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Online Marketing in India April 2014


Executive Summary Market

 Online marketing is experiencing a high adoption rate and is slated to grow at rate of a1% y-o-y  There are predominantly a2 types of online marketing which have exclusive tools developed for their success

Drivers

Drivers & Challenges

Trends

Competitive Landscape

Challenges

– Large domestic Internet user base – Positive consumer behavior & patterns towards online media – Growing proliferation of Internet on mobile devices – Volatile economic conditions – Lateral shift from traditional advertising towards Internet marketing – Large Expatriate Population

– Lack of trust in Internet advertising – Literacy and language barriers – Shortage of skilled personnel

 Advent of mobile marketing  Content marketing emerges as the new buzzword  Visual content slated to take new shape

 Local online marketing spreads wings  Online marketing evolving as new stream of study

Major Players Player A

Player B

Player C

Player D

Player E

Player F

ONLINE MARKETING IN INDIA 2014.PPT

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•Macro Economic Indicators •Introduction •Market Overview •Online Marketing Types •Online Marketing Tools •Drivers & Challenges •Trends •Competitive Landscape •Strategic Insights •Appendix ONLINE MARKETING IN INDIA 2014.PPT

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SAMPLE

Economic Indicators (1/3) GDP at Factor Cost: Quarterly INR tn d1 c1 b1 a1

d2 c2 b2 a2

Q1

Q2 20-- - --

20-- - --

20-- - --

d3 c3 b3 a3

c4 b4

Q3

Q4

a4

20-- - --

Inflation Rate: Monthly % B

1.0

E

0.8 0.6

A

C

D

Oct 20-- - Nov 20--

Nov 20-- - Dec 20--

0.4 0.2 0.0 Aug 20-- - Sep 20--

Sep 20-- - Oct 20--

ONLINE MARKETING IN INDIA 2014.PPT

Dec 20-- - Jan 20-4


Internet marketing is being hailed as a powerful force that is required for businesses who opt for global expansion Online Marketing – Global Overview • As Internet has opened up a whole new world of marketing possibilities, Internet marketing has constantly been evolving with rising opportunities for visibility and growth • An increasing number of companies are allocating a considerable portion of their marketing budget for online advertising • One of the primary reasons for its fast adoption lies in ease of being able to track online advertising campaigns • Emerging markets such as Brazil, Russia, India and China are poised for economic growth and businesses are eager to penetrate these markets which requires a mastery of online marketing Online Ad Spending – Global Growth by Region

d1

e1 f1 g1

c1

b1

Region 1

Region 3

Region 5

Region 2

Region 4

Region 6

d2

e2 f2 g2

e3 g3 f3 b2

d3

c2

20--

b3

c3

20-ONLINE MARKETING IN INDIA 2014.PPT

e4 g4 f4

20--

b4

d4

c4

20-5


Online marketing is already ahead of radio and is slated to outspace outdoor advertising in the ensuing years Online Marketing – India Overview (1/2) • In India, more and more businesses are opting for online marketing as their preferred mode of marketing for their products and services • A dominant reason for its adoption is it being a cheaper and more effective way of marketing as also being a guaranteed method of advertisement • Small and midsize businesses are also using internet as a potential medium to generate more qualified leads and sales • Facebook has emerged as a display advertising solution and thereby serves as a different marketing channel

Market Size and Growth INR bn r

s

m

20--

o

n

20--

20--

q p

20--

20--

20--

Share of Online Marketing in Overall Advertising Sector 20--

• Presently, companies are ramping up their efforts in order to educate SMEs regarding the power of online advertising • A primary advantage of using online marketing lies in the fact that it helps in tracking Return on Investment (ROI) till the very last unit of money spent in marketing ONLINE MARKETING IN INDIA 2014.PPT

20-Online Marketing

x1 x2

6


A snapshot that shows how much social media marketing gets translated into ROI Social Media Marketing (3/3)

How does social media influence users help in recommen ding and eventual purchasing ?

SAMPLE

Try new things based on friends’ suggestions and then making a purchase

~c1%

Encourage friends to try new products

~c2%

Stay more in touch with the brands one likes

Share any negative experience with brands or products Do not buy certain products because one learnt of a negative customer experience

More than

c3%

~c4% ~c5%

• Continuous engagement with a brand through its social channels helps in translation into monetization and advocacy • A successful approach towards monetizing one’s social channel presence leads to measurable business benefits including collection of high-quality leads, lead conversion to sales, purchasing behavior, account retention

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SAMPLE

Search Engine Marketing 窶的ndia Snapshot (2/2) Internet Users who opt for Search Engines as the 1st step to look for a product

Purchases made online through sites that are listed on search engine result lists

y2

y4

y3 y1

Internet users depending on search engine for requirement of information

Users not finding what they are searching on Internet and going away

y6

y7

y8

y5

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Social media marketing tools help in putting forward this concept in …

SAMPLE

Social Media Marketing Tools (1/3) • Social media marketing has gradually emerged as one of the most potential platforms to promote products on an online medium • It is mostly conducted on more popular platforms in the likes of Facebook, Twitter and YouTube and managing social networking sites can be daunting  This creates the need for effective tools that can ease the burden of sifting through numerous comments, questions and inquiries

