When it comes to automotive manufacturing, Maruti Suzuki India Limited has caught all the fame. Although today, the automobile industry has developed immensely. But the charm and popularity of Maruti Suzuki haven’t failed!
The company is a subsidiary of Japan’s Suzuki Motor Corporation. In India, Maruti Suzuki is considered the largest manufacturer of passenger cars. In fact, it’s Maruti Suzuki who is credited for the revolution of the ushered automobile industry in the country.
Maruti Suzuki begins its journey with the legendary Maruti 800 and today, the company has come up with around 16 car models along with more than 15 variants. Maruti Suzuki manufactures a broad range of passengers as well as luxurious cars like Alto 800 to Ciaz.
Maruti Suzuki offers the facility of car financing and pre-owned sales of the car fleet management. Its factories are established in Gurgaon and Manesar, Haryana, and the art R&D center in Rohtak. Maruti Suzuki is very promising and remarkable with its products and services. In this article, we will be discussing the business model and strategies of Maruti Suzuki. Let’s begin!
Why Maruti suzuki cars are so popular? | Maruti Suzuki Business Strategy
About Maruti Suzuki
Maruti Suzuki was formerly known as the Maruti Udyog Limited, India, and functioned through a joint endeavor between the government of India and Japan’s Suzuki Motor Corporation, signed in 1981.
Maruti Suzuki is widely famous as the largest company in the automobile industry. The company is headquartered in New Delhi and was founded in 1981 by the government of India.
Later in 2003, the automobile manufacturer- Maruti Suzuki was sold to the Suzuki Motor Corporation and functioned as its subsidiary. The Suzuki Motor Corporation owns the capital of 56.2% in the Maruti Suzuki company. Alongside, the company has a market share worth 53% in the market of the Indian passenger car.
The company launched its first product– Maruti 800 and resulted in 13 months of record production. The chairman of this prominent automobile manufacturing company is R.C. Bhargava and Kenichi Ayukawa is the managing director and CEO.
Where does Maruti Suzuki operate?
Maruti Suzuki India Limited is the most prominent automobile manufacturer across India. The company is a subsidiary of Japan’s Suzuki Motor Corporation. The automobiles manufactured by Maruti Suzuki are used by almost every third individual in India.
Key Products of Maruti Suzuki
Maruti Suzuki offers a great range of cars such as the Maruti 800, the first-ever Maruti car; Alto 800, Alto K10 as the entry-level cars while Swift, Wagon R, Ritz as the stylish hatchback.
Maruti Suzuki India Limited puts its entire focus towards the young aged people. Its target audience is generally around 30 to 35 years old. Half of the Nexa customers belong to the age group of 30 years.
The business model of Maruti Suzuki Limited India is based on its wide range of cars and customer services. The automotive company has recently shifted to the digital platform due to the marketing crisis that occurred from the covid-19 pandemic.
To keep up with its competitors, Maruti Suzuki opted for the digital world for better content marketing and more customer engagement. The digital platforms have become a very crucial part of Maruti Suzuki’s Business Model. Around one-fourth of its total marketing budget went off to the delicacy of digital media.
Maruti Suzuki manufactures its automobiles based on the requirements and facilities of the middle class as well as the upper-class section. That’s why the company produces a broad range of its products at affordable rates and features.
Maruti Suzuki follows a certain model to cope with the difference between online marketing and the dealership experiences of the customers. The company has brought around 900 dealerships to the online platforms through India’s largest Dealer Digitization Program by the company. With the developing digital technologies, Maruti Suzuki has been earning a great sum of deals and customer support.
Maruti Suzuki is considered India’s largest automobile manufacturer with around 50% of the total market share. The company earns way more profit when compared to Korea’s Hyundai, its biggest market rival. The automobile manufacturers do not provide a clear figure of the company’s profit on each deal but they do declare the net profit earned by the company.
According to the calculated data, Maruti Suzuki has sold more than 7.5 million automobiles in India, to date. And around 500,000 units have been sent mostly to European countries. The company’s profit includes the money generated through the sales of spare parts of the automobile. However, the profit differs based on the car’s size, features, and model. The larger cars are expected to bring more profit to the company’s account.
From the latest calculated data, Maruti Suzuki has its revenue worth Rs. 16,997.9 crore along with a profit of Rs. 1,391 crores.
Conclusion
Maruti Suzuki is one of the most prominent automobile manufacturers across India. The company has had an incredible journey since 1983 when it launched its first car- Maruti 800. The company offers a great range of cars with amazing features.
Maruti Suzuki follows a very strong and remarkable business model and now, with digital media, Maruti Suzuki is growing even more. The company has a long run ahead. Stay tuned for more updates!
FAQs
What is the revenue of Maruti Suzuki?
The revenue of Maruti Suzuki is 78,994 crores INR in 2020.
Who is the CEO of Maruti Suzuki?
The CEO of Maruti Suzuki is Kenichi Ayukawa.
When was Maruti started?
Maruti was founded by the Government of India in 1982.
What are the most sold models of Maruti Suzuki?
Most sold car models of Maruti Suzuki are:
Maruti Suzuki Alto 800
Maruti Suzuki WagonR
Maruti Suzuki Baleno
Maruti Suzuki Celerio
Maruti Suzuki Swift Dzire
Maruti Suzuki Ignis
What is Nexa?
NEXA is Maruti Suzuki’s premium sales channel for Maruti Suzuki premium & luxury Sedan and Hatchback cars in India.
In the last few decades, online shopping has grabbed the full attention of everyone. It has become a part of our daily lives. From clothes to medicines, to groceries, there is hardly anything that cannot be brought from online. It is convenient, hassle-free and it saves time. Plus the pandemic accelerated the demand for shopping online; people find it safer especially during the period of lockdown.
Now when we purchase any goods they are delivered or shipped to the preferred place that we have mentioned while shopping online. There are different methods of shipping and E-commerce sites are adopting different models for their business. To deliver the products to their customers, a number of ways can be followed. In this article, we will talk about one of the methods which are known as Dropshipping. So, let’s take a look into it.
“Dropshipping is the entry point for a lot of people to business, E-commerce, and entrepreneurship. It’s the perfect first business.” –Lachlan Delchau-Jones
Dropshipping is a way of selling and delivering products to your customers without managing, and shipping the goods. Here you contact the supplier and let them deliver the product to your customer.
Basically, your website is like the intermediary, from where the customer chooses the product and then you forward the request to the supplier of the product who will ship it to the customer.
You don’t have to manufacture, store or ship the product themselves, dropshipping is free from all these steps all you have to do is to find the perfect dropshipping supplier for the job. It is quite a good option for those who want to start an E-commerce startup. It is said to be one of the most profitable models in the E-commerce industry.
The history of Dropshipping actually goes back to the days of the 60s and 70s, way before the internet was developed. During that time, when mails were delivered to the people, small booklets or catalogues were present along with them, with the help of that, one could place the order for their desired product from the catalogue through telephone and then the order was delivered to them at their doorstep.
Sears Catalogue
Amazon and eBay then changed the way people used to sell products online. People who want to sell their products could just place them on the sites and let the E-commerce sites drive the traffic towards that product.
Currently, sites just need to find the supplier for the product who does the remaining job for them. Aliexpress and Shopify are some of the websites that made starting an E-commerce business easier as manufacturers and dropshippers are easy to find here.
How Dropshipping Works?
If you want to start an E-commerce site, dropshipping is one of the best options for you. Below are the steps on how it actually works.
The first and foremost thing that one has to do is select the proper supplier.
The second step is to connect the supplier’s app to your online website.
Select the products that you want to sell to your customers.
Set a price strategy for you dropshipping model of your business.
