Retail Chronicles_ Volume-2_Issue8_16-30November

in The City:
New
One8
of Results
Demonetisation
to Online:
Offline
Grand entry in
Jio's
Kushal Pal
Biopic:
Singh
News at a
Retail
Glance!
J Somaiya Institute Of Management Studies & Research,Mumbai
K
9158256641 | 9769886091
Contact:
RETAIL
CHRONICLES
Fortnightly Newsletter | Volume-2 Issue-8 | 16-30 NOVEMBER 2017
02
Pg 03
03
05
E-commerce
Pg 07
Pg 02
Pg 06
07
08
Pg 08
Pg 05
Retail Lab SIMSR
retaillab.simsr@somaiya.edu

FAILURE IS AN
OPTION HERE.
IF THINGS ARE
NOT FAILING,
YOU ARE NOT
INNOVATING
ENOUGH
- elon musk

NEW IN THE CITY
By Aditi Barde
Indian cricket skipper Virat Kohli has
launched his athleisure brand One8 in
collaboration with German sports lifestyle
brand Puma, which is providing design,
product, retail and communication channels
for the brand.
Athleisure and performance apparels are
currently there under One8 whereas footwear
and accessories will be introduced in the
upcoming season.Kohli and Puma were in talks
for the past six months and now the brand
One8 has come into realisation.
“The One8 range is very close to my heart. It is
my way of calling out to Indians to Come Out
and Play, because feeling fit and looking active
is a simple step 1 towards leading a more
active lifestyle. The collection is very versatile
and is a mix of fashion and functionality. I
have been deeply invested in the design and
ideation behind the products, with PUMA
designers even browsing through my wardrobe
for inspiration! Partnering with PUMA to
create One8 is also great because the brand is
such a fit with my personality and will ensure
that ‘brand One8’ is constantly evolving,"said
Kohli who is also the brand ambassador of
Puma.
One8
To add one more feather in his cap, Kohli
becomes the first Indian sportsperson to
sign a Rs 100-crore plus endorsement deal
with a single brand.Kohli has struck a
massive deal with lifestyle brand Puma
worth Rs. 110 crore for an eight year
period.
According to the report, bulk of the
endorsement deal, estimated between Rs
12 to 14 crore annually, is locked up in
fixed payout.
Abhishek Ganguly, MD of Puma India
expressed his excitement to collaborate
with Kohli and also said that Puma will
continue to create opportunities to inspire
Indians to adopt fitness and sports in
everyday life.
One8 has its collection at all the Puma stores
spread across the country and also on their
online shopping portal.It will also be on Myntra
by November end.
02

RESULTS OF
DEMONETISATION
y Raveena Gupta
ast year on November 8, all 500 and
,000 rupee notes were called off.
emonetisation, as it was called, applied
o 86% of the value of all currency in
irculation. The goal was to eliminate
ake Indian currency notes, curb
errorism, and to catch tax defaulters.
ater, when criticism erupted, the
overnment said it would also help India
witch from cash to digital money.
ne year later, with data now available,
t’s time to assess what demonetisation
as actually wrought -- the good or the
ad?
• Digital wallets Growth - Digital
transactions have surged such as Alibaba -
backed Paytm, MobiKwik and Freecharge. It
is also useful to bring in transparency into
the system.
• Innovation emerged – Example like
government-backed payment app BHIM and
Aadhar linked accounts, etc.
.
ome Pros
Widening of the tax base - The number
f income tax returns filed for FY16-17
rew by 25%. However the Economic
urvey put the number of new taxpayers
t 5.4 million, or just 1% of all
ndividual taxpayers.
03

