Tata CLiQ e-commerce platform - Serious Competitor


For the last three year, India is the talking point everywhere around e-commerce boom with more than 70 million user uses e-commerce portal for one or another reason. The potential ofe-commerce is huge provided tackled properly in a strategic manner given the fact that mobility data user are growing. Till now only 23% of total data users are opting for e-Commerce sites; be it mobile or WEB and transaction rate is in low single digit until unless e-commerce portals are going for flash sales.

Interesting maximum revenue of established e-commerce companies revenue comes from electronics section and predominantly from mobile devices. Still e-commerce companies only sells around 15-17% of the total shipped Smartphone through their portal and rest falls in Local Retailer segment. After observing the trend of e-commerce companies performance as well as the threat points; at last Tata group announced their entry into the said segment.

We should remember that they have very strong experience through their retail business around fashion, electronics and other segment and many of the Tata Sons controlled companies offer many products such as capital goods and all. During phase 1 of retail business, they defined the process of procuring to warehousing to channel management to delivery management which is very crucial for any organization to be successful.

 Secondly, Tata sons also controlled one of the finest companies in the IT segment and can change the tide on the basis of innovative mechanism which no one can even think off. Given the above facts, CLiQ may immediately impose itself as non avoidable competitor in the market place using its unmatched brand value, great market reach, producer of many product.

They may opt to connect their retail outlets with CLiQ where user can place an order online whereas delivery or demo can be done through retail outlets.

Given the branding, most of the buyer and seller will be more than happy to get attached with them and on top of that, Tata may not opt to reverse strategy where they choose to acquire only profitable user base instead of user base to generate virtual valuation to get the funding.

In my opinion, the combination of CLiQ and Tata Group controlled retail outlet may pose very stiff competition to its competitor and believe that it will be learning for everyone. Its a move by Tata Sons which carry a capability to change the market dynamics

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Visionary Leader with 22 years of multi-functional experience - combine astute tactical, strategic, business, technology and industry skills in ICT domain at domestic and international level (Wired/Wireless/ networks /platforms/ connected device) .... More

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