nl ecommerce july 25 - july 31, 2015

© Gyan Research and Analytics Pvt. Ltd., 2015 1

Industry News ❑ Amazon’s Launchpad Store closes gap between startups and consumers Amazon.com launched a new platform on July 28, 2015, for startups to advertise and distribute their precuts to millions of customers. Amazon is partnering with more than 25 crowd-‐funding platforms and venture capital firms to offer 200 products on the Launchpad Store.

❑ Ecommerce companies join The Unicorn Club Flipkart, Snapdeal and Ola have joined the exclusive unicorn list of firms with USD 1,000 million valuation. The companies have been hiring seasoned executives in key roles to introduce new initiatives for their business growth.

❑ PayU to get SMEs, new ventures online Pay U India is reaching out to startup small and medium enterprises ( SMEs) through a series of events titled “Startup masterClass”.Currently, there are 20 million SMEs in India, of which only a fraction have online presence. PayU plans to reach out to 5,000 SME s and startups by December 2015.

❑ Tata Group to enter ecommerce, digital health Tata Group plans to foray into digital health, ecommerce and data analytics, under the aegis of Tata Industries – the company’s medium for investing and promoting sunrise ventures. The venture will offer both Tata and non-‐Tata brands across lifestyle and electronics. The entry of India’s conglomerate, with revenues in excess of USD 100 billion, into ecommerce may raise the competitive stakes.

❑ Flipkart launches India Art House Flipkart has launched India Art House, an exclusive online store to promote Indian regional crafts, art and handicraft products. Initially, the firm will offer 10,000 such products from 100 sellers in 15 cities and towns, then it will gradually move up to 1,000 sellers with a portfolio of over 1 lakh products. The artisans will directly sell through Flipkart and in exchange Flipkart will retain only 10 percent of the selling price as margin. About 80-‐90 percent of the products will be in the home segment and the rest in fashion.

Investment News ❑ Flipkart & Snapdeal invest nearly INR 1.8 crore in board games Flipkart and Snapdeal have invested about INR 1.8 crore in offline gaming company MadRat that designs educational board games. Participants in the funding of about INR 6.2 crore also included the founders of Global Logic. The games are priced at INR 500 -‐ 1,000 and are available in 400 stores in 10 cities on Flipkart and Snapdeal. The company has sold 60,000 units of the five games it launched in January 2015. The Indian toy industry is expected to expand to INR 13,000 crore by 2015 from INR 8,000 crore in 2013.

Ecommerce NewsJuly 25, 2015 -‐ July 31, 2015

© Gyan Research and Analytics Pvt. Ltd., 2015

❑ Paytm bags title sponsorship rights for cricket in India till 2019 Paytm has bagged the title sponsorship rights for both international and domestic cricket matches in India till 2019. It will pay INR 2.42 crore for every international match or a total of INR 203.28 crore for 84 matches in four years. Paytm replaces Micromax, which sponsored the 2014-‐15 season at INR 2.02 crore a match. There were only two bidders for the title sponsorship rights. The bid was opened in the BCCI’s marketing committee meeting on July 30, 2015.

❑ Zovi raises USD 50 million for new venture Zovi raised USD 50 million in a round led by Paytm, with participation from existing investors SAIF Partners and Tiger Global Management and a new undisclosed investor. The funds will be used to build a merchant ecosystem in India for ‘Little’, its new venture. ‘Little’ will be only app-‐based and will offer over 50,000 live deals in 11 cities across India, by March 2016. It has already enrolled over 5,000 merchants in 11 cities and expects to hit a GMV run rate of USD 170 million by March 2016.

❑ Ola plans to raise INR 3,150 crore Ola plans to raise INR 3,150 crore just three months after it raised USD 400 million in April 2015. This will result in a steep hike in the valuation of the company to over USD 4.5 billion from the current USD 2.5 billion. Ola's spurt in revenues has been aided by the USD 200 million acquisition of its rival Taxi For Sure. Ola is currently present in 100 cities.

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Ecommerce NewsJuly 25, 2015 -‐ July 31, 2015

Weekly Snapshot

Flipkart Funding Rounds (USD million)

Round Founder DateAmount

(USD million)First Accel India 2009 1Second Tiger Global 2010 10Third Tiger Global June 2011 20Fourth Naspers August 2012 150Fifth Naspers, Accel Partners, Tiger Global and ICONIQ Capital July 2013 200

SixthDragoneer Investment Group, Morgan Stanley Investment Management, Sofina and Vulcan Capital, Tiger Global October 2013 160

Seventh DST Global May 2014 210Eight Tiger Global, DST Glbal, Accel Partners, other investors July 2014 1,000

Ninth

Steadview Capital, Baillie Gifford, Greenoaks Capital, T.Rowe Price Associates, Qatar Investment Authority, DST Global, GIC, ICONIQ Capital, Tiger Global

December 2014 700

Tenth Steadview Capital & Other existing investors July 2015 700Total -‐ 3,151

Source: Various Public Sources

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