Starting a business undertaking is an astonishing experience but would you say you are intellectually ready for it? Being a boss seems like a blessing from heaven as it gives an extra conviction that all is good and accomplishment to the entrepreneur.
As per the statistics, over 60% of the people are keen on their own business however less than one-fourth of them can get through this competitive industry. It is absurd to begin an organization without genuine ability. So think and then choose whether you have the business mindset, do you have the fundamental capital, can you organize monetary help from the market and are you fit for turning your vision to the real world.
One of the mainstream beliefs of business is that causes individuals to believe that with a business venture, you become your own head. This myth has endangered the pioneering excursion of a ton of business people.
As a business head, you are working for financial investors, you are working for your partners, you are working for your representatives â not for yourself. This accompanies greater obligation and responsibility. You are responsible for everything; you pay yourself last, you go on vacation last, and so forth. It’s a huge advantage, however, it likewise comes with enormous responsibilities.
2. Limited Ideas and Goals
An idea alone doesn’t really mean you’re prepared. Ensure you have a detailed field-tested strategy with the goal that your business doesn’t come slamming down before it’s even gotten up. Think big.
A decent entrepreneur will likewise realize that you need something other than one plan to keep a business running over the long run. You should be prepared to adjust constantly to evolving circumstances, to expand on your ideas and thinking, and maybe even have a reinforcement plan B for if things don’t go the manner in which you anticipated.
3. You Don’t Have a Business Plan
Planning and executing are two significant features of a business. You should have a dream and the outlook to make a splendid strategy. Everything relies upon this plan since every one of the future steps is completely subject to it.
A few people find planning and researching a center. They are keener on starting and executing stage but they neglect to get a handle on the significant reality that how might you make a startup without any planning and analysis.
Are you even mindful of your way and the different exciting bends in the road you will look on this street? Nothing in this way will be as simple as it appears to you. Just put when you don’t have the opportunity or the tendency to explore the business sectors and make a reasonable plan then you are not prepared to start your business.
4. Not Willing to Market Your Vision and Thoughts
A business begins with a dream and afterwards, it prompts different stages like planning, test driving, working on it and then comes profit. One significant element in-between is the ability to go full scale and market your thoughts convincingly.
You can’t say that you are bashful or you need more data to finish the deed. A businessman is liable for each part of his vision thus he is the best individual appropriate for showcasing his products and thoughts.
If you find that you are not interested in such work then it’s an obvious sign that you are not prepared to start your business. Remember marketing is a basic piece of your business methodology and you need to go all guns blasting if you need to succeed so assuming you are not prepared to attempt these things, then decide whether you are made for undertaking such venture.
5. You Need a Quick Profit
No good thing comes easily, you need to work and even trust that the tree will yield forward its organic product. As per a report by Small Business Trends, about 40% of new companies make money and 82% of independent company failures are attached to income issues.
This implies that there is no quick solution for profit. Now and then, it even requires a long time for your business to get sufficiently profitable to pay yourself a pay. You’re not prepared for business if you just want quick profits in your business.
At the point when you start as a business person, curiosity is your dearest companion. When you are curious, everything is intriguing. There is nothing of the sort as a failure since everything you do on the excursion of a business venture is learned.
Your objective is just to realize what you can offer clients, what values you can provide, and how best you can do that. Whatever you learn in the process is considered an achievement.
When individuals rein themselves over because they fear what would happen, they quit posing inquiries and facing challenges. This is the only way you could fail; when you quit learning in your business journey.
7. Unwilling to Work Hard and Get Yourself Dirty
A businessman realizes that starting a business implies wearing a wide range of caps before everything else. Also, the greater part of them will involve unexciting, monotonous, and manual work.
Regardless of whether it is physically investigating drives, answering to client assistance messages, composing blog entries, or setting up legitimate agreements and strategies â you realize you will be liable for every last bit of it and you are not reluctant to get yourself dirty with the day by day tasks of the business.
The little significant works are important to fabricate something extraordinary. You must get familiar with the ‘intricate details of your business. Indeed, you must be prepared to hustle â and take the necessary steps to assemble your goals.
8. Cling to What in Particular Isnât Working
We realize that it is your idea that will start a business but are you open to ideas or have you shut your mind and think that whatever you choose will be perfect. Sometimes our vision is limited and we prevent taking a look at things according to the viewpoint of the client. Assuming you are confronting any troubles, don’t stick to similar set ideas, instead, make a feasible improvement.