Accept the orders from your customers.
The orders of the customers then are forwarded to the supplier. And you have to pay them for that order.
The suppliers then deliver the products to the doorstep of your customers.
Advantages of Dropshipping
Some of the advantages one get to enjoy if they chose to dropship are:
E-commerce business that follows the dropshipping model doesn’t need a large amount of capital for their business. They don’t need to pre-purchase the products. So comparatively, it needs less capital.
No need for a warehouse, where you have to store the products. The suppliers are the one who takes care of the product by storing them. Therefore, you can select whatever product you this is appropriate for your business.
As the whole shipping process of the products is handled by your supplier, you can do your business from any part of the world.
You can try to sell any kind of product on your website and if it is not bringing any profit, then you can quickly drop it from the list of your website.
Disadvantages of Dropshipping
Some of the disadvantages of the dropshipping model are:
You don’t know what kind of quality your product will be. A bad quality product may cause uproar and can be bad for your business.
You don’t have any control over the time the supplier takes while shipping the product to your customer.
While serving the customer, difficulties may arise, if there is a problem in communication with your supplier.
Dropshipping can be expensive as well, the market is quite competitive and if research is not done properly, then you might see other sites dropshipping the products at a much lesser cost.
Future of Dropshipping
In the past few years in the E-commerce business, there is an increase of business sites adapting to dropshipping model and in the future, it is only going to increase. Dropshipping can only be a profitable model for your business if you play all your cards properly and follow all the strategies carefully. For example, you have to be careful while selecting the dropshipping company for your business, proper research has to be done and then you can follow your plan.
E-commerce sites if planned accordingly and follow this model properly will turn into a high return business and will be a source of great profit.
For startups that are interested to try their hand at E-commerce, the dropshipping model is quite a good option for them. With more and more startups emerging, it is just a matter of time before people will realize the model’s importance and need in their E-Commerce business.
FAQ
Does Dropshipping have a Future?
Yes, dropshipping can easily turn into a profitable model for E-commerce sites as the model is a low-risk one.
How did dropshipping start?
Dropshipping started in the 60s and 70s when people used to receive catalogues by mails and could order items directly from the catalogue via phone, and have the company deliver them.
Who is the most successful dropshipper?
One of the most successful dropshipper is Irwin Dominguez. In just eight months, he made one million dollars worth of sales.
With the advent of globalization, there has been a massive growth in the import business of our country. Moreover, there is no denying that it is one of the largest and fastest-growing economies in the world. For the unversed, consumers are the ones who drive the economies including the production, marketing, and distribution.
People in India are crazy about imported items. So, it becomes a lucrative business option for many aspiring entrepreneurs. There is no denying that you can earn whopping amounts by doing import business. But how well do you know India’s import business? We have curated some facts below for you to brush up on your knowledge.
The production scale in India has also gone up in the past few decades. It is because Indian goods have a great demand in the foreign market. That is why more goods and services are exported to other countries at present times. The result of these exports is an increase in income generation and foreign exchange. This, in turn, helps the Indian economy to grow further.
Now, keeping this in mind, some of you might have planned to start an import business of your own. However, before diving in, you must understand that this business has its own set of challenges that you will have to face in the course of time. You need to familiarize yourself with everything including the guidelines, rules, and regulations to properly govern import business. Moreover, information about the same is scanty, so you need to be careful when investigating the same. So, Here’s a complete guide on how to start an import business in India in 2022.
Consumers’ demands are increasing daily in today’s world. So, the imports help bridge the gap between domestic supply and domestic demand.
All about quality
There is no denying that imported goods are of better quality as compared to domestic goods. So, the consumers who can afford the product will always go for imported goods.
Cheaper price
In some cases, the imported goods come at a much cheaper price. The reason behind this is the larger production capacity of the foreign producer as compared to domestic producers.
A Complete Guide to Starting an Import Business in India
Select a Business Model
You need to choose the most effective business model for your franchise. It is important for you to select the business entity that you want to work on in the future. It will help you decide the financial expenses, manpower, and other factors required to start the business.
Final documentation process
You must settle the final documentation before beginning the business. Right from a PAN card to a trade license – you must make note of everything to avoid last-minute hassles or issues. It is necessary for businessmen to possess every legal document required for their business.
Compliance with rules
You must be aware of the rules and compliances associated with import business. Guidelines are a way of making people comply with the law and order. Once you are well-versed with the same, you can start your business smoothly.
Shipping the order
You need to ship your first order as soon as possible to get the business off the ground. Making connections with other dealers is another way of moving a step further to flourishing your import business.
Navigation of the business
You need to know effectively about learning to grow and navigate your business. You can take assistance from learned professionals or experienced persons in this regard. The mentorship and guidance that you will get from these people will help you discover a better version of yourself.
Pan Card is a Must
A PAN card is one of the most important documents that you need to possess when doing business. You must have a valid identity and address proof for all transactions and verifications. It is mandatory for everyone involved in businesses to apply for a PAN card at the Income Tax department in India.
Choose the Type of Business Entity
You need to choose the type of business entity you want to be a part of in the future. In this case, you need to choose from company types like LLP, private limited, partnership firm, and more. Your decision will depend on the structure of ownership of the said business. Also, do not forget to choose a unique name for your business entity.
Open a Current Account at the Bank
You must open a current account at the bank which will be used as your business account for all future purposes. This particular account is always used by business entities in the bank. Moreover, you will always need a current account to deal with other businesses or vendors.
Get the IEC and DGFT
You should also not forget about getting the Import Export Code (IEC). The Directorate General of Foreign Trade (DGFT) issues this unique registration code for all businesses. Moreover, you also need to produce various supporting documents with the same.
Choose the Right Product or Service
You must make sure to choose the correct product or service that suits your business needs. You need to keep various factors in mind when doing the same. It includes profitability, trade barriers, demand for the product, etc.
Find the Perfect Market and Buyers
You need to find the perfect market and buyers to sell your products or services at reliable profits. You should select your buyer only after having decided on the product and the market for the same.
Make sure your Finances are in Place
You also need to ensure that your finances are in place to help your business prosper further. Businesses are unlikely to take off without initial funding. So, make sure you estimate your business’s financial requirements before starting with anything else.
Import business has a great demand in India. Even the COVID-19 wave of 2020 could not dim the spirits of this business that flourished at its own pace. In fact, the country’s foreign trade relies heavily on imports. It has led the government to encourage domestic exports and manufacturing. However, India will still be dependent on imports for the long term as it is necessary for its export ambitions. So, if you are waiting to start your import business, now is the right time to do so.
FAQ
What is the best import products in India?
Jewellery and precious stones, Shoes, Perfumes, Electronics, Heavy machinery, Silk import, and Oil import are some of the best products you can import.
Which country does India import most?
China, the United States, United Arab Emirates, and Saudi Arabia are some of the top countries India imports the most.
How do I find international buyers?
Visit Trade fairs and exhibitions, Approach Government bodies like Export Promotion Councils or Embassies, and Market research about companies.
BharatPe became very popular after its launch in 2018 among businessmen as it solved a unique problem. BharatPe’s boost generally happened during the pandemic when no payment app was charging transaction fees below 1.5%. This was the time when BharatPe cashed in on the opportunity. They made transactions absolutely free.
This is why a lot of business owners who had to do large transactions daily, shifted to BharatPe. Today, it has more than 7.5 million active users in its app. Apart from providing free transactions, it also has solved a number of other problems. There is also a lot more to see about the business model which has grown to such an extent in such a small time. So, without any further ado, let us talk about the BharatPe business model.
