Services Sector in India Monthly Update January 2012
Nokia India partners with Indiatimes to launch ‘NokiaShop’ NokiaShop, an online shopping portal has been launched by Nokia India along with Indiatimes Shopping, to deliver mobile devices and accessories directly to the users from the manufacturers. Significant investments in warehousing and last minute delivery have been made to make a hassle free shopping experience. The partnership also aims to bring more offline brands to the online space and tap benefits from the growing mobile handset market in India. India’s e‐commerce market is growing at an average rate of 70% annually and has grown over 500% in the past three years alone. Thus given the potential of the e – commerce industry, Indiatimes and Nokia are confident of their growth in this mobile device category.
News Update General
Flash mobs stepping in as the latest event management gimmick Flash mobs are the latest public gimmicks that many event management companies, social activists, TV Channels and movie production houses are using to create a stir among the masses. Dance India Dance, a reality TV show on Zee had organized a Dancemob where a flash mob of over 50 people including college goers, shopkeepers and residents danced to the Bollywood songs at the Rajouri Garden market, West Delhi. It started last month at Mumbai’s Chhatrapati Shivaji Terminus where around 200 people danced to a Bollywood song, Rang de Basanti. Since then it has become a trend and has travelled to cities such as Pune, Chennai, Bangalore, Hyderabad and Kochi and also Delhi. The sole reason for the flash mob is to open out the minds of the people in trying out new things. State Government of Kerala introduces e – payment project to pay taxes Kerala’s state government will be implementing an e payment project through which the citizens of the state can avoid the burden of visiting government offices to pay taxes. The program would be introduced from the middle of Jan 2012 to 978 village panchayats, 152 block panchayats, 60 municipalities, 14 district panchayats and five corporations. This facility will enable people to remit property tax, rent on land and building and licenses. Additionally people can avail birth, death and marriage certificates issued since 2000.
Services– Monthly Update
The application collects details of the tax payees and institution and also provides e‐ filing of statements. A citizen can also check the amount of tax due and remit taxes through an electronic payment gateway. However, only the ones with credit cards can avail this facility. Thus the software would be provided at the post offices and also at State Bank of India’s branches across the state. Second edition of ‘Gujarat Travel Mart’ to be organized by the ‘Gujarat Tourism’ Gujarat Tourism is going to organize the second edition of the B2B travel event ‘Gujarat Travel Mart’ from the 22nd – 24th of Feb 2012 in Ahmedabad. The event is being organized by Sphere Travelmedia & Exhibitions Pvt. Ltd. and will witness the presence of 200 registered buyers from over 30 countries exploring business opportunities for travel and tourism products. Additionally over 800 travel agents along with 200 exhibitors from India from over 20 diverse tourism segments are expected to attend the event. The event offers two exhibitors segments: Exclusive Gujarat Pavilion; Gujarat Incoming and Incredible India. The hosted buyers would be from countries like Netherlands, UK, USA, Greece, France, Norway, Poland, South Africa, Sri Lanka, UAE, etc. 'Association of Domestic Tour Operators Association of India (ADTOI), Adventure Tour Operators Association of India (ATOAI), Indian Association of Tour Operators, Travel Agents Association of India, Travel Agents Federation of India, Federation of Hotel &l Restaurant Association of India and other travel – trade and hospitality association are also going to extend their support at the event. 2012 Standard Chartered Mumbai Marathon to raise INR 150 mn The Standard Chartered Mumbai Marathon 2012, the richest marathon of Asia, will be held on 15th Jan at the MMRDA Exhibition Grounds, Bandra Kurla Complex. Procam International is the promoter of the event while Standard Chartered and Tata Consultancy Services (TCS) are the sponsor and associate sponsor respectively. Around 38,775 people are expected to participate in the event and the prize money is INR 18.25 mn. Other events like Wheelchair Events, Dream Run and Senior Citizen’s Run will also be conducted by the Standard Chartered Mumbai Marathon. Separate timings would be there for the half and full marathon. Additionally, amateur runners, participating in the full marathon would also be entitled for the prize money. The marathon is expected to raise INR 150 mn which would be donated to 214 NGOs. BigIndianWedding raises VC Funds worth INR 264.90 mn BigIndianWedding, a Delhi based wedding planning service portal has raised VC Funds worth INR 264.90 mn which would be used to launch its ecommerce section. The website aims to simplify the wedding planning process by mapping the best possible vendor in categories such as venue, caterers and the couture. The company has 25 suppliers and presence in 11 cities such as Delhi & NCR, Hyderabad, Mumbai, Bangalore, Kolkata, Pune, Chennai, Jaipur, Ahmedabad, Chandigarh and Ludhiana. It Services– Monthly Update