Starting a business can be exciting. It’s perhaps the most remunerating thing you can do. First of all, you will consider yourself a “job creator” with a straight expression. Working for yourself and being a boss is extraordinary, however, it incorporates difficulties a few people can’t deal with. So be careful with these above-mentioned signs to know if you’re not ready to begin a business.
FAQ
How do you know when you are ready to start your own business?
If you have your business plan ready, you’re excited about your idea, you have sufficient funds and you can take financial risks.
What stops you from starting your own business?
The fear of failure before starting a business is what stops many people from starting their own business.
What is the biggest obstacle in starting a business?
Lack of funds is one of the biggest obstacles many people face when starting a business.
The majority of people in this country, as well as in any other country, earn money through regular jobs that pay hourly wages or regular paychecks. Distinct countries have different laws, yet they all have the same basic structure. The wealthy find a means to avoid paying them. Despite the fact that ordinary individuals are taxed, data show that the vast majority of millionaires and billionaires either do not pay any taxes or pay very little.
People with regular jobs in the United States are taxed at rates ranging from 10% to 37%. Regular wage earners in India are taxed at rates ranging from 0% to 30%. This, however, does not apply to the rich. But how do they manage to pay nearly nothing and avoid facing legal action?
Despite the fact that regulations are in place to make high earners pay more taxes in proportion to their income, the exceedingly wealthy are always exempt. In this article, we’ll look at what the wealthy and their lawyers do to avoid paying high taxes.
Rich people do not keep their money in banks or make it readily accessible. They manage their wealth in a unique way compared to regular people. They invest their money in stocks or real estate, which are not taxed until they are sold.
As a result, the wealthy keep getting richer as their assets appreciate in value, but they do not pay taxes on them. For example, Jeff Bezos, the former CEO of Amazon, pays nearly no taxes because the majority of his wealth is invested in Amazon stocks, which are not taxed until he sells them.
2. Living Off Loans To Avoid Taxes
Borrowed money is not taxable because it is not considered income. And the wealthy take advantage of it. They use their stock shares to obtain large loans from banks and use them to fund their lifestyles because selling the equities would result in paying taxes on them. Elon Musk, the CEO of Tesla, for example, takes out loans with his stock as collateral. That’s how he keeps his lifestyle, and because the money he borrows cannot be taxed, Elon avoids paying taxes.
3. Charity And Donations
Many wealthy people believe in giving back to the community and donating large sums of money, but not all of them have the greatest interests at heart. Most of them do it just to avoid paying taxes. Conservation easements are one way the wealthy have exploited the tax.
Most of the tax paid by rich people might be recovered when they give to charity. When they choose to give away their earnings to charities, they can practically avoid paying tax at all.
4. Lawyers To Avoid Paying Taxes
Wealthy people hire lawyers who specialise in avoiding high taxes and preserving their assets. These lawyers take a gigantic cut, but they make certain that their clients don’t lose money in taxes.
Rich people use their influence and ties to push for measures that exclude them from paying taxes. They bribe legislators and maintain strong connections with them so that they can later use them to avoid paying taxes. Tax lawyers assist their clients since they are familiar with the tax rules and can readily uncover loopholes to save money for their clients.
5. Stepped-Up Basis Loophole
Most regular people are unaware of the world’s largest tax loophole, known as stepped-up basis. This is how the family’s riches stay in the family and taxes are avoided. For those who are unaware, this means that when stocks are passed on to an heir after death, the successor will only pay tax on the profit earned after they inherited the stock. As a result, there is no tax on earlier gains, which is how wealthy families maintain their wealth.
The rich have found several ways to not pay their taxes properly and save millions and billions of dollars. Many live off loans, and many invest in stocks and other assets that cannot be taxed until sold. Charities and donations are also being used by rich folks to get tax relief.
Rich people also hire tax lawyers to assist them in identifying loopholes in order to avoid paying taxes and save their clients money. Billionaires use their influence and connections to tweak the laws and promote laws that benefit them.
President Biden has proposed several proposals, including the elimination of a stepped-up basis and an increase in the tax rate from 20% to 39.6%, which would apply to people earning more than $1 million USD per year.
FAQs
How do the rich avoid taxes?
Rich people hire lawyers to find loopholes and save taxes. Tax havens are also one of the most popular ways to avoid tax.
What are the tax loopholes for the rich?
Capital Gains Tax is one of the most common loopholes used by the rich.
There are over a billion cricket fans in the world and 90% are Indians. Whoa!
With that kind of following, one can’t complain that cricket is called a religion by millions in India. But guess what, there’s a bigger religion with the biggest fan following in the world – money, moolah or currency!