• There are multifarious tools that cater to specific functions in the likes of analytics, scheduling posts and filtering through content Some forms of social media marketing materials

z1

• Google’s more than 90 mn users and 1 bn business pages have instilled interest among a lot of marketers • This interest have culminated into a need to remain visible on Google search and has rendered Google+ as a potential social media marketing tool

z2

• As a social media tool, blogs are known to support purchase processes at every step • Blogs also help in providing content that feed social media as also support search optimization

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Drivers & Challenges – Summary

SAMPLE

Drivers Large Domestic Internet base Positive consumer behavior & patterns towards online media

Challenges

Growing proliferation of Internet on mobile

Lack of trust in Internet advertising

Volatile economic conditions

Literacy and language barriers

Lateral shift from traditional advertising towards Internet marketing

Shortage of skilled professionals

Large Expatriate Population

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SAMPLE

Trends – Summary Advent of mobile marketing

Content marketing emerges as the new buzzword

` Key Trends

Visual content slated to take new shape

Local online marketing spreads wings

Online marketing evolving as new stream of study ONLINE MARKETING IN INDIA 2014.PPT

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SAMPLE

Competitive Benchmarking (1/4)

Key Ratios of Top 3 Companies – Operational Basis (FY 20--) (1/3) Operating Margin

%

Net Margin q3

10 p1

0

q1

-10 -20

q2

p2

-30 Player A

Player B

Player C

•X •X

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SAMPLE

Private: Domestic Company – Player A (1/5) Company Information Registered Address

xx

Tel No.

xx

Website

xx

Year of Incorporation

xx

Offices and Centres – India

Place

Registered Address

Products and Services Category Services

Products/Services xx

Key People Name

ONLINE MARKETING IN INDIA 2014.PPT

Designation

13


SAMPLE

Private: Domestic Company – Player A (2/5) Shareholders of the Company

Ownership Structure r1

Name

No. of Shares held

100.00%

Total

Note: Shareholding pattern as on AGM dated 29th Aug 2012

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SAMPLE

Private: Domestic Company – Player A (3/5) Financial Snapshot

Key Ratios

Total Income Net Profit/Loss

INR mn

m o

Particulars

n

INR mn 1

p

-1 -3 0 20--

y-o-y change (20-- --)

20--

20--

6.94

0.59%

-6.35%

6.79

0.48%

-6.31%

Profitability Ratios Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets

6.92

0.61%

-6.31%

-109.57

-14.82%

94.75%

-271.78

-52.03%

219.75%

-257.40

-37.65%

219.75%

59.43

2.85%

-56.58%

N.A.

136.25%

N.A.

Operating costs (% of Sales)

-6.94

99.41%

106.35%

Administration costs (% of Sales)

N.A.

N.A.

N.A.

Interest costs (% of Sales)

N.A.

N.A.

N.A.

16.73%

0.93

0.80

N.A.

0.17

N.A.

-14.82%

-0.65

-0.57

-42.33%

-1.86

-1.30

N.A.

N.A.

N.A.

Cost Ratios

20--

Financial Summary • Company incurred a net profit of INR - mn in FY 20--, as compared to net loss of INR - mn in FY 20--

Liquidity Ratios

• It reported total income of INR - mn in FY 20--, registering a decrease of i% over FY 20--

Leverage Ratios

• Earned an operating margin of j% in FY 20--, an increase of - percentage points over FY 20-• The company reported a debt to equity ratio of k% in FY 20--, a decrease of l% over FY 20--

Current Ratio Cash Ratio Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio

Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover

N.A.

230.26

N.A.

-45.98%

4.81

8.91

-44.83%

4.91

8.91

-83.95%

-63.63

-34.59

-105.06%

-30.78

-15.01

Improved

ONLINE MARKETING IN INDIA 2014.PPT

Decline

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SAMPLE

Private: Domestic Company – Player A (4/5) Key Recent Developments Description

Overview

Solutions

Miscellaneous

News • Is a full service Google authorized Internet marketing concern which works towards enhancing online presence through most effective Internet strategies • Boasts of having a rich experience in a varied array of business verticals spanning across s, t, u, v, w, x • Its plethora of services include e, f, g, h, i • Some of its clients include HDFC Bank, State Bank of India, IDBI Bank, American Express, Supertech, Vipul, Investors Clinic, Sobha and others • Boasts of having gained the trust of brands in the likes of Filmfare, UTV, Bajaj, Reliance, Campus, Galgotias University, WWF and others

• Has the vision of abiding to 3 T’s namely transparency, targeting and tracking • - is the online marketing partner of k, an online flower and gift delivery portal

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SAMPLE

Private: Domestic Company – Player A – SWOT Analysis (5/5)

• xx

• xx

S

W

O

T

• xx

• xx

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SAMPLE

Strategic Insights (1/4) Insight 1

•X •X •X •X

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Disclaimer: This report is published for general information only. Although high standards have been used in the preparation, “Netscribes” is not responsible for any loss or damage arising from use of this document. This document is the sole property of Netscribes and prior permission is required for guidelines on reproduction. ONLINE MARKETING IN INDIA 2014.PPT

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Global Market Research Report : Online marketing in india 2014 - Sample  

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