ore Cons
Demonetisation wrecked the primarily
ash-reliant rural economy, adding
istress to mounting debts.
The agricultural sector worsened due
o cash shortages, plunging demand and
ollapsing prices. Prices of potatoes,
nions and tomatoes raised which
aused suffering and farmer unrest in
he states of Madhya Pradesh,
aharashtra, Gujarat, Tamil Nadu and
ajasthan.
The downturn spilled over to other
ectors. A survey by India Development
oundation found that production took a
it.
Unemployment - Around 1.5 million
obs were lost in the first four months of
his year. In Mumbai, more than 50% of
he power loom units were shut down,
mpacting around 300,000 workers.
The construction sector registered
• Significant increase in the rate of fake
currency note detection- Government’s first
batch 2,000 rupee notes are already being
counterfeited.
.
• Loss of printing new currency notes -- the
cost of printing notes was nearly $900
million in 2016-17.
• The RBI Annual Report stated the industry
slowed down. In the first quarter of fiscal
2017-18, economy growth slumped to 5.7%
compared to 7.1% in the same quarter of the
previous year.
All in all, demonetisation accomplished
little while causing much collateral damage.
04

Offline-To-Online:
Jio’s Grand Entry in E-Commerce
By Kapil Gupta
It has been one year since the
announcement of demonetization, and
since then we have seen Digital big shots
likes of Amazon, Flipkart and Paytm
taking over everywhere. Vying to their
success at one hand offline giants like
Shoppers stop and Big Bazaar is coming
up fast on digital platforms, on the other
side Reliance Jio, a name which has
become synonymous to Disruption, after
eating up the most significant piece of pie
of Telecommunication sector is now
eyeing to make a substantial entry by
doing something which is not thought of
yet.
The company is working on the model in
which it will enable the customer to buy
FMCG products from E-commerce websites
and even from their nearby Kirana stores
using digital coupons via its Jio Money. A
practical pilot project is already operational
in the metro cities, and it is expected to be
panned out in the entire country on a full
scale by the first quarter of the next year.
.
After toppling the telecom industry
upside down, Reliance Jio is now trying
to step into the most crowded sector, i.e.
E-Commerce. Jio is planning to leverage
its vast network and millions of users to
sustain in this market.
05

06
Looking at this information, it can be
quickly expected that given its rapid
growth to gain more than 150 million
subscribers, its entry into online-tooffline
E-commerce will trigger a market
share war among mobile payment
wallets such as Paytm, Freecharge,
Mobikwik and phonepay etc. just like it
did in the telecom sector.
India’s $650-billion retail industry
which comprises only 3-4% E-commerce
and 8% of organized retailers such as
shoppers stop and Big Bazaar, still has
88-89% void of small entities, local
vendors and corner stores. Jio is
planning to bridge this 88-89% gap with
E-commerce. For their pilot project, Jio
has already tied up with ITC, Wipro,
Godrej Consumer products etc. In the
initial stage, Jio will provide its platform
to these consumer brands, on the other
hand, it will connect with the corner
stores through brands’ distribution
networks.
In this plan, instead of offering cash
back to its customers, Jio will send
digital coupon codes of a brand to its
mobile users. The users will be able to
use those digital coupon codes at nearby
stores to buy goods. Stores (online/
organized/ unorganized) enrolled with
Jio would be equipped with software to
scan or read these coupons.
To facilitate better connectivity between
manufacturer and retailers, Jio will also
partner with the offline stores to provide
its platform for clearance of stock. Jio
will also allow the retailers to send text
messages regarding promotional offers
even to those who aren’t Jio customers.
Jio is also planning to provide the facility
of Geotagging to retailers and
E-commerce websites by which they can
push the sales in leftover stocks for a
specific geographical area. This will allow
the brands to make their retailers proactive
in stocks clearing. Jio is also
planning to introduce a new technology
in which a missed call will allow Jio to
indicate to shoppers about the
promotional offers in a specific area.
The revenue model of this plan is also a
unique one. Jio will charge the brands for
using its platform for ‘below the line
marketing.’ It is a money saving option of
advertising for those companies which
involve the distribution of leaflets and
.
other promotional material in their
advertising. It is obvious that Jio will not
use a single penny on it as it already has
a huge network of infrastructure,
technology and consumers, neither it will
use its money for offering discounts on
products. Jio has already on-boarded
many such e-commerce brands but with
this giant step of using its pre-existing
network, it is seeking to get more brands
whose products are omnipresent in
Indian markets.