Apparently, BCCI (the richest cricket body in the world) fancied this in time, founded the commercial format of the game in the form of Indian Premier League (IPL) in 2007 and IPL became cricket’s most glitzy, glamorous festival. Add to that, its association with the entertainment business and corporates is something that added more fuel to the cricketing carnival. Today, this sporting event moves and shakes the economy beyond words.
We are a religious nation but also a secular one. So, while some of you will devote yourselves to your favorite deity (player/team), the not-so-religious ones can keep up their excitement by following IPL’s money trail, or in other words, the direct/indirect impact IPL has on our economy. It is no less interesting than the matches themselves. Follow through the end to know-how.
A little flashback first – The Indian Premier League aka IPL cricket championship began in 2008. It has a ’20-over’ format, hence called Twenty20 (T20) tournament. Currently, it has already passed the 14th season in 2021, which concluded with Chennai Super Kings, who took the 14th IPL winner award, as the 4th title home. The IPL tournament constitutes eight teams, where each team is set to play two games with each of the other competing teams, totaling 60 matches over a month and a half.
Basically, this professional sports league has been conceptualised on the lines of the famous UK/American leagues such as the English Premier League, NBA, MLB, NFL et al. The frenzy behind is no less.
Now let’s talk numbers because what is cricket without it. Hang on, we are not going to discuss cricket scores or static stats like run rates, most centuries, or ducks that are overdone anyhow, but instead lay out some dynamic economic data.
â Â IPL brand value: $4.7 billion, which has noted a 7% rise, as per the February 2022 reports.
â Â The highest source of income: Media rights, which make up for 60% of its revenues.
â Â Team with the highest brand value: Mumbai Indians (MI), the value of which has increased by 13% to become $79.5 million.
The real game
Can you guess how many Pani-puris or Pizzas are sold during a match? No idea? Okay, what kind of creative lies do men invent to skip how many productive work hours to watch a match? Can’t say? Fine, at least how many memes, jokes and posts are created during IPL? Duh! Are you even serious?
Alright, the cricket craze hasn’t stumped us that bad. We were only checking your entertainment quotient. After all, it’s the fun persona of cricket branded as IPL, that we will talk about.
Yeah, so let’s show you some real economic figures. From 100s of crores poured in annual auction of players or million and billion dollar deals signed amongst BCCI, sponsors, global media houses, advertisers, etc., not to mention the heavy business activities that take place during and around an IPL championship. Money just flows across various sectors for this Kumbh of cricket. This results in a solid boost in the finances of not only the players, the BCCI, the mammoth size corporations, but also of the government as well as the nation.
(Well, we won’t disappoint you in any way, so check out the best few memes/ jokes/ tweets on IPL towards the end)
We like the American yardstick a bit too much. So, here’s a comparison of the salaries of our players with top US league players.
Average annual player salary in the sports industry
Wow! IPL is second on the list, right under NBA (National Basketball Association). However, we already knew that our cricket/IPL players are awarded pretty handsomely.
Although cricket falls too low in popularity among other global sports like football, basketball, baseball, hockey, etc, but hey, as promised we are only talking about the economics of the game and there we don’t fall too behind.
BCCI, franchises or players – the bigger beneficiary?
BCCI earned INR 4,000 crores from IPL 2020, according to its treasurer. This means every cricket fan contributed 40 rupees. Actually! So, be proud, because you’re not just a passive viewer but an active participant in the economy. Need further proof? Well, the TV and media rights of IPL has been sold for a massive 2.3 billion dollars approximately (INR 16k+ crores) to Star Network.
Here are a few more fantastic figures vis-a-vis IPLs that you can use to tickle your imagination or just revel in delight while you enjoy a match.
â Title sponsorship – Tata Group has replaced the Chinese phone maker Vivo as title sponsors for the 2022 and 2023 seasons of the cricketing phenomenon. Vivo was reportedly booked earlier as title sponsors for the period of 2021-2023, which is why Tata will remain the main sponsor with Vivo next in line, with 2 remaining years of contract with them still.
â Â Media rights – While we have seen BCCI selling the media rights to Star Sports for INR 16,347.5 crore for the global broadcasting rights i.e. TV & digital for 5 yrs (2018-2022), the cricketing body is now mulling over the expansion of broadcasters where the others will also share the rights in 2022. The deal value for the media rights in the previous installment of IPL is 1.5X from that of the year before. Well, this leap of faith is backed by guaranteed advertising revenues these media giants get. By the way, IPL 2021 ad revenue was calculated at INR 2,950 crores, only in TV advertising.