BharatPe is a fintech company headquartered in Bangalore. This payment aggregator has enabled transactions without any kind of fees. It has leveraged UPI to enable this. It is a QR-based payment aggregator by which you can do any kind of transaction using the app.
BharatPe was founded by Ashneer Grover, Bhavik Koladiya, and Shashvat Nakrani. All of these founders have a great profile. Ashneer Grover and Shashvat Nakrani are alumni of IIT Delhi. Ashneer Grover is a resident of South Delhi and has also graduated from IIT Delhi. He has been working with startups for a pretty long time. Previously he was also the CFO of Grofers, the grocery e-commerce giant. Ashneer has also led the Corp Dev for Amex India.
Bhavik Koladiya has decent knowledge and experience about Fintech in general. He is heading the product and technology of the company.
Shashvat Nakrani is originally from Bhavnagar and is a student of IIT Delhi of 2015-2019. He has done his B-Tech in Textile engineering.
Business Model of BharatPe
BharatPe has a very unique business model and because of this, it has grown exponentially. The major growth of BharatPe happened during the pandemic. In this time, they devised a smart method to expand. They leveraged UPI to enable absolutely free transactions. BharatPe was providing this when its competitors were charging fees less than 1.5 %. This is why a lot of vendors started moving to BharatPe.
Making transactions free encouraged more people to use the platform. It also kind of did indirect marketing of BharatPe. When the vendors came on this platform, they started exploring the platform in a great way. The platform has been designed as a one-stop solution for all kinds of payments. They have devised various kinds of products to cater to the people.
The company has launched the Xtraincome card which is an easy transaction solution, very helpful for business owners. It also gives you a cashback of 1% whenever you do a transaction with it.
BharatPe XtraIncome Card
These applications are actually solving the main pain points of the businessman. Apart from this, they have also introduced BharatSwipe which is an innovative card swapping system. Another product is called BharatPe digital gold.
BharatPe earns its revenue by providing macro to microloans to its business owner. A working professional or businessmen get loans very easily but small business owners face problems while applying for the loan as their CIBIL score is low.
BharatPe tracks the person’s transaction using its various products like Xtremecards and evaluates their capability to return the loan. According to it, they provide microloans to small businessmen without much paperwork. They do not provide loans using the CIBIL score. This solution accurately serves the pain points of small businesses. This is the main source of revenue for the app.
BharatPe Funding
BharatPe has raised a total of $700 million. They have presently gone through 12 rounds of funding. Apart from that, the company has raised a debt of 100 crores. They have secured funding of $370 million from Tiger Global Management. Apart from that they also have acquired funding from Dragoneer group, Ribbit Capital, Coatue Management.
What is Unique about BharatPe
Recently BharatPe has upgraded itself by collaborating with NBFC which are allowed to launch a 12% club by the RBI. This will give them a lot of benefits as compared to its competitor’s who are having the same product. This is because now any customer can go ahead and invest and can get upto 12% interest. They can borrow upto 10 lakhs.
Growth of BharatPe
Since its inception in 2018, this company has shown rapid growth. Today BharatPe ranks 4th after Paytm, Google Pay, and PhonePe in terms of users. Apart from that, it was quick in releasing products which actually solved the problem of merchants and the public at large. Services like 0% fees on any transaction. Products like BharatSwipe and Xtraincome card are unique innovations to solve customer problems. They have also come up with innovative gold loans schemes.
BharatPe has an impressive business model. The whole business is working around solving various pain points of small businesses. Their products are reliable which has led to their word-of-mouth marketing initially. Today they have more than a million merchants using their platforms. BharatPe’s business model is a unique model and an entrepreneur can learn a lot from them.
FAQs
What does BharatPe do?
BharatPe is designed as a fintech company to empower small merchants and kirana shop owners. The company brings QR codes for UPI payments, Bharat Swipe, and an array of fintech products, including small business financing and more.
How many people use BharatPe?
BharatPe serves 7.5 million+ merchants in more than 140 cities of India, as of January 2022.
How does BharatPe make money?
BharatPe earns revenue by providing loans to small business merchants. A major portion of the BharatPe revenue comes from its merchants and its lending products.
Who created BharatPe?
Ashneer Grover and Shashvat Nakrani founded BharatPe in 2018.
Is BharatPe a government company?
No, BharatPe is a private fintech company founded by Ashneer Grover and Shashvat Nakrani in 2018.
I wonder if there’s any space left to be explored in the tech space in the 21st century, or is it just a bunch of first-world issues. With this thought in mind, I present to you a story of a startup that filled the gap of online shopping and retail store closures.
If you purchase food, clothing, or whatever, you are entitled to receive money back. You spend a fortune on shopping, so why not make some money while you’re there? This isn’t about clipping coupons or looking for refunds. I’m referring to Ibotta.
Bryan Leach, an entrepreneur quit law to create Ibotta, a Denver-based company with over 400 staff, 20 m installs, nearly $100 million in funding, and alliances with Target, Walmart, and 1500 other companies. Ibotta, among the most popular mobile shopping apps in the U. S., was built in Denver in 2012. Ibotta aims to persuade millennials to do online shopping, and at the same time halt the trend of retail outlet closures by helping these stores.
Ibotta is a free app that you may get for your smart device. You register an account and then they generate a set of products that you can get at a retail shop, a supermarket if you’re purchasing a bottle of wine or a six-pack of beer. It’ll come in handy when you’re out pet shopping.
Ibotta Homepage
It works everywhere in the physical retail sector, and you choose which things you want to buy, then snap a pic of your receipt with your mobile or pay with your loyalty card, and they offer you a payback incentive right away. It’s essentially a 21st-century version of coupons or rebates, with a quick cash prize that you can collect and use on a gift voucher or deposit into your bank using PayPal or Venmo.
You can now use it for all of your online orders, such as calling an Uber, ordering online, or booking a flight on booking.com, and it will connect you to other e-shopping experiences and offer you quick cashback as soon as it hits a buy-in another app.
How was Ibotta Founded?
Bryan Leach, founder of Ibotta was a Denver lawyer who was glad to resolve global contract issues in arbitration in cities like London and Singapore across the globe, but the most thrilling part of his job was growing his international arbitration practice. When it came to creating his firm and doing the research work, he didn’t find it as enticing as he had hoped, and he hoped to be a part of a group of people who were looking to create something new.
One time, he was a little antsy when he returned from a conference in Rio de Janeiro saw one taking pics of his business cards so he could keep track of who he had just met at the conference, and Bryan thought about the disruptive power of mobile tech and how you could take pics of your receipt from the store and have quick access to data you need.
It turned into a task for him to discover how to convey promos and vouchers and have a direct link between the brand itself and the final user so these shoppers don’t have to take these Lil chits into the shop, and he found that there was a lot of tension with the current methods and a large expense on poor tactics.
The regret of not giving it a shot outweighed the fear of failing at this venture. Although he lacked the necessary business and technical talent to make this app, he travelled to Silicon Valley in search of investors, and to his surprise, the backers were enthusiastic about the concept and were willing to become angel investors. So one step led to another, and he soon found himself with $3 million in initial funding, at which point he formed a team with the right skillsets and the ability to design this app.
Tagline and logo of Ibotta
Ibotta Logo
“Life Rewarded” is the tagline of the Ibotta app, and it couldn’t be more apt. It is a must-have app if you’re hoping to save at least a few dollars upon each purchase. Every moment in daily life, to be exact.
Business Model of Ibotta
Value propositions
It’s an app that links firms and customers. It assists customers by making their life easier. You get accessibility to unique refunds after performing tasks (reacting to polls, viewing films, etc), and cashback on daily purchases. There are real money benefits instead of credit scores.
