranking and local sales​: Apps are another way to promote products 
and increase sales revenue. Similarly, there is considerable opportunity for 
Meesho to earn through data that is added to the Meesho revenue model. 

Potential challenges for Misho include: 


 

The trouble-free story isn't all that interesting! Misho has a journey to complete 
and may face some obstacles: 

Belief:​ Meesho is also working to improve its support system for its customers 
and get more positive reviews, which is an urgent task for Meesho to continue its 
success streak. 

Delivery Charges:​ The word 'free delivery' is absolutely magical! People think 
twice before ordering a product that has a delivery charge tag and MEESHO 
charges its customers in terms of meesho delivery. 

Competitors:​ Meesho owns a share of competitors such as Glowyard, 


Shoppers and StoreHippo. Misho needs to be consistent 

Cyber ​Attack:​ Every e-commerce platform is at risk of crashing or a website or 


application going down. Hacking attempts can also cause serious damage to the 
platform. 
The Conclusion: 
 
The concept of working from home is actually a reality for millions of Indians. It 
repeatedly added feathers to its cap. Meesho was selected by California-based Y 
Combinator, a California-based seed accelerator. It was funded by VH Capital 
and Investopad and was also able to raise investments from SAIF partners. It 
was the first Indian startup to invest in Facebook. Meesho is available in 7 local 
languages ​and about 40% of its daily usage is from non-English speakers. 
Another important achievement of Mesho is the participation of women. 90% of 
its customer base is from women. The Meesho online re-selling marketplace 
makes local products relevant, empowering women and achieving every dream.   
SWOT Analysis of MEESHO app 

Strength  Weakness 
● Local reach  ● No free delivery 
● Social upliftment of women helps it to get  ● Customer prefer big brand over local brands 
goodwill points from government as well  ● Lacks after sales services 
● It is a mobile app with user friendly interface   ● People hesitate to purchase products on 
● Investment from big Tech giants including  mobile phone 
Facebook  ● Because of meesho’s profit margin policy , 
● Mouth publicity from local users  many traders don’t sell their products at high 
● Good supply chain management  price 
● Easy return policy   ● Not so popular in metro cities 
● Variety of products  
● Good margin  
● No big competitor at local level with such a 
good working and capacity 

Opportunity  Threat 
● To increase reach, they can open phygital  ● Well known E-commerce giants are planning 
stores in metro cities   to get in the local market place (rural areas) 
● By improving the after sales service they can  ● Other new competitors with better supply 
have better trustworthy bond with customers  chain management with free delivery and less 
● Lack of local competition can help them to  profit margin can easily take over the market . 
totally overtake the market by integrating  ● Lack of after sales customer support leads to 
maximum no. of local sellers  frustration amongst customers and bad 
● Making women centric and emotional  publicity. 
marketing campaigns can get them more  ● With frequently changing business laws, it 
trust of the local customers  becomes difficult to integrate the whole 
● Incorporating Better supply chain  system according to new laws 
management system can help them to  ● The customer privacy policies are a bit 
introduce Free delivery  controversial and can lead to problems with 
● They can also collaborate with other local  law enforcements any day . 
businesses and technical startups to increase 
the variety of products and services they 
provide. 
 

 
VIVO BAREFOOT BUSINESS MODEL AND SWOT ANALYSIS 
 

VIVOBAREFOOT intro​- 
It is a minimalist shoe manufacturing company based in the United Kingdoms was founded in 
1997 with the vision of bringing back the joy of being barefoot. It develops and manufactures 
shoes which are designed with keeping in mind the sustainability, environmental responsibility 
and most importantly the natural shape of human feet. They make the thinnest and most 
preferred barefoot shoes by all runners and sports practitioners.  
 

Portal -  
A really interactive and phygital experience where you get the customer service like a physical 
store on a digital platform. An ecommerce website which focuses more on the motto of the 
company rather than constantly pushing users to buy the product. 