â Â Ticket sales – Nil for 2020 as well as 2021 as both seasons were held behind closed doors due to COVID19. Nonetheless, on-air sponsors have multiplied every year and thus the money came pouring from them. Over 10 sponsors, big and small, strike multi-crore deals with each franchise. The rising digital viewership is certainly set to more than offset that loss. However, the IPL 2022 matches are estimated to have a seating capacity of 25%, and the ticket sales have already started going live from 12 pm on March 23, 2022. Â
â Â Sports/cricket tourism – 100% loss again! This is one sector that has suffered immensely and globally since the onset of the coronavirus pandemic. So, one can’t really factor it in here. However, with growing relaxation of the pandemic-induced rules, we might see some tourism in 2022.
No one said that religion was just about finding God? It is also about deity worship, rituals, festivals, and much more. Take a hint from it and admit that cricket too isn’t just about fitness and health anymore. It is also about entertainment, business & fun. The government of the day realised it and brought IPL’s income under the tax net.
Income means taxes and taxes mean revenue for the govt. Did you know BCCI was considered a charitable organisation under the IT act, thus, paid zero taxes? Govt took away that privilege in 2012 from BCCI & declared IPL as a commercial activity hence taxable. Although BCCI hasn’t accepted it to date.
Whilst fist-fighting with the Govt on this issue in the background, BCCI has paid little over INR 460 cr to settle tax dues (of an earlier assessment year) in September 2019. However, with 400 million viewers and 400 billion viewing minutes recorded last season, perhaps it’ll have to pay up the balance dues which is close to INR 1300 cr. After all, taxes are a necessary evil.
Okay, but how does IPL affect your and my economy
Good question but a little premature. Happy to explain because that’ll affect my bank balance or say the economy positively. See! That’s how the economy in essence works. There are no free lunches. Likewise, when those big brands like Royal Stag, Flipkart, Vivo, Jio appear on your screen in the middle of an exciting match, you may not like it much but the brands have knowingly or unknowingly made an impression on your mind. With repeated such displays, you tend to remember the brand name for a long. That’s how they increase their customer base. Boom! The brand sales might hit the roof and you may think that you just bought one beer to cheer.
What about the sponsors whose names show on your fav player’s (deity) jersey/cap/bat or placed on the field and other conspicuous places? They get the desired visibility and attention for their brand.
It is not just these purchases and just the sponsor companies that benefit from the IPL excitement. Other businesses and sectors also gain from the festive mood revolving around the religious sport of India, cricket, and cheer too. This is because economic activities always have a ripple effect. For instance, if you are a YouTuber, create content around cricket/IPL & cash it on. If you are an SM marketer, an influencer creates that perfect meme that goes viral faster than any known virus to mankind.
Religion isn’t just about finding God; it is about deity worship, rituals, festivals and so much more. Take a hint from it and admit that cricket too isn’t just about fitness and health. It is also about entertainment, business, and fun.
Let’s dig a little deeper. Sometimes religion pushes its followers into fanaticism and fascism. Cricket too has its dark side. Nah, not talking about betting rackets here. Check out this tweet.
This is just to leave you with an afterthought.
Lets team up this season – on and off the field
Cricket is inherently a sport. And a sport is packed with emotions. So without the energy of a live audience cheering for the teams…emotions run dry. We can’t be emotionally stuck in the pre-COVID era either or reject changing realities of our times. So how do we keep up the enthusiasm? By consuming some great content, like this one? Let us know what you think! Because we passionately & constantly work to score more & more points from our readers.
Conclusion
To end on a lighter note – ‘Stay home, stay safe’ was and is the mantra of the pandemic age, and if you choose otherwise, then take adequate precautions while going out and remaining outdoors. ‘You could cheer for Dhoni or AB de Villiers, so long as you stay fit until next year!’ may be your mantra for IPL 2022, which is starting on March 26, 2022. So, let’s have a field day!
FAQs
Is IPL good for Indian economy?
The IPL teams earn revenue through their sponsors and the sale of merchandise of their kits and garbs. To sum it all up, IPL has an impact on the Indian economy as it produces numerous employment opportunities.
How much does IPL contribute to Indian economy?
The brand value of the IPL in 2019 was $6.7 billion, as per the Duff & Phelps report. According to BCCI, the 2015 IPL season contributed âš11.5 billion (US$160 million) to the GDP of the Indian economy.
How much is IPL worth?
The brand value of the IPL, as per the reports dated February 2022, is $4.7 billion, which witnessed a 7% increase lately.
When is the IPL 2022 starting?
IPL 2022 is starting from March 26, 2022, as per the reports.
When will IPL 2022 end?
IPL 2022 will be ending on May 29, 2022, as per the reports.
