1. ONLINE RETAILING OF FASHION
CLOTHING
BY-
PRASHANT KUMAR (MBA/1005/2012)
DIVYA AGARWAL (MBA/1006/2012)
GURUDAS (MBA/1007/2012)

2. Introduction
• Online retailing is a form of electronic
commerce.
• Shopping is 10th most popular online activity in
India.
• Approximately 8 million Indians shopped online
in 2012.
• Currently the online retail market stands at Rs
2,000cr which is likely to touch Rs 7,000cr by
2015.
• The online retail market is growing at an annual
rate of 35%
• Online retail account for less than 1% of the
total retail market in India.
(Source: medianama.com, D10 conference Report,2012)

3. Defining the research problem:
A Study on the drivers that lead to a shift of
customers from brick and mortar style to the
online buying of fashion clothing.
This study mainly concentrate on the online
buying of fashion garments. There has been a
noticeable increase or growth in online
shopping:-
• Due to the busy life of people now a days, there
is a change being seen or noticed in the buying
style of various individuals belonging to the
different fields of the society from brick and
mortar style of buying to online buying.

4. Continued…
• An increasing number of shoppers have had
access to broadband and abandoned the high
streets.
• Also due to the easy availability of the credit
cards to the middle income group.

5. Background
• The online clothing industry is still in its infant
stage. 2006 was marked as the year where
many retailers chose to start selling their whole
range online.
• In total, online spending on clothing and
footwear was only around 3% of the total for the
category in 2006.
• Online shopping has also been helped by the
number of internet users climbing to 13.7 crores
in June, 2012.

6. Continued...
• Despite the substantial growth of online clothes
shopping, it remains a relatively modest proportion
of the overall market. It is calculated that the online
fashion market represented just 10.2 per cent of
the total clothing retail market in April 2012.
(source: articles.economictimes.indiatimes.com)

7. Objectives:
• To study the reasons behind the growth of
online shopping of fashionable clothing.
• To measure the satisfaction level of customers
using online retailing services for fashion
garments.
• To study the various factors affecting online
shopping. For example – the sale and return
policy, varieties offered, delivery period, modes
of payment, etc.
• To study the major popular fashion sites such
as myntra, fashion and you, and jabong.
• To find the profile of online buyers.

8. Research Methods:
There are two types of research methods that are
being used in this research :-
1) Library research: This includes -
• Analysis of historical records
• Analysis of documents
2) Field research: This includes-
• Questionnaire
• Personal interview

9. Research Design
This study involves a two phased study in which
we are using two types of research designs:
1. The 1st phase starts with an exploratory
research:-
• Survey of concerning literature
• The experience survey
This will help in the development of a
hypothesis, if possible.
2. The 2nd phase of the study uses the descriptive
research design:-
• A detailed study
• Collection of primary data
• Analyzing the data and reporting the findings

10. Hypothesis
People belonging to the Upper
1. class and Upper Middle class
usually go for ONLINE
SHOPPING.
People belonging to one-tier
2. cities shop online more than the
people belonging to two-tier
cities.

11. Sampling Design
Type of Sampling:-
• Convenience Sampling
Advantages of Convenience Sampling:-
• Respondents easily available in BIT, Mesra.
• Well qualified and educated respondents.
• Internet users.
• Coming from different social backgrounds.
Sampling Size:-
• 50 Respondents

12. Contribution of various product
categories in online shopping
% contribution
consumer
21%
34% electronics
Apparels and
15% accessories
books
30%
others

13. Major Online Retailers

14. • Myntra.com is a one stop shop for the customers fashion
and lifestyle needs.
• Its India's one of the largest e-commerce store for fashion
and lifestyle products.
Facilities provided by myntra:
• Largest in-season product catalogue,
• 100% authentic products,
• Cash on delivery as well as EMI facility, and
• 30 day return policy make Myntra.com, the preferred
shopping destination in the country.
Brands
• Offers apparel, accessories, cosmetics and footwear from
over 500 leading Indian and international brands.
• Prominent brands include
Adidas, Nike, Puma, Catwalk, Inc 5, United Colors of
Benetton, FCUK, Timberland, Avirate, FabIndia and Biba.
(Source: myntra.com)

15. • Jabong.com is among India's top fashion and lifestyle
ecommerce portal that retails
apparel, footwear, accessories, beauty
products, fragrances, home accessories and other fashion
and lifestyle products.
• The e-store at present carries over 700 +brands and over
50,000 products.
• Jabong ranked 10th in Google Zeitgeist India trends making
it 10th most searched term in 2012 in India.
Facilities provided:
 Jabong.com offers same-day delivery in Delhi/NCR.
 Offers delivery within 48 hours in other cities.
 30 day return policy.
 It offers multiple methods for payment including credit/debit
card, net banking and cash/card on delivery.
(Source: ComScore report, September 2012)

16. • HomeShop18 is the online and on-air retail and
distribution venture of Network 18 Group.
• It was launched on 9 April, 2008 as India's first 24-hour
Home Shopping TV channel, where anchors performed
live demonstration of products on sale.
• As internet reach grew all over the country, HomeShop18
expanded to the internet.
• HomeShop18.com comprises 17 categories:
Accessories, Baby, Books, Cameras and
Camcorders, Clothing, Computer, Electronics, Footwear, G
ifts & Flowers, Health & Beauty, Home &
Kitchen, Household Appliances, Jewellery, Mobiles, Office
& Stationery, Toys, Watches.
(Source: homeshop18.com)