Channels
The following are the channels used by them: Mobile app, Google Play store, Blog posts, Social networks, Media (Forbes and TechCrunch).
Customer relationships
They build customer relationships via Buying sprees, Couponing replaced by entertaining activities, Referrals, Cashback, brands exploration.
Customer segments
Their target audience is millennials and Retailers (Marketers, Walmart, Target, etc).
Key partners
Their key partners include – Top companies and merchants (FMCG, dining at diners, etc), PayPal and Venmo are two popular payment options, Investors, LiveRamp Alliance
Key activities
The activities performed by Ibotta are Cold calls, Auditing, Client Support Systems Engineering, Ecommerce, Data Analysis, Conflict Resolution, Promotion, Project Management, Content Creation, Research Strategies, Ads, Sales, PR, Staffing.
Key resources
It’s a framework for smartphone use. The face recognition feature allows you to claim your deals by scanning your receipt. Other key resources include Designers, Salesforce, records of suppliers, Product details from customers, Analytics, and Investment.
Cost structure
Their cost structure comprises Lead generation, Branding, Promotion, IT infrastructure and communications, Software design, Operations, and Client service.
Revenue streams
Ibotta generates revenue by making the app Free for users, by earning modest fees from brands and stores, Answer polls, and paid ads.
Ibotta has used an associate fees business approach to earn revenue since its inception in 2012. Ibotta makes money for each sale made via their application by working with over 1,500 designer labels. Ibotta earns any moment a client buys the product through Ibotta at a partnered label.
Ads
Ibotta also earns money by offering marketers ad spaces and displaying them straight to users. They have a total of 8 different ad formats, like banner ads, instant messages, emails, etc.
Account Upkeep Charges
On profiles that have been idle for at least 6 months, it imposes a fee. It earns by taking funds from idle customers’ Ibotta account “rewards” balances to pay for the cost.
Ibotta’s influencer program
Performance marketing is the most intriguing part of lead generation and the transition to the sale for them and their affiliates. They don’t charge for display ads, views, or hits; instead, they charge per piece sold performance, which is how their influencer program works.
They pay those who recommend a pal or post material that leads to someone utilizing their app. They split the profits based on the value of the user to them. They make it worthwhile for them to convey the narrative of how Ibotta saves folks time/money.
They found that the sector’s general trend is to become apt to draw the distinction that assigns that traffic to the location where you bought that ad and away from inaccessible algorithmic media, which has induced firms like P&G to put a complete halt on display ads unless there’s the best approach, and they portray one of those best methods.
How is Ibotta Helping some of the Biggest Brands?
They deal with over 1500 consumer packaged goods firms, the majority of which are attempting to tell their brand’s narrative. They also collaborate with merchants with distinct goals. When it comes to FMCG firms, they just want to expose you to a unique product type and explain what makes their brand unique, but drawing your focus is difficult.
In a nutshell, they’re a one-of-a-kind space where folks can explore a wider customer base eager to learn about what they’ve built. They understand that once customers test their brand, it’ll become a frequent purchase. So what they’ve done is the brand connection in the form of small bite-sized factoids, recipes, and clips that let brands reach out to clients and target people known who prefer rivals’ products, which is Ibotta’s major value.
Stores are losing a big chunk of their market to e-commerce, but the fact is that mobile-influenced sales account for about $4 trillion in the US economy, which is ten times greater than e-commerce.
So, how can the technology be utilized to encourage consumers to return to their retail outlet?
Ibotta is providing a reminder and a reward to attain desired targets. They’re expanding cart sizes and the number of visits to those shops while also making an effort to have the same chat about what sets their brand apart.
What is the Secret to Ibotta’s Success?
3 most important factors in making an app that’ll be on people’s device’s homepage throughout the globe are:
An explicit benefit offer, in this case getting cash rewards for daily transactions via a free app.
Using an app that works in every case where you’d like to buy something important, hence why, you now can book an uber and place orders on the app.
High rate of usage: they cover aspects where you can return to Ibotta and begin with Ibotta every time if it’s online shopping or binge-watching rather than solely focusing on key value and rare deals, as others do.
Therefore, they’ll escalate the range of situations in which you can use Ibotta. On your dashboard, they’ll make it a lot simpler to find highly relevant data. Their search is one of the greatest, allowing you to browse the catalogues of all places you would wish to buy something at once.
Future Expansions
The app will be expanded beyond the US. They’re one of the top 5 best e-commerce platforms in the US, and there’s still ample space for them to flourish. They’re quite thrilled about launching the app in the UK, Australia, Canada, and the East – Asian nations. They’re actively working on it.
I can’t believe I am now finding Ibotta, although it’s existed since 2012. Just for shopping, you’ll get your money back? Gladly accept my request. Because of Ibotta, our daily regimen has altered, but it is worth giving a shot.
FAQ
Who is the CEO of Ibotta?
Bryan Leach is the current CEO of Ibotta.
How does Ibotta give money?
Ibotta earns money from its commission partners, ads, and influencer program, and shares the profit with the users.
How much do people earn with Ibotta?
An average Ibotta user earns between $10 to $20 a month.
What could possibly come to your mind when you first witness the term “Shopify”? The only possible fraction of this term could be “Shop“. Shopify is not present in the physical world and that’s why probably has more effect on the customers. Since every business has moved to a digital platform, why not start with helping those who want to survive the market online.
With other online platforms where retailers list their products to sell, it’s more like swimming in a pool to win against the other competitors. But with Shopify, one has to just keep swimming in his own pool and survive the water.
Let’s understand the complete business model of Shopify and how it makes money.
Shopify was first founded in 2004. It is an e-commerce platform that helps sellers build a website and sell their products online. With all the ups and downs, by the course of a decade, the sales of Shopify skyrocketed. Shopify had about 12,000 merchants by then and earned a huge revenue of $105 million. It is especially known for its flexibility of payments. Its adaptability in business helped it to flourish.
Features of Shopify
The e-commerce platform is easy to operate, it is designed for the easy understanding and accessibility of the retailer. The retailer gets numerous features useful in selling products like reporting, email marketing, SEO, analytics, or branding.
Blogging
Shopify Website Builder
Shopify also provides theblogging feature that allows developing the site; one can choose themes, write articles, and initiate discussions. Moreover, it provides hosting, which means that Shopify will handle all technical issues related to your shop.
Dropshipping
Shopify Dropshipping
For someone who is interested in Dropshipping, he/she can start with this platform. According to reports, Shopify has over 800,000 stores. The stores are built using this application. It is a comparatively safer platform. Apparently, Shopify and the online store are going to survive more than anyone can imagine as merchants are widely reliable.
Online Store
Shopify gives merchants their sole identity, they have their own digitally controlled store to brand and market. It even helps in the branding of products and accepts a wide range of payment methods from the customers of the merchants. Interested Retailers can build and create an online store with plans starting from $9/month. It also provides 14 days of free trial use.
Unlike other platforms, Shopify gives quite satisfying customer service which is the primary reason why they love Shopify. Shopify has a huge database of FAQs, email & chat support, most importantly with an informative and helping agent on the other side of the call.
You name the product and you can sell it on Shopify. Nothing limits the lists of products/services.
How Does Shopify Work?
Shopify, in simpler terms, helps one build their own website for their business. Shopify acts as a provider of online stores. It helps you to directly create a professional trade website by registering and logging into your account.
Setting up other simple things and then the users are ready to upload and sell the products at their convenience. It helps them to start a business journey, without requiring to have any knowledge about website building.
Now let’s look at How one can start selling on Shopify. It is pretty simple to understand how to set up the business on Shopify.
First of all, you have to create an account on Shopify to enrol yourself as the seller on the platform.