The article is contributed by Minal Sonawane – Software Test Solution Architect, AFour Technologies.
As businesses build back after the disruptions of the pandemic, there is considerable interest in transforming work structures to be more robust and more dynamic than they were before. Precisely, businesses are endeavoring to build more equitable workplaces for women, who have historically been excluded from advancing as much as their male peers. As AI enters and alters business processes in myriad ways, upskilling will emerge as a crucial tool in addressing gender inequality in the tech space. Here, we briefly examine how this can come about.
Gender Disparity in Tech
Research consistently shows that diverse teams perform better, have higher satisfaction rates, and stay on longer. And yet, industries like manufacturing or IT remain heavily male-dominated. According to a joint study by LinkedIn and the World Economic Forum, women make up only 25% of the STEM (Science, Technology, Engineering, and Math) workforce. Moreover, only 22% of artificial intelligence (AI) professionals and 12% of machine-learning (ML) experts are women. Even if they have the same qualifications, men frequently reach executive positions faster than women in the workplace. Many companies also hesitate to help women earn senior tech positions because of preconceived notions about their skills or assumptions about marriage and family coming first for women.
These issues were exacerbated when Covid-19 struck, and everyone was forced to stay at home. As primary caregivers, the duty of looking after children during the lockdown fell mainly on women, many of whom had to deal with burnout owing to the difficulty of balancing work commitments with family obligations. In particular, a 2021 Women@Work study by Deloitte revealed that 83% of women in tech had an increase in workload along with household duties, while only 38% felt that their organization had given them adequate support. Overall, a recent Citigroup study concluded that about 44 million people would lose their jobs due to the pandemic, of which 31 million would be women – a highly concerning disparity.
With the advent of AI into everyday business tasks, the respective roles of humans and machines are undergoing significant shifts. Routine tasks are being delegated to software, while advanced skills like machine learning and deep learning are highly demanded. Partly because of the educational gaps between the genders (traditionally, boys are encouraged to take up science while girls are pushed towards the arts and domestic studies) and partly because of male-centric preferences at work, it is women who mostly hold the administrative, clerical and routine job positions that are now being routed to AI. Moreover, there are no clear pathways to help women transition from these routine jobs and towards more complex and lucrative ones related to tech and its applications. As a result, they either end up quitting the workforce or staying on in low-paying jobs that do not let them reach their potential.
Upskilling as an Equalizer
Online learning has expanded considerably since the pandemic, which means that accessing high-quality educational content and insight from experts is easier than ever. Upskilling through online courses allows employees to stay up-to-date on rapidly evolving tech trends and pick up valuable new skills from scratch. For women employees, upskilling safeguards them against redundancy and helps them become more valuable assets in terms of the ideas and creative approaches they can bring to the table. In particular, online learning allows them to pick up skills at their own pace and at affordable rates, which is a boon for women juggling household duties and/or those in less lucrative jobs. This way, they can aim for positions that men have traditionally occupied and come into their own as creative contributors.
Upskilling, indeed, makes employees of all genders more effective and for an emerging and nuanced field like AI, one needs as many talented team members as possible. It is thus in the companyâs interest to offer AI-related upskilling opportunities, from online learning pathways to live projects to shadowing opportunities with senior experts. In particular, leaders should invest in training programmes for women in tech with special technical courses and mentorship from senior women leaders. There should also be exceptional support for women compelled to take time off during the pandemic so that dedicated workers can feel like they are valued regardless of their setbacks.
It is still early days in the âAI-ficationâ of industries, and effective intervention on a companyâs part can go a long way toward reversing gender disparity trends. Comprehensive upskilling opportunities and career transition pathways can help women pick up the skills they may have been traditionally denied and contribute side-by-side with male peers. Companies have already seen the efficacy of flexible work models and should invest in similarly inflexible growth models that help employees – especially women – move upwards into tech roles where talent and interest count for more than background or work history. Thoughtful efforts in this regard will help redress gender disparity and exclusion at work, not just post-pandemic but for all time.
The article is contributed by Mr. Dhiresh, (Co-Founder & C.E.O.), Neem Tree Agro Solutions.
The fresh wave of Startups and young Entrepreneurs has started in India, which has resulted in the average age of Entrepreneurs in India to keep reducing by every passing day. Youngsters have stepped up for these initiatives with sheer will and confidence. Therefore, the enthusiasm may be high but industry experience is nearly non-existent. This makes managing legal compliance a strenuous task to carry out.