07
BIOPIC: K.P Singh
(Kushal Pal Singh)
By Tejas Rane
K.P Singh, is a real estate magnate, and is known for being India's largest real estate
developer. He was born on August 15, 1931, in Uttar Pradesh, and he grew up to establish
and head DLF Limited, as the chairman and CEO of the company.
Career
Mr. K.P Singh is a graduate in science from and has achieved his higher education in
Aeronautical Engineering, from UK. He subsequently joined Indian Army which he left to
join his father-in-law, Chaudhary Raghvender Singh, to find the DLF group. Thereafter, he
joined American Universal Electric Company in 1960,, which was a JV between Universal
electric Company of Owosso, Michigan and the Singh family. In 1979, American Universal
Company merged with DLF Universal Limited, while appointing KushalPal Singh as the
Managing Director of this new company.
Personal insights
KushalPal Singh, is married and is a father to three children. Chaudhary Raghvender
Singh, his father-in-law, shares close ties with each other. His father-in law, himself has
done infrastructural wonders to various areas of Delhi, such as South Extension and
Greater Kailash.
Notable Project
The key man, behind DLF, has successfully renamed Gurgaon, as The Millennium City or
The Shopping Mall Capital of India. His contribution in transforming Gurgaon into a world
renowned hub within a decade is practically unforgettable.
Achievements
The Indian billionaire, KushalPal Singh, today stands at a worth of $3.4 billion, and has
amassed considerable fortune to be counted as one of the richest entrepreneur in the
world. The market capital of India's largest real estate company, DLF, now stands at Rs.
11,475 billion. He also holds many key positions in regulatory bodies. Currently, K.P Singh
presides over the Central Board of RBI, as its director. He is also the director of 31
different private companies engaged in various sectors of the economy. The prestigious
'Delhi Ratna' award was honoured to him for his valuable contribution towards Delhi.

08
Amazon India doubles its war chest to $4.74
RETAIL NEWS AT A GLANCE
billion to take on Flipkart
Alibaba seeks CCI nod to buy stake in
BigBasket
ITC plans to take its Fabelle chocolate brand
to retail outlets next year
Jabong inks deal to sell Hamleys toys
RIL to foray into co-branded apparel
business with ‘RElan’ - RIL says the firm
has tied up with VF Corp., which would be
launching Wrangler Jeans under its fibre; in
advance discussions with five more brands
Wipro Consumer Care to invest in Happily
Unmarried - The investment in Happily
Unmarried is in keeping with the company’s
strategy of leveraging emerging online
opportunities, says Wipro Consumer Care
Tata Global Beverages completes sale of
Russian subsidiaries Sunty and Tea Trade for
Rs41 crore, as part of a business
restructuring exercise announced in August
Walmart India to open 30 stores in next 3
years – It plans to add 5-7 stores in the next
year even as it begins piloting ‘dark stores’
or fulfilment centres for retailers, stockists
and kirana stores buying from it

Our Team
Content Head
Neeti Gupta
Junior Team
Aditi Barde
Vikas Khetan
Raveena Gupta
Kapil Gupta
Tejas Rane
Design Team
Devesh Shukla
Sujay Ambure
Nivya Shah
Debashish Sarmah
Ankur Shah
/retaillabsimsr
@Retail_LAB
retail_lab
Retail Chronicles is a bi-monthly newsletter of
Retail Lab, the Retail committee of KJ
Somaiya Institute of Management Studies
& Research, Mumbai. Images used in Retail
Chronicles are subject to copyright.
K J Somaiya Institute Of
Management Studies & Research,
Mumbai
retaillab.simsr@somaiya.edu
+91 9766122888
+91 8547527273