Add products or services from the account, add and customize the theme for the product and finally add a domain.
Add text as the description of the selling product and add a suitable image for it.
Enable payments from settings. It has got its own payment gateway called ‘Shopify Payments’, it’s a free service. If the retailer uses other gateways – such as PayPal, Amazon Pay, or other methods, he will be charged.
Add the shipping settings. One can buy shipping labels and decide at what rate the seller wants to charge the customers.
Users can add some apps from the Shopify App Store to market and sell the products on that platform too.
Select a Price plan. The user has to upgrade after the free trial by selecting the ‘Select a plan’ button at the end of every page to keep going.
When the process is done, the store can then be published.
Shopify Business Model | How does Shopify Make Money
Shopify makes the majority of its revenue through monthly subscription plans and payment gateways for the usage of its services. It also makes revenue from its merchant solutions which can be technical support, marketing, and customer services.
Shopify Subscription Plans
The business of Shopify is truly based on the subscription of the merchants. The subscription amount gives lucrative returns than merchant services. On the contrary, the company made over 50% of its revenues from another stream called merchant solutions.
Shopify’s gross volume comprises mainly from merchants paying for the Advanced Shopify and Shopify Plus plans.
As a report by Shopify, it earns heavy from the highest-priced tier (Shopify Plus) higher compared to the lowest tiers. Shopify Plus is a service for valued enterprise customers, with larger volumes.
Shopify Plus
Enterprise contracts are also way more promising as the enterprise clients usually sign an annual or multi-year contract. The huge organizations are more stable comparatively. The plans are automatically renewed unless there’s an intimation of cancellation by the enterprise account. It has around 5,300 enterprise accounts as of 2018. Just Imagine the returns!
Shopify Revenue
Revenue comprises services of Shopify POS, Payments, Capital which makes Shopify more reliable to provide a higher value to its subscribers. Thus making its subscription plans more genuine and reasonable.
Shopify defines its platform as a multi-tenant, cloud-based system engineered for high scalability, reliability, and performance. Shopify merchant solutions primarily make money frompayment processing fees from Shopify Payments, Transaction fees, Shopify Shipping, Shopify Capital, Referral fees from partners, and sales of point-of-sale (“POS”) hardware.
Conclusion
Starting an online business is the best option any person can do. Selling the products in the offline market is time-consuming and needs effort. But to do that you don’t have to create your own website or hire a web developer. All these can be done with the help of Shopify. Create a seller account on Shopify and sell your products online. Happy Selling.
FAQ
What kind of business model is Shopify?
Shopify operates on a platform business model where third-party sellers sell their products.
How is Shopify making money?
Shopify generates revenue from subscriptions, transactions, payment, referral fees, commissions and advertising.
Who is Shopify’s biggest competitor?
BigCommerce, an e-commerce platform based in the united states is one of the biggest competitors of Shopify.
Owning a luxury car is one of our childhood dreams for most of us. Be it owning a normal car or a luxury beast on the road, a four-wheeler is one of the goals that people dreamt to achieve in their life. Luxury cars are quite common in the cities of UK, US and UAE but now they are gradually becoming familiar in the streets of the cities of India as well.
What’s better to choose your dream car from a showroom that has some of the biggest collections of luxury cars? In this article, we are going to talk about India’s largest buyer and seller of luxury used cars that is Big Boy Toyz. So without any wait, let’s look at how does Big Boy Toyz make money.
“Take care of your car in the garage, and the car will take care of you on the road.”
Big Boy Toyz is also known as BBT was founded in the year 2009 by Jatin Ahuja. His goal was to transform and make the previously owned exotic car business big in a country like India. One can find cars like BMW, Audi, Range Rover, Aston Martins, Bentley, Lamborghini, and others parked in their showrooms.
Jatin Ahuja, Big Boy Toyz Founder
At first, it was a one-showroom company based at Gurugram, it is also where the headquarter of the company was situated. Now, it can be found in Hyderabad and Mumbai as well. Ahuja started the business with an investment of just ₹70,000. It became so popular that, in its very first year it experienced a turnover of ₹6 Crore.
Big Boy Toyz Showroom
Over the years the brand has secured to expand its name over the industry and secured its name in the list of top businesses in the country. In 2017, it gave an opportunity to its customers to buy luxury cars online, a first for any company in the country. Not only that, but BBT also started dealing with Premium motorcycles like sportbikes, cruisers, and other exotic two-wheelers in 2019.
By 2023, it is said that India’s used car market is to cross the $25 billion mark and Bigg Boy Toyz seems to be leading this industry with its strong calibre.
Target Audience of Big Boy Toyz
Jatin Ahuja started this business with premium car dealers. Since 2009, BBT has supplied over 6000 cars to people from different cities of India. The prices of the cars are somehow between ₹50 Lakhs to ₹4 Crores, naturally, they target the customers who are celebrities or are from the upper-middle-class that want on getting luxury in their collections of four-wheelers.
Jatin Ahuja with Bollywood Actress, Neha Dhupia
These people are free from the stigma of buying pre-owned cars and are at the age of 35 to 50 years. With its price range, it has now started working on making luxury cars accessible to other sections of society as well.
Business Model of Big Boy Toyz
BBT mainly focuses on selling luxury four-wheelers to the customer and that is mainly how they make money. The quality of the cars that they sell to their customers is what makes them more unique. Their USP is all about making their customers happy.
Price definitely plays a big role in attracting customers but apart from that, another thing that plays a significant role is how pre-owned cars are owned by some of the biggest celebrities in the country. To be able to drive a car that is driven by their favourite celebrity is quite a good offer to be missed.
How does Big Boy Toyz Make Money?
Celebrities from the Bollywood industry and sports industry are some of the major customers of Big Boy Toyz. They mainly buy and sell their cars as well, because they lose interest in the luxury beast quite quickly than expected when another catches their eyes.
With its showrooms in three of the business cities in the country, it has been able to attract the attention of the customers quite well. In a year, it has been able to sell 340 to 400 cars easily. They mostly sell one to two cars a day. This is how the company generates revenue mostly. It has also partnered itself with Dharma production and with MTV Music Television Channel;
What is Unique About Big Boy Toyz?
Some of the features of BBT that make it unique are listed below:
It mainly deals with buying and selling luxury cars and now some bikes as well.
Every car that is in the showroom of BBT goes through 151 quality checks before it is certified by BBT.
Big Boy Toyz provides all the insurance history of the preowned cars to its customers.
BBT also takes note that all the cars have not run more than 20,000 KM.
BBT ensures that none of the car’s meters is tampered with or face any kind of problems and is as good as new.
Revenue of Big Boy Toyz
The revenue of Big Boy Toyz was between ₹100 – ₹500 Crore as of the financial year 2020. Surprisingly even during the Covid, the brand was able to sell over 140 luxury cars in just the first half of the fiscal year. BBT experienced a 48% increase in the demand for luxury cars post the first lockdown during the Covid.
BBT is a kind of company that is literally giving an opportunity to their customers to own their dream cars. The best part is that, even after the Covid lockdown, they experienced a surge in the demand for luxury cars. The company is proving its mettle every day, by growing its business in the tough time, it is surely going to lead the pre-owned car market in the near future.
FAQ
How does Big Boy Toyz make money?
BBT sells preowned cars to customers, its main target audience is celebrities or the upper-middle class who are looking for a preowned luxury car. They sell one to two cars a day.
What is the business of Big Boy Toyz?
Big Boy Toyz mainly focuses on buying and selling pre-owned luxury cars.
Who is the owner of Big Boy Toyz?
Jatin Ahuja is the founder and managing director of Big Boy Toyz.