plans to expand its presence to 15 cities in the next few months. Additionally the company has 6,100 vendors in over 30 categories and aims to increase to 10,000. The portal also provides advice to its customers on latest trends in fashion and fitness. The company purchases the products from the vendors and maintains its own warehouse. 6th South India Jewellery Show (SIJS) to be held in Bangalore SIJS, a premier B2B event is slated to be held from 3rd – 5th Feb 2012 at the Palace Grounds, Bangalore. The event is being organized by Art of Jewellery and would host over 150 individual stalls rendering business of jewelry, gems and allied products. The event would provide a platform for retailers and wholesalers to have a direct access to manufacturers to build new business contacts, establish tie‐ups and exchange ideas and showcase the latest product offering. The supportive partners of the event are The Jewellers Association ‐ Bangalore City, Jewellery Manufacturers Association (Kerala), Karnataka State Jewellery Traders and Workers Association Federation and Tamil Nadu Jewellers Federation. Gemmology Institute of America (GIA), RAPNET, and BVC Group are its official knowledge, online and logistics partner respectively. The promotional campaign of the event includes city‐by‐city pre‐registration, extensive road shows, exciting AV presentations, frequent mailers, posters, advertising, newsletters, dedicated websites and convenient online registrations. IRCTC partners with NIFTEM for facility management services IRCTC has signed a MoU with the National Institute of Food Technology Entrepreneurship and Management (NIFTEM) in Sonepat, Haryana to provide services such as housekeeping, security, laundry and horticulture. It will also operate the cafeteria, mess and provide housekeeping services in the boys and girls hostel at the Institute. IRCTC aims to provide solutions for catering, front office and facility management. The housekeeping services will include mechanical and manual cleaning of floors, vacuuming of rooms, floor care such as buffing, interior glass cleaning, laundry, waste management and gardening. The services would be conducted by a team of experienced professionals as according to the requirements of the clients. It aims to do so to increase its revenues. Fiera Milano Group joins hands with The Express Group to host FHW 2012 World’s leading exhibition organizer ‐ Fiera Milano Group has tied‐up with The Express Group to organize Food Hospitality World (FHW) to be held from 19 – 21 Jan 2012 at the MMRDA Grounds, Bandra Kurla Complex. The exhibition is being organized by Global Fairs and Media, a company formed by Hannover Milan Fairs India and The Express Group. FHW will witness Fiera Milano’s most successful exhibitions, Tuttofood Milan (food and beverage) and Host Milan (hospitality Services– Monthly Update
industry) come together with HospitalityWorld and Taste. With over 300 exhibitors expected to be participating, FHW aims to be the biggest professional B2B event for India’s food, drinks and hospitality sector. It would allow vendors, suppliers and hospitality professionals to come together and tap business opportunities. The participants at the event include importers, distributors, F&B managers, hotel and restaurant purchase managers, food service professionals, chefs and sommeliers, purchasers and trade bodies, hoteliers, restaurateurs, caterers, food service professionals, F&B directors, hospitality interiors specifiers, importers, distributors, wholesalers and others. Additionally, events such as The Great Indian Culinary Challenge 2012 (GICC), Spa & Wellness World, Hospitality Concepts, Power of Purchase and Hospitality Knowledge Exchange are expected to be held at FHW. Beyond Squarefeet to manage K Mall in Kollam Kerala Malabar Group has tied with Beyond Squarefeet, a mall management company to set up K Mall in Kollam, Kerala. The group’s first mall aims to cater to over 2.6 mn consumers. Beyond Squarefeet would do the mall management consultancy, re– orient, market and lease the mall. The company aims to create a mix of national and regional retailers for shopping and turn the Mall into an ‘Eater–tainment’ hub with emphasis on Food and Beverages, Family Entertainment Centres and Miniplex. K Mall would include three screen multiplex on two levels, fifteen kitchens food court, double decker family entertainment centre and ample car parking facility for the consumers. K Mall is partially operational with brands such as Reliance Trends, Malabar Gold, Reliance Footprint, Bata, Lee, Ray Ban, Navigator, Male Republic, Linen by Burgoyne and others. 49th Times Franchise Expo to begin from today in Pune The most successful B2B event, Times Franchise Expo is set to begin from 20th Jan 2012, for two days at Hotel Sun N Sand, Bund Garden Road, Pune. The Franchise Expo has successfully completed 48 expos in16 cities across India. Over 400 brands and 0.4 mn business visitors have participated in the exhibition series, making the Franchise Expo a successful marketplace for B2B opportunities. The exhibition at Pune is the 49th exhibition in the series and the fifth in the city. The exhibition aims to provide a platform for entrepreneurs to interact with the forty participating franchisors. Representatives from the participating companies would present their business models related to pre‐school, vocational training, gems and jewellery, utility services and online services to the entrepreneurs. Several business opportunities with investments starting from INR 0.10 mn are expected from the participating companies. Services– Monthly Update
News Update Expansion Plans
Snapdeal.com now available on mobile devices Snapdeal.com has launched its website for customers to avail offers on mobile devices. The website would work on every mobile phone and the customers can browse through various categories and sub categories of services, products and travel deals. The online portal would offer deals from restaurants, spas and other entertainment avenues located near the users. The WAP portal would also offer additional services such as Cash on Delivery, payment through credit and debit cards. Snapdeal aims to strengthen its online presence by catering to a larger audience and making its website available to all mobile subscribers. International B2B portal launched by SnS Web Technologies SnS Web Technologies, a web application developing and service providing company, has launched an international B2B platform ‘GlobalBusinessTrade’. The company after its several successful international web applications and