 
What is the business model of VIVOBAREFOOT? 
Vivobarefoot basically works on 3 principles -  

1) Sustainability​ - Their manufacturing company is the biggest importer of recyclable 


plastic and non biodegradable waste like styrofoam and nylon nets which gives them a 
better chance at gaining good will from the government as well as different sectors of 
society. It also helps them in cost cutting as the cost of acquiring and processing waste 
material is far less than that of procuring Raw material from different sources. 

2) Strategic affiliated and sentimental marketing campaigns -​ They 


organise annual water marathons which is attained by most of the world renowned 
athletes one of them being Milind Soman from india who happens to be the brand 
ambassador of their competitor brand -Luna sandals as well..  
Vivobarefoot focuses on branding their product as - Bringing humans towards nature 
one step at a time which happens to be proven as well because they technically have the 
safest and the most comfortable and apt barefoot shoes amongst all the other barefoot 
shoe makers. This creates a good image in minds of clients who are nature lovers(their 
primary customer base) 
3) Amalgamation of old school manufacturing with new machines -  
They do manufacture shoes in bulk but they have state of the art machines which are 
capable of making each pair a unique one as per the users requirement thus speeding 
the process simultaneously taking care of the users demand. 

4) Integrated customer support system. 


They have incorporated the customer support system with an artificial intelligence chat 
both as well as freelancer real humans who work from home and keep an eye on the 
chat bot . 
 
 

Revenue model 
 
● World wide customer base with having at least one brand ambassador sports person in 
each country thus giving them a huge customer base thus a global marketplace to 
create revenue  
● An inherited supply chain management from the well known DHL delivery services as 
they hold a good amount of shares in DHL giving them an upper hand at delivery 
services all across the globe with well tested delivery options where they ask for a 
certain amount for covering all the hassle of import taxes and duties. This often gives 
them a huge amount of profit as maximum of the times the shoes which come under a 
certain category of items are passed through customs without any duty or charges or 
with a negligible amount. 
● They get a good amount of subsidy from the government as they import most of the 
recyclable waste 
● They have invented a unique rubber injected micro thin sole which they sell to other 
barefoot shoe companies as well at a much higher price.    
SWOT analysis 
Strength   Weakness 
● Sustainable business model helps in cost cutting  ● NOT being present on OTHER e-commerce 
● Free publicity from great sports persons as they  websites. 
are really good with their quality  ● The cost of the shoes are way too much as 
● An integrated customer support system   compared to any other barefoot shoemaker. 
● Subsidy from the government   ● Maximalist shoe maker companies are constantly 
● Better supply chain then the competitors  trying to degrade any minimalist shoe company. 
● Unique rubber injected outer sole which they also  Huge opposition from big brands like reebok and 
sell to others  adidas because they tried to copy vivobarefoot 
● Environmental friendly,helps with goodwill points  back in 2010 when reebok and adidas were fined 
and also creates a good image in the mind of  with a huge settlement amount and forgery.  
users  ● Reach only limited to Barefoot runners and not 
● A really good website with amazing user interface  normal humans 
 

Opportunity  Threat 

● With already a great website , they can  ● With their products having Little to no presence 
collaborate with other e-commerce websites to  on other renowned e-commerce portals they are 
increase their reach and awareness  missing a huge customer base 
● They can also collaborate with more fashion  ● Other competitors building new and better 
bloggers to increase their reach  options at half the price of VIVOBAREFOOT the 
● With low manufacturing cost , by reducing their  most prominent one being XERO sandals and 
profit margins thus reducing the price of the  VIBRAM  
shoes,they can attract many more customers  ● Not having customization options like other 
● With an already a huge community organically  competitors most likely takes away the 
promoting their shoes on social media, they can  customers who like customized items.  
come forward and create a huge social campaign  ● Not having any physical stores out of the UK 
where people actually get recognised.  keeps them away from a huge potential customer 
base. 

 
 

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