The Fast-moving-consumer-goods (FMCG) is quite an established market. These industries have always proven themselves worthy of the consumers’ purchasing and reliable choice. When looking a little back in time, FMCG was considered wrong for entering the business industries. However, with time, many young businessmen or entrepreneurs put their foot in the direct interaction with consumers regarding the product, and shockingly, it received great acknowledgments and achievements. This came out to be the FMCG business model.
This kind of business model interacts directly with the consumers by cutting out the retail and charging at wholesale rates. This also supports and helps the FMCG players with the opportunity to establish their position in the market. With the FMCG business model, different categories are discovered and some great innovative types of business models. FMCG industries work mainly on the e-commerce platform.
Looking at these facts, it’s likely to say that the FMCG industries possess great kinds of business models and promote innovative contemplation. Through this article, we would explain to you how FMCG industries make money along with some distinct business models.
FMCG means Fast-Moving consumer goods. The direct-to-consumer business encompasses highly demanding products, sells rapidly, and comes at a very reasonable price. These are also known as Consumer packaged goods (CPG). The products in these industries are very fast-moving as they are convenient to deliver and sell very quickly from the stores and supermarkets because of the daily usage in our life.
The FMCG industry includes some of the biggest brands worldwide. Such as Nestlé, PepsiCo, JBS, Procter & Gamble, Coca-Cola, Unilever, and many more. It’s always advantageous to work in this industry as it brings out great career opportunities.
FMCG industries reached up to US$ 52.75 billion in FY18 and by the time of 2020, it rose to US$ 103.7 billion. With the sector of food items, hygiene, rural areas and health; the FMCG industries have grown with a 7.1% increase in the last 2 months of 2020.
When the product demands increase in the rural sector, it brings out a great revenue rate for the FMCG industry. The rural area contributes around 36% pg total FMCG industry spendings. As the government also put huge effort into the hygiene and health of the rural regions, the FMCG industry gained up to 10.6% of growth recovery.
The government initiatives for the low unemployment rate, high agricultural produce, and reverse migration for the advancement of the rural areas. When such initiatives are taken, the FMCG industry gains a great amount of profit in hand.
Growth of FMCG Market size in India
FMCG Business Model
Let’s take a brief look at some of the data-driven business models of FMCG Industries.
Premium Service Model
Premium Service Model offers great consumer services. It provides a premium fee that is linked for the customers to sign up. It possesses substantial benefits and encourages the customers to sign up.
Through the increase in business insights, the retailers gain the incremental revenue that targets the customers more consistently and brings functioning modifications to them. Premium Service Model promotes customers loyalty, enhances sales, and has the average basket size.
Differentiator Service Model
Differentiator Service Model offers some very heightened benefits to the customers and also offers the chance to purchase the same times again. Moreover, it gives rewards that boost up the purchasing tendency.
Differentiator Service Model guarantees good customer loyalty and increases the basket size by purchasing the same items again and again. The retailer, however, gets access to the minute customer’s data such as the email, contact details, history, and many others.
Return on Advantage Model
Return on Advantage Model also referred to as the Competitive Advantage Model focuses on driving the business insights for the growth of new products by combining the internal transactional data with the third party data. This also targets the experiences between the online and offline platforms and for better customer segmentation.
This business model targets customer segmentation to enhance its capabilities. Through this, the purchasing patterns are identified and assembled to gain a better possibility of targeting the customers.
FMCG Industries has built a significant position in the market with its advanced product awareness strategies and customer loyalty. Here are some of the marketing strategies of the FMCG Industry.
Multiple Branding
In FMCG marketing, Multiple Branding is one of the most fascinating techniques to hold up the potential customers and strong market position. In this technique, the company creates fair competition among the same brand product categories.
Product line Building
Product line Building offers a wide range of variety to the customers based on their choices by altering the names. A company manufactures the same product with different needs of customers and sells them accordingly. However, there isn’t any specific competition between such products as the target audience for each is distinct.
Huge Distribution Network
A huge Distribution Network is one of the very essential marketing strategies based on significant locations. This helps the product to reach every corner to gather its potential customers.
New Products Development
The company often modifies its products and then removes the old inconsistent ones. This helps them to maintain the competition and standards in the market. In this strategy, the company kept on researching and developing new features in their existing products. After modifying the product according to the consumer’s needs, they replace the older ones with these.
Flanking
Flanking is one of the very interesting FMCG marketing strategies. It sells the same product in different volumes and packaging. This helps the consumer to stick by the brand and purchase the product according to their favorable need. This brings a good option and probability for consumers to purchase the product.
Brand Extension
Normally when a company has made its strong position in marketing, to keep it consistent the company manufactures more products with the same name but different features, to gain massive sales. Brand Extension strategy is very essential as it brings more value to the brand and reaches the target audience quickly.
Conclusion
The Fast-moving consumer goods (FMCG) industry possesses some very strong brand holding in the market. With its incredible strategies and plans, it brings out great reliable growth development. FMCG industries are one of the most advanced and popular industries. It calls out a different business model to gain the required upholding with its consumers. FMCG industries include some of the very prominent brands worldwide that prove their success in the marketing field.
FAQ
What is the biggest FMCG company?
Switzerland’s Nestlé is the world’s largest fast-moving consumer goods company, followed by two US giants: Procter & Gamble and PepsiCo.
Which FMCG is the best?
Some of the top FMCG companies are Hindustan Unilever Limited (HUL), Colgate-Palmolive, ITC Limited, Nestlé, Parle Agro, Britannia Industries Limited, Marico Limited and Procter and Gamble.
How do FMCG companies work?
In the FMCG industry, manufacturers often sell the goods to wholesalers, who sell them to the retailers, who in turn sell them to the consumers. This is a two-level channel.
Google is one of the most acclaimed multinational conglomerates in the world, as it runs multiple businesses under a single brand. Its most successful business sector is Google Play which was also known as Android Market, the platform is one of the top digital distribution services and is a brainchild of Google.
Google play was initially launched in October 2008 and then re-launched in March 2012 after combining the Android market and Google together. Google Play is the official app store for every device that runs on an android operating system. The platform allows users to search and download apps that are designed and developed for android devices.
It also acts as a digital media store that offers music, e-books, movies, and TV programs. The apps can be downloaded directly from Google play, while the platform allows its app developers to make apps that are free and charge a fee. The platform had over 82 billion app downloads just in 2016 and had over 3.5 million Android applications available in 2017.
With the rise of the Internet, one organization that has remained constant and improving from the very beginning is Google. It has managed to do what most people would say is impossible. It did the exact same thing that its slogan says and in every case, better than that. They proudly say that their mission is to “Organise the world’s information and make it universally accessible and useful”. Simple it may sound but it is a herculean task.
The Google story begins in 1995 at Stanford University. Larry Page was considering Stanford for grad school and Sergey Brin, a student there, was assigned to show him around. Little did they know that they would lead the information revolution afterward. Google (of course) outgrew the garage and they eventually had to move to its current headquarters (also known as ‘The Googleplex’) in Mountain View, California.
As Google grew, they began hiring more and more and made the company truly big in every sense. They launched Google Play Store, Drive, and all of Google suite with one Email ID. So, with one ID people could use all of Google, be it Document creating and editing, spreadsheet updating, and sharing, or anything over the internet.
What is Google Play Store?
Google play store is one megastore in your smartphone. We mean it quite literally. Google play store is a subsidiary of a service that is provided by Google to its android users. The store can be accessed instantly if you have an android device, in fact, it comes pre-installed on every new smartphone. It is important to note here that there are more than 2.8 billion android users in the world as of now. This is a huge number and Google caters to them all.