Startup word is usually more related to freshly churned out ideas and innovative discoveries and less towards legal bindings, security and proper documentation. Due to lack of resources or maybe just deficiency of proper knowledge, they tend to skip the legal compliance issues. Ideal model should be framed in such a way that it compliments the entire process keeping the legal compliance as the premise, because the lack of it confines you and causes scaling issues, which isn’t good for any startup that is looking to grow and expand exponentially.
On the other hand, even after learning about proper legal compliance techniques it is tough to maintain regulatory compliance such as reporting the GST and seed licensing returns, which prove to be too expensive for a startup. Furthermore, as India is a Union of States, compliance varies from state to state, particularly in the agriculture industry, which is a subject of state government rather than the Union government.
One of the first things that comes to mind is that you need to get yourself a lawyer in case something goes south, one needs to consider the monetary license which one has access to. Due to likely issues with money it is sensible to look at certain online facilities available which helps startups get through initial blues, they can be vague and generic but might help you in gaining some knowledge alongside with a different perspective.
Certain skills, such as verifying the term sheet, are perfected over time. Legal compliances also play a huge role during the fundraising process. So, the first and most important step is to keep your documentation and paperwork in order if you are looking for funding. You should follow all legal rules and regulations set forth by the government and stay up to date with them.
Lack of human resources is a very pertinent problem among all the newly emerged startups, due to which they often lack in getting things updated, but you need to keep in mind that you should cover all the moral, ethical and legal grounds. Knowing your obligations as an employer, such as adhering with all necessary labor laws, is a crucial part of beginning a business. This involves obeying salary payment, provident fund, and gratuity rules, as well as workplace sexual harassment, maternity benefits, and other policies. If your company is registered with the Startup India programme, you can sign a self-declaration and be exempted from inspection for the first year from the date of incorporation or partnership registration for some laws.
Internal legal agreement is also an essential part of the legal compliances. It is an arrangement if there are more than one founder, and if somebody decides to leave or join, they should do it in a complete legal manner which is in full agreement of the other founders. Another agreement that plays an important role is the Intellectual property agreement. This agreement should include confidentiality responsibilities for the company’s information, as well as a current assignment to the company of any intellectual property that the person has developed or may develop in the future (while working with the company).
The lack of proper licensing can also lead to difficulty in running your Startup. As stated earlier, each state may have its own set of licenses and even different industries adhere to different rules set by the state governments or government declared regulatory committees, such as, Import-Export laws, FDI Policy, SEBI/RBI regulations, etc.
Approval of financial accounts, declaration of dividends, appointment of auditors, and other special business agendas are on the AGM’s regular business agenda. The AGM must be held in the jurisdiction of the company’s registered office. The first annual general meeting (AGM) must be convened within nine months of the end of the first financial year. In the event of a subsequent AGM, it must be convened within six months of the financial year’s end. Every year, there shall be one AGM, with a maximum gap of 15 months between two AGMs.
Ignoring these difficulties can impede your fundraising efforts, and certain litigations may be brought against your company. When someone invests in your vision, he will look to see how solid your legal foundation is. Your balance sheets must be kept up to date, and your transactions must be clean and traceable. Since resources are limited, it is not an easy task but if you work on it properly, the rest of the process will go smoothly.
Startup India has taken several noteworthy steps to make the startup process easier. Under the several schemes introduced by the government, it can be seen that they want the number of startups to go up and want the youth to come up with exciting ideas. This shift that is being carried out will result in increased employment, better economy, people becoming independent and many other positive effects. On the other hand, the government needs to work more to reduce the legalities that exclusively apply to startups. This will be a big relief for new startups, as well as a motivator for others.
The article is contributed by Mangesh Panditrao – CEO and Co-Founder, Shoptimize.
Propelled by the incumbent pandemic, online shopping has gained immense traction over 2020 and 2021, and the positive ripple effect is still being seen in the e-commerce industry. Throughout this period, e-commerce and omnichannel businesses innovatively leveraged the digital avenue to manage their offline stores and sustain themselves in the pandemic-battered business environment. However, with the rising competition, the next phase of success for e-commerce companies will be led by a deep understanding of the target market and meaningful connections with the customer. This is where data comes into effect.
Significance and Benefits of Data in E-commerce
Data Assist Brands Stay Updated With Crucial Business Insights
The overarching goal of every business is to increase its revenue. To accomplish that, the brand must make the right decisions at the right time, which can be done efficiently by analyzing data. Insights driven from consumer-centric data can help brands understand how the company is being perceived by customers, how the brand is performing in different markets, and the improvements required to maximize profits. This allows businesses to serve consumers, grow revenue, and improve operations.