17. • fashionandyou.com is one of India's No.1 private sales
club and is a leader in the online Fashion, Luxury &
Lifestyle space.
• They have over 3.6 million member-base across 1200
locations pan-India.
• Offers 15 new sales every day to its
members, showcasing merchandise of over 500 brands
through limited-time events.
• Each sale starts at 10.00 AM sharp and lasts for 3 days
on an average.
• The site also provides on sales and after sales service.
(source: tumblr.com)

18. (Source: Alexa Internet, Inc., worthofweb.com)

20. Which type of city do the
respondents belong to?
One tier Two tier three tier
18%
26%
56%

21. Hours spend online daily
1-3 hrs 3-4 hrs 4-6 hrs 6+ hrs
14%
27%
25%
34%

22. Awareness of fashion sites
45
40
40 39
35
30 29
25 25
25
20
17
15
15
10
5
0
Myntra Fashion&You Jabong Homeshop Inkfruit Indiatimes Others
18 shopping

23. Fashion site last used for
purchasing fashion garments
18
16
16
14
12
12
11
10
8
6
4
4
2
1
0 0
0
Myntra Fashion&You Jabong Homeshop 18 Inkfruit Indiatimes Others
Shopping

24. Top three clothing items
purchased
35
31
30
28
25
23
20
15 14
10
10 9
5
0
Jeans Shirt T-shirt Shoes Accessories Winterwears

25. Mode of Payment preferred
Net Banking
4%
Credit/Debit card
20%
Cash on delivery
76%

26. Experience with online shopping
6% 6%
4%
Excellent
Good
Bad
Very Bad
84%

27. Monthly household income
18%
42%
14%
Upto 40,000
40,000-50,000
50,000-60,000
Above 60,000
26%

28. Importance of factors in making
online purchase decisions
250
200 214 192
200
157 165 166 155
150 137 141
100
50
0
Sum of…

29. Factors that are important in
decision to purchase online
Payment options 218
216
Prices
Discount & offers 218
Security 225
Description of goods 223
sum of responses
Privacy of information 207
Return policy 209
Gurantee & warrantees 218
219
company's reputation
Delivery Time 198
180 185 190 195 200 205 210 215 220 225

30. Findings:
• Majority of the respondents were from the age
group 20-25 yrs.
• 56% of the respondents belonged to two tier cities.
• 64% of the respondents had shopped online.
• Myntra.com is the most popular among the online
sites, followed by Jabong.com
• Most of the people had made their last purchase
from the others categories
• Most people would purchase online if prices are
lower then the market prices
• Amongst all the various factors people are going
for security

31. Continued…
• T-shirt, accessories and shoes are the top three
categories under which people shop online
• 56% of the respondents are in favor that they get
the same product that they see on the internet
while placing an order
• Cash on delivery is the most preferred payment
option while shopping online
• 86% respondents had their past experience with
online shopping as good
• Most respondents had their family household
income up to Rs.30,000

32. Profile of Online Buyers
• Gender: Mostly men
• Age group: 20-25 yrs
• Hours spent online daily: 3-4 hrs
• Mode of payment preferred: Cash on delivery
• Monthly household income: upto 40,000/-
• City: Two-tier cities

33. Hypothesis Testing
 Respondents belonging to lower class group
was 42% whereas only 14% and 18%
customers belonged to upper middle class and
upper class income group
 Respondents belonging to two tier city was
56% whereas only 26% customers belonged to
one tier city.
Through both these findings we come to a
conclusion that both the hypothesis that were
made are false.

34. Suggestions
• Online retailers to increase their revenue and sales
should focus more on the males between the age
group of 20-25 by launching new fashion lines and
provide more discounts and sales to them.
• They should create more awareness among
people, especially who spend more than 4 hours a
day using internet through social media and print
media.
• Online fashion garment retailers in order to increase
their sales much reduce their delivery time.
• They should make the website user-friendly and
maintaining the privacy of its customers by keeping
their credit card/debit card’s information safe.

35. Continued…
• As shopping online makes the fashion
garments/products intangible to the shoppers, they
should provide sufficient as well as proper
description of the products.
• They should offer cash on delivery facility to the
online buyers as it is preferred by the majority of
shoppers.
• To attract more customers and increase sales the
online retailers must offer frequent sales and
discount coupons to the online buyers. Also they
must offer fashion garments at minimum possible
prices as the majority of the online buyers belong to
the middle class group.

36. References
• http://www.livemint.com/Politics/fu6tHVor0WKGX2q0As7
SEK/Online-retail-industry-to-reach-Rs-7000-cr-by-2015-
Assocha.html
• http://articles.economictimes.indiatimes.com/2013-01-
28/news/36596555_1_google-india-rajan-anandan-baby-
products
• http://www.rncos.com/Report/IM421.htm
• http://www.squidoo.com/online-shopping-in-india-for-
clothes
• http://www.onlineclothingstudy.com/2012/01/online-
apparel-shopping-sites-in-india.html
• http://www.worthofweb.com
• http://www.alexa.com/

37. THANK YOU