Google play store is a marketplace for Apps, Music, Movies, Books, TV Shows and many more. It is a single place you need to get almost all the work done that you want from your device. Be it work-related apps, professional suites or any sort of craving for entertainment, you will find it all on the Google play store.
Google play store strives to create an environment that a user wants, it does it so well. Not only this, but apart from being a perfect yet simple place for users, it also helps developers get the right audience for their work.
What are the Services Provided by Google Play?
Some of the main services that Google Play offers are:
Google Play Games
Google play games were launched in 2013, and since then it has been an online gaming service for Android devices.
Google Playbooks
Google playbooks are one of the leading e-book distribution services as it is available in 75 countries. It currently has more than five million eBooks available for purchase and offers the user an option of uploading over 1000 of their own eBooks in the form of PDFs.
Google TV
This is the Video-on-demand platform of Google that offers a wide range of movies and TV shows that can be purchased or rented. The platform was earlier known as Google Play Movies & TV and has its movies available in 110 countries while its TV shows are available only in a select few countries.
Google Play Pass
This platform was launched in 2019 and is a games and app subscriptions services that are available only in America. Google Play Pass is invitation-only for app developers.
Google Play Music
This app allows its user to listen to and download music. Currently, the app has over 15 million subscribers.
According to Google Play, the app developers receive over 70% of the app price, while the other 30% goes to Google Play as they are the distribution partner and as a part of operating fees. The platform also allows the developers to make sales on their app, on the basis that it informs its users when the sale ends. The application developers can also release an early version of their app to a certain group of users or even allow their users to pre-order the apps before they are released.
For regular subscription-based payments, it charges 30% for the first-year subscription consumer pays and then the app developers can continue paying15% for all subsequent years. This model is similar to the business model of another app store like the Apple app store. Where the app developers pay some money to the app store in order to hoist their app and get the remaining amount of money from their user purchases.
A Google Play advertisement
How does Google Play Make Money?
There are two main ways Google Play makes money
Advertisements
Google allows its users to promote apps on its platform by using certain keywords that are shortlisted by app developers. So when a user is searching for a certain keyword they can get your app listed on the top.
Service Fee
The revenue source of the Google play store is simple and it is primarily a Service fee from developers.
If a developer wants to sell an app on the Google play store then Google asks for a Service fee from the developer. Quite anything or service that developers would want to sell, can be a subscription service too. However, any in-app purchase is not commissioned by Google.
Google Play Store Fee
Google also takes a 30% cut of the revenue made on an android app from the developers.
This should be quite clear by now that Google only earns money when developers charge something from the customers. So, the revenue model works only when developers are making money. This creates a hit and takes effect on the whole relationship. This also ensures that both parties are putting efforts to be more efficient and convenient.
How much does Google Play Make?
On 30th August 2021, the platform disclosed the revenue of the platform for the first in 13 years. According to the declassified documents of the Google play store, the total revenue of the platform is over $11.2 billion (Rs. 82,000 crores) in 2019. This amount is said to include the price of the app (which it charges 30% of), additional in-app purchases, and revenue generated via advertisements on the Play Store app.
This information was disclosed because of an antitrust lawsuit that was filed against the Google Play store by several districts and states in America claiming that Google Play Store exercises a monopoly over application distribution. Out of the $11.2 billion total revenue, over $8.5 billion is the gross profit of the app, while the operating income of the Google play store is $7 billion.
Google Play Developers Support System
If you are a developer for an app, all you need is an audience for your beautiful creation. Google play does that work for you so that you can focus on more important things for your application. It offers a ready-made market for apps and games. They have a capacity of about a little over 2 billion users monthly. With this huge number of people transacting with Google every month, it is going to be a booming opportunity if you can tap this market.
If you are a developer who wants to distribute an app for free to the globe then you don’t have to pay a single dime. Yes, you read that right, Distribution is fully free for the developers who do not charge for their apps and games.
Moreover, Google also provides full support to each and every developer. Be it on the edge of developer training, user data, and up-to-date information, helping tools, and more. Let me tell you precisely how Google helps developers in various domains, they are,
Distribution
Google play store provides the technical interface to distribute apps made by developers to the world. They have billions of monthly active users. If a developer is able to get his/her app on the Google play store, he/she can get the benefits of a global market. This will jumpstart revenue for them and value creation for its users.
Development and Support
Google provides state-of-the-art facilities to developers. The range of support can start from quality control checks, application testing, and user analytics to its Android studio, play console, and Android software development console. All these supplements allow developers to make their work better and provide better value.
Compliance
Google play store provides a full-fledged ecosystem for a developer’s app. They can categorize, target, and even regulate the market for their apps. This helps them to target the right audience and market, this compliance is a good help for developers who know their work. This ensures proper distribution of their product.
Payments
Developers who make their app accessible after a purchase can totally rely on Google play as a mediator for efficient distribution. Google ensures the utmost security and safety for payments of any sort. They also act as a currency converter for apps that are famous worldwide, like Spotify or Youtube.
All these add-ons make developers make better apps and thus share more of the market. This improves the market as well as the revenue for developers. Thus google play makes the perfect ecosystem for developers to foster their growth. With the right tools handy, developers will do their best work for their users.
Google Play Safety
While Google connects all android users for the love of apps, they do it very securely. With the state-of-the-art infrastructure in the face of security and safety, Google sets new parameters for privacy. Every app in the Google play store is scanned and tested, and only then is added to its app library. They scan more than 100 billion apps every single day to ensure no security leaks. This provides users with enough data for potential threats and trusts for Google.
Google Play Protect
In addition to the everyday checks, every app is put up on the store only after it clears the compliance parameters set by Google experts. They leave no stone unturned.
Some of the parameters that are set by Google are listed here –
Intellectual Property Security
Many applications try to use other apps’ goodwill to generate revenue by deceiving their users. Google has strict standards to avoid such deceiving. They do not permit apps that are similar to other apps in any domain, thus they cannot use other brands to mislead users. This protects the intellectual property rights of genuine apps and services and acts as a wall of protection for brands as well as for users.
Content Restrictions
Google knows very well that the internet is filled with good stuff as well as garbage of all sorts. They do not allow any sort of content that depicts any sort of abuse, harmful products, sexual content, profanity, hate speech and any sort of inappropriate content. This filters the Google play store and makes it accessible to everyone.
Abuse and Deception
As mentioned in the earlier point, Google has hard parameters for all sorts of apps. It does not allow any app that includes deception, abuse, and any malicious information. These kinds of apps misuse the personal data of users and the data can be used for multiple bad intentions. Thus, to prevent this, Google has found a solution. Every app developer has to submit to Google what data the app collects and how the data is used and utilized for app functioning. This makes the developer more accountable on the basis of customer service and privacy.
Application Functionality
The developer has to inform Google about the minimum requirements that are needed to run the app. This is in order to respect the customer user experience that adds to the overall experience of the application. This also reveals spam (if any) on the developer’s side.
Store Listing
All the app developers have to include a crystal clear definition of everything about the app, if they fail to do so and any information is wrongly listed, then Google has all the rights to unlist the app from the store. Any misleading data or promotions can lead to a permanent ban on an app.
Even after all the checks and permits, If a user finds anything wrong with an application then he/she can report complaints. Google has made it very convenient to report abuse across all its services. Developers can also flag some apps that violate their intellectual property rights. This ensures a smooth ecosystem for everyone.
Google Play Store Flag as inappropriate
The Lawsuit against Google Play Store
The case was filed by attorney generals from 37 states and districts of America because they taught that the platform was cutting down the profits of app developers and taking a huge commission on sales. The lawsuit also says that Google is using illicit measures in order to maintain its monopoly. The next trial is expected to be in late 2022.