Enables Brands to Provide Personalized User Experiences
Understanding how customers interact with your company is critical to determining what appeals to them. As a result, e-commerce companies might leverage data analytics to better understand their customersâ needs and improve their end-to-end purchasing experience through personalization. For instance, various platforms use data to understand customer demographics and tailor their marketing messages to suit different cohorts of consumers.
Helps in Making Data-Driven Decision
Customersâ needs are constantly changing, and with many brands available, they have more options than ever before. And to keep up with the ever-evolving needs of the consumersâ D2C brands will need to focus on improving their capabilities. Hence, data-driven decision-making is necessary for success. Brands may track their customersâ preferences through data and analytics based on factors such as location, demographics, and online behaviour. An evidence-based data enables brands to make informed decisions and thoughtfully prepare to achieve their objectives.
How Brands Can Leverage Data to Increase E-commerce Sales
Converge Data From Various Platforms and Channels
Ever since doing business went digital, the amount of data it has been generating on the side continues to get bigger and bigger every day. Analyzing this data to make critical decisions becomes overwhelming for internal teams and marketing companies. It requires a highly specialized skill set and cutting-edge technology to gauge insights and aid quick, efficient decision-making. E-commerce analytics helps brands quickly and easily gather data in one place, break down data silos, and increase productivity, efficiency, and business agility.
Join the Dots Between Your Customers and the Numbers
Simply collecting data and not being able to use it results in wastage of money and time. After the data is collected, data analytics gives a detailed view of the big picture; it also looks at relationships and patterns among several of its components before delivering business insights. Hence, one way of achieving this is through unified data analytics. Unified data analytics is basically a process that merges data processing with cutting-edge artificial intelligence to deliver business insights and outcomes.
Know When to Take Action
Seasonality and trends can play a significant part in your efforts to provide your consumers with the most seamless experiences possible. As a result, itâs essential to consider and maintain a close check on trends to take timely action. Understanding seasonal patterns & trends might assist you in determining how things will pan out throughout the year. As a result, youâll be able to focus on the right products that are available at the right time so that customersâ expectations are met.
Reading Data to Understand Websites Shopping Behavior Flow
To understand the websiteâs shopping behaviour flow, you can monitor how a customer lands on your site, browses through products, adds them to the cart, and checks out. Sifting through this data will help you understand your websiteâs purchasing behaviour flow and reveal where customers are more engaged and which paths lead to conversions. Furthermore, it will draw attention to what isnât working. This will allow you to read your visitorsâ minds by observing their behaviour and better cater to them.
Use Data to Track Your Product Performance
Itâs critical to look at detailed product data for both marketing and sales tracking. It helps in understanding the price band for different consumer segments. How are individual products performing & figuring out the bestsellers and the low-performing products. This allows businesses to devise the marketing campaigns accordingly. Furthermore, keeping track of returns and refunds helps improve the productâs quality. This approach can help an e-commerce business improve its services and quality, increase revenue, and improve operations.
Conclusion
Data is critical for businesses to thrive in this digital age. So, itâs high time that companies start making data-driven decisions to succeed at online selling. Integrating e-commerce analytics across the customer lifecycle is essential for creating a competitive customer experience. These findings will help brands improve the discovery, acquisition, conversion, retention, and advocacy process.
As the the month of February starts, the gifting items and valentine’s day products create a surge in stocks. The management and processing of orders, inventories, and selling gift items during Valentines becomes an art. Increasing sales and earning more profit can be made easier by proper inventory management.
Lets get insights of some of the startups selling Valentine’s Day products and how they manage inventory to increase their sales and boost their business growth.
Whitecub
When we started WhiteCub over eight years ago, it used to be only Valentine’s Day at our place. Fast forward to a few years, it evolved into a full Valentine’s Week, and now our brand typically celebrates the entire month of February as Valentine’s month. That is why this year, we have specially curated Valentine’s Gift Box of hazelnut cashew & chocolate spread, fresh strawberries; this is because of a specific reason. Our Target Customer base is health-conscious people who do not want to compromise on their health even during celebrations, so we have crafted a perfect match of our healthy yet equally yummy Hazelnut-Cashew & Chocolate Spread (which has no preservatives, added oil, and is sweetened with unrefined sugar) and Fresh Strawberries. We have intentionally not opted for the stuff overloaded with sugars or Harmful Chemicals because we firmly believe that our customers express love for each other and their loved ones. Their health should also remain our top priority.
