Indian e-tail market is poised to grow anywhere between 3X to 5X in 2012 and yebhi.com will grow at least by 3 folds in this year – this is what Manomhan Aggarwal, Founder & CEO, yebhi.com said in an exclusive interaction with Iamwire. Manmohan spoke at length on various aspects and shunned all the rumors and speculation about any trouble in raising the next level of funding and buyout. He termed all these speculations baseless, wild and nerd. Here are the major excerpts of the interaction
How has been the year 2011 for yebhi.com in terms of growth and revenue?
We have grown 5X in 2011 and it enables to achieve the revenue of USD 25.4 million (INR 125 crore) in the same year.
Looking at the present market scenario – do you think Yebhi would be able to maintain such stupendous growth numbers in 2012?
Of course, yebhi would be able to maintain the growth rate of anything between 3X to 5X in 2012. As Indian e-tail market slated to grow anywhere between 3X to 5X this year, consequently yebhi will at least grow by 3 fold. In last two year big players in Indian etail industry including yebhi.com have created the much needed awareness along with trust in this medium and these efforts have now positioned us to achieve such growth YoY.
According to you what are the present challenges for e-tailers like yebhi.com?
Earlier, we have dealt with the challenges like payment gateway and unorganized logistic, however these challenges have overcome in the wake of COD and increased professional approach towards organized logistics. Undoubtedly, 2012 poses different sort of challenges to the leading e-tailers as most of them have grown to the needed extent. Challenges like organizing, structuring and making the every process faster and smoother are there to handle.
How do you see evolution of Cash on Delivery (COD) in Indian online ecosystem? Some e-tailers lament that COD creates unnecessary delay in getting the payments including higher return rates – your take..
In my viewpoint, Cash on Delivery (COD) in India is here to stay and act as a catalyst to drive the transactions, trust and traffic for e-tailers. Moreover, COD is like a payment gateway to me, around half of the overall orders we generate comes as COD. E-tailers in the country, who experienced higher return rates in COD say it’s not viable payment option, however, yebhi.com accounts only 10 percent returns in our overall COD orders.
On the other hand, I don’t bother whether I receive the payments before or after the delivery especially when I am in to mass e-tailing.
There have been talks in the industry that yebhi.com is going through the tough time and struggling to raise the next level of funding. Throw some light on it.
I don’t know for where these baseless and spurious talks are originating from. These speculations are wild and nerd and I shun it completely. We are very well positioned to sustain and become profitable in to mass e-tailing. I don’t know why some people are arguing about sustainability of well placed mass e-tailer who has taught the Indian ecommerce industry how to trade some most difficult categories like shoes and apparel. E-tail is all about superior backend services and user experience and these are the core competences of yebhi.com.
There has also been a speculation in the industry about one of the largest deal provider in the country is in talk to acquire yebhi.com. What you have to say on this?
As I said earlier, I don’t know from where such speculations are coming from. It is completely false and fabricated speculations, we are one of the strong placed ecommerce player and we will continue to become leader in mass e-tailing.
According to you – what would be the outlook of e-tail in India in 2012?
2011 has witnessed the unnecessary euphoria about ecommerce in India; on the contrary 2012 will see some excess out of the industry. In 2012, Indian ecommerce market will become more mature and as I said earlier it is expected to grow anything between 3X to 5X.
Tell us – what are the expansion plans of yebhi.com in terms of category and catalogue?
Looking at categories centric expansion in last six months, we have added various categories. Now the approach is to add new categories along with increasing the catalogue across all categories.