According to Google, however, this case is nothing but a meritless lawsuit, and said that the data mischaracterizes its business. Google also has another lawsuit filed against it by Epic Games, which is the creator of a popular game known as Fortnite.
Epic Games along with other app developers are separately suing Google because they think that the platform is taking over 30% of the fee for every digital good sold as in-app purchases and generating huge amounts of profits. According to Epic Games, the company came up with a Premier Device Program through which it offered a share of Google Play Earnings to other big companies like LG and Motorola.
Conclusion
We learned that Google is a pioneer in technology and that the Google play store is here to help every user and every developer. Google was changing how people consume information and now is managing every app that you can think of.
Google play store works as a perfect ecosystem for developers and users on all the upfronts, be it security, safety, privacy, and intellectual rights. We learned how the Google play store earns revenues.
Not only this, Google is striving every day to be the better maintainer of almost every device we use. From the Digital well-being feature to the whole entertainment pocket industry. It is no doubt that its innovation leads the technological revolution in the world. Be it on the device on our palms to the satellite outside this earth. Google knows how to make the internet a better and a convenient place for everyone.
FAQs
How does the Google Play store make money?
According to Google Play, the app developers receives over 70% of the app price, while the other 30% goes to Google Play as they are the distribution partner and as a part of operating fees.
Is Google Play profitable?
Yes, Google Play generated $11.2 billion in revenue from its app store in 2019.
What percentage does Google Play take?
Google Play store takes a 30% cut and, 70% goes to the developers.
The automobile business is one of the world’s fastest expanding and evergreen industries, particularly in India, where it plays a significant role in the country’s economic growth. Customers who are enthusiastic about cars and bikes will gain most from the industry’s perception of various automobiles culture of the industry. Droom is an online marketplace in India where you can buy and sell new and used cars. Sandeep Aggarwal established Droom in 2014. Droom provides a large variety of automobile categories and also other all connected services such as warranty, insurance, finance.
A variety of elements influence a customer’s decision-making process when acquiring a vehicle, including price, performance, mileage, and vehicle ratings and reviews. Customers look for easy online platforms for buying and selling automobiles as the use of the internet and technology for activities such as shopping grows.
Droom is a renowned autosite that provides an online platform for the vehicle industry. This is a digital automobile platform that employs technology to facilitate end-to-end vehicle sales and purchases from the vendor to the buyer. Droom’s broad and thorough platform allows users to buy or sell a variety of vehicles, from bicycles to aeroplanes. Droom is the largest online automobile platform in India for buying both used and new vehicles, and is also the fourth largest E-commerce site, with an 80% market share of India’s online automobile transactions.
Droom’s business began in Delhi as an online marketplace for old vehicles, but after three months, it expanded to include two-wheelers as well. The brand spread its services across 100 cities within a year. After another six months, the company began offering services such as roadside assistance, warranty, and insurance. They also expanded their services to include seaways, planes, bicycles, and other vehicles.
Business Model of Droom
Droom’s Business Model
Droom’s tenacious business model was important in its growth and success. Let me first define what the term “business model” means before examining Droom’s business plan.
A business model is a form in which an organization is built, that supports the practicability of a product or a company and portrays how an organization operates and goes forward to achieve its aim. As a result, a business model encompasses all of an organization’s operations and regulations.
Droom’s business model is divided into four categories: business to consumer, customer to customer, customer to the business, and business to business. The business to consumer model accounts for the majority of its revenue (approx. 88%), with the customer to business and customer to customer models contributing 10%, and the business to business model accounts for the remaining 2%.
Value Proposition of Droom
A value proposition is a value that a firm claims to deliver to its consumers, and customers prefer to buy their products or services based on that value. Droom’s proposition of value is unique, consisting of pricing, trust, and transparency. It provides buyers with a low cost and large selection, while sellers have access to a large number of online shoppers, a full range of e-commerce services, and so on, allowing them to manage their online store at Droom.
Droom has become the first car gateway worldwide to house the entire ecosystem of the automotive, with additional elements such as price, finance, history, tools, and marketplace.
Droom provides its customers with a variety of ecosystem products and services which are mostly technology driven by combining, data science and artificial intelligence such as using the “ECO App” for getting vehicles’ inspection reports. It also offers purchasers a full circle trust score to verify that the sellers with whom they are engaging can be trusted.
Droom launched a pricing system for automobiles called Orange book value (OBV). It is the first company to introduce this feature in India. This assists dealers and consumers in determining the fair market price of automobiles. This is data-driven and unbiased. Consumers can also use this tool to see if a vehicle is available on the market. It also has Droom discovery, Droom assists, and Droom credit to help buyers and sellers.
Division of Customers in Droom
Droom’s target market is online consumers and internet users. In a larger sense, the company’s customer sector is classified into four categories: Buyers, Sellers, Dealers, Enterprises.
Droom has created four marketplace types to ensure harmonious and smooth buying and selling operations. It offers a variety of purchasing choices to meet the needs of each buyer, which creates a major trust factor.
Droom strives to be incredibly transparent. It allows sellers to upload an unlimited no. of listings and promote to a large audience on the internet, and it allows sellers to sell both used and new vehicles.
Droom offers dealers self-service accounts, such as StoreManager. Dealers can use this to run and manage their internet company from anywhere at any time.
Droom’s customers also include businesses involved in the automobile industry, it provides vertical enterprise solutions. It also offers a variety of effective advertising options.
Important Resources of Droom
Droom uses technologies such as AI, Machine Learning, Data Science, and Big Data in its core services such as customer assistance and the development of various tools such as OBV, and so on. These are the key resources of Droom. Labs of Droom are dedicated to using world-class technology apps to provide excellent user experience and user satisfaction.
The company has a customer-centred approach and its trained and talented team of officials reach out to buyers and sellers helping the organization reach a certain level of growth.
Client Relations with Droom
Droom focuses on establishing trustworthy and strong client relationships and strives to provide excellent customer support and management, that is its assistant tool: Droom Assist. This tool helps buyers and sellers with guidance and consultation services. It also helps in transactions of its customers by making them easy and transparent. Droom improves its relationships with consumers by providing security to their funds with the use of easily refundable tokens.
Major Activities of Droom
Droom encourages its services and features through marketing and promotional activities on several social media platforms such as Facebook, Linkedin, etc. It also undertakes researches at its AI labs to develop improvements that would enhance customer satisfaction.
How does Droom Make Money?
Droom mainly has four sources to earn revenue that are, Service fees, Premium tools, Subscription, and Advertisements.
The service fee is the main source of revenue, and this is charged on every successful transaction on the platform. This varies according to the vehicle type.
The subscription plan is offered to various big auto dealers, and the company provides them with online products and services.
Its premium tools include OBV, Droom credit, etc. Droom also earns a lump of money from advertisements as it advertises different auto brands on its platform. This also helps in doubling traffic on the platform.
Competitors of Droom
Droom faces major competition from companies such as Car24, CarDekho, OLX, and Quickr. Droom has several advantages over its competitors such as, it follows all the models of business and it is very efficient for buyers and sellers to get on the platform and use its services and provides an end-to-end service.
Conclusion
Recapitulating, Droom operates on a Business model, a plan that is well-integrated with technological advancements and a progressive model. It gives details to distinctive marketing activities. In the future, when automotive sales are expected to skyrocket, Droom will be facing tough competition, even though it has a big advantage overall.
FAQs
What does Droom Company do?
Droom is India’s first automobile e-commerce platform that allows you to buy and sell automobiles online.
How does Droom make Money?
Droom mainly has four sources to earn money that are, Service fees, Premium tools, Subscription, and Advertisements.
Souvik Dey