portals related to market research, travel portals, B2C business, jobs and freelance portals, has now ventured in the B2B marketplace. The website provides a platform for safe and secured trade practices. Along with several advanced search options to help save time, the website also allows to post six sell leads, company profiles and product detail pages for free. Additionally buyers can also register for free and post unlimited buy leads. Online legal drafting services launched by Delhi – based entrepreneurs A one ‐ stop solution for legal and secretarial services for individual and small businesses has been started by Delhi – based entrepreneurs, Dhruv Jain and Vidish Talwar, this Jan 2012. EasyLaw would provide reliable legal information and offer services such as drafting of wills, registration of marriages, incorporation of companies and others. The team consists of two lawyers, Tariq Kamal and Saurabh Kumar, one company secretary and a few administrative staff. The website aims to bring down the costs and eliminate wastages by providing detailed questionnaires to its clients to extract relevant information. But there are a few obstacles which the website needs to overcome like the reluctance of the clients to reveal their financial details online and inability of EasyLaw to provide services on a ‘cash on delivery’ basis. However owing to its first move in this sector, the website aims to reap maximum advantage from this. Services– Monthly Update
BSB enters into online daily deal space in India with Musstbuy.com BSB, a mobile internet joint venture between Bharti Enterprise and Softbank Japan, has expanded into the daily deal space in India with Musstbuy.com. The website offers deals under categories such as Take a Class (dance, instruments), Body Art (tattoos), Fitness and Health (gym, dental checkups), Eat and Drink (food and beverages), Home Improvement (product and services), Get Pampered (spa and salon) and Have Fun (tarot reading). The deals can be sorted on the basis of popularity, expiry date and alphabetical order. The visitors can sign in on the site by providing their name, email and mobile number. As deals are offered on a group buying platform, the users need to pay through their credit or debit cards, net banking, cash cards and mobile payments (State Bank of India / Paymate) and wait for the offer to go ‘Live’. The customers have to pay the minimum advance amount for their deals and in case the offer does not go Live, the company would refund the money. In case an offer is sold out, a ‘Wish’ option notifies the customer when the next deal would be available. Users can also provide the details of the products they would like to avail and the company would notify them when the deal is made available. EMAK to launch event management institute in Kochi Event Management Association Kerala (EMAK), the highest body of event management agencies in Kerala, has decided to launch an event management institute in Kochi to provide training along with theoretical studies. The institute would be formed by a joint venture between the member organizations and would be accredited by AICTE. EMAK, formed in 1999, is the sole representative body of the industry in the state bringing various event management associations to a single platform. EMAK aims to promote best management practices in the industry among its members and standardizing event solutions for client organizations. Additionally it intends to organize tax workshops for its member organizations in association with Service Tax and Income Tax departments. It also intends to undertake vendor development programs including safety measures for its work force. A welfare fund would also be initiated by EMAK to support its direct as well as ancillary employees in case of unexpected emergencies. A whole new range of laptops introduced by snapdeal.com Snapdeal.com has launched a whole new category of latest laptops on its website. The e commerce firm would be offering hundreds of machines from prominent brands such as Dell, HP, Lenovo, Accer and Samsung. Additionally there would be up to 50% price concession on the laptops with shipment guarantee within 10 business days. Services– Monthly Update
Industry Expert Speak Online Group Buying to grow 200300 percent in the next two years – Faisal Farooqui, Chief Executive Officer, DealFace.com
"Increase in the internet usage, coupled with the rise in discretionary spending among the middle‐class will translate into a large profitable market for group buying. Though at a nascent stage at present, we expect the industry to grow by around 200‐300 per cent in the next two years," Rise in the number of debit card users in the online payment space in India – Vivek Nayar, COO, Avenues India “Debit cards and net banking exceeding the popularity of credit cards has got to do something with the Indian mentality of using the money that is visible in the account, rather than buying things on ‘credit’. Also, the number of bank accounts is not necessarily equal to the number of credit cards in the country and at the end of the day, convenience matters most,”
Transaction Detail (November 2011 January 2012)
Deal Size (INR mn)
Type of Transaction
13th Dec, 2011
Services– Monthly Update
Annual Financial Results – Revenue (INR mn) Company
Cyber Media (India) Ltd.
Info Edge (India) Ltd.
Infomedia 18 Ltd.
Network 18 Media & Investments Ltd.
Annual Financial Results – Income (INR mn) Company
Info Edge (India) Ltd.
Infomedia 18 Ltd.
Cyber Media (India) Ltd.
Network 18 Media & Investments Ltd.
Gujarat Travel Mart Date: 22nd – 24th February, 2012 Venue: Ahmedabad, Gujarat Organizer: Sphere Travelmedia & Exhibitions Pvt. Ltd. Website: http://www.gujarattravelmart.com/
South India Jewellery Show Date: 3rd – 5th Feb, 2012 Venue: Palace Grounds, Bangalore Organizer: Global Events & Expositions Website: http://www.sijs.in/
Services– Monthly Update
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Services– Monthly Update