Our second line of Valentine’s Day focuses on gifts straight from our Ice Cream line. We have a full range of chocolate flavours (Sinful Chocolate, Belgian Chocolate, Chocolate Factory, Choco Heaven, Forest Bathing etc.) and, of course, our very popular Strawberry Crush ice cream. We have our dedicated customer base for our products all the year along. The main segment of our gifting options comes from our regular product lines, Valentineâs Day is no exception. In spite of our extremely hectic working hours during festivals including Valentineâs Day, oOur inventory gets managed very well, mainly because of three factors.
Our main proportion of our gifting segment comes from our already existing product lines.
We include 3rd party delivery options like WeFast, DTDC etc especially during this time period.
We also undertake customized order productions
The Baker’s Dozen
We look at the sales of the last one month for all the products that we are looking to promote on Valentineâs and then project the demand based on that data, keeping a certain % of buffer of course. Managing orders is based on our standard operating procedures, and is a by-product of the forecasted demand. Therefore the crucial part of all of this is the âdemand forecasting.
Valentine’s Day is a special moment for us. Every time a customer picks a Zouk product to gift to their partner, it means a lot. They chose us over so many options for this special moment. While our bags are chosen as gifts and we do see a spike in sales, this year we are focussing on Self Love too.
Oftentimes, we take so much effort and stress in finding the right gift for our partner that we forget to get something special for ourselves. So, at Zouk, we are nudging consumers to pick our cruelty-free, handcrafted product, just for themselves. So far, we are seeing good support and hope to continue saying this throughout the year.
We are not a gifting startup and we don’t hold inventory. So it’s not really been a problem but however, during high peak seasons, we do manage like a lot of these. For example, during Diwali, if we manage, we don’t manage inventory, but we work with the brands that he’s working with, and manage logistics extremely tightly, like basically speak to all our stakeholders including logistics partners and brands and sort of manager experience really tightly. We’re very cognizant of when collections go up on the website, go away from the outset so that no customer is left disappointed that their order doesn’t reach them on time. We give our all to make sure things reach everyone on time.
The launch of the deodorant brand Fogg in 2010 has taken the market by storm with its USP being âNo gas, only Sprayâ. Fogg is a subsidiary of the Vini Group of Companies. It was the brainchild of Darshan Patel, the founder of Vini Cosmetics.
The deodorant industry has over 500 brands in India itself. Any brand that has to come into the industry in such a scenario should have multiple qualities that will sell in the market. On top of that, the products should thus be designed based on the needs of the consumers.
Through Foggâs unique marketing strategy and consistent commitment, today the company holds more than 12% of the market share. Breaking the market stereotypes with a particular product type, they lead the category consistently even 20 years since then. This article will look at the marketing strategy of Fogg that played a significant role in catapulting the companyâs brand value to its zenith.
Considering the extent of competition and available options, it is all the more important to have their own unique signature when it comes to pitching in a new company. The master brains behind Fogg has done the meticulous market research to identify untapped market niches which have helped the company gain market share and category dominance.
As mentioned earlier, Foggâs signature was its non-gaseous sprays that were groundbreaking as far as the Deo industry was concerned. The best part about its pitching is that they were able to identify one of the most inconspicuous and yet significant drawbacks in the industry that was existent since the rise of the category and was left unattended for a long while.
By working on such a gap, Fogg was not only able to explore untouched areas but also show the audience why they are different in a loud manner. They were able to carve a niche market out for themselves like no other brands in the industry could ever do before.
Providing a Unique Value Proposition
One of the best and the most traditional form of marketing is through word of mouth. It is the most authentic form of marketing that cannot be simulated. It can only be achieved by giving the best product to the users.
Fogg has never held themselves back in that regard as well. There was a general opinion that the deodorants by Fogg lasted longer than the rest of the deodorants in the same price range.
Moreover, the users could actually feel that the company was providing them with what they promised. Fogg guaranteed eight hundred sprays per bottle. They also assured that every deodorant has undergone dermatologically tested. Thus, by providing a holistic experience of a novel deodorant to the people, they were able to create a brand value in the most authentic form.
Efficient Campaigning
Familiarising the customers about the brand is the first thing that Fogg did through its marketing campaigns. They had launched products for young men and women along with a few products for the older generation as well. Since the target audience was the middle class, it was important to advertise through electronic and print media extensively.
Fogg, in fact, has done their campaigning so well that their advertisements in all mediums became a talk of the town when it was launched. Apart from television and newspapers, they also advertised on all social media platforms like Twitter, Facebook etc.
They had also advertised extensively on their websites as well. Their tagline âKya Chai Raha Haiâ became a big trend during its launch. They also had other popular taglines like âBina gas wala body sprayâ, âPhir Khatamâ, âDoesnât Get Blown Awayâ and so on.
Fog also set a standard by releasing specific products for both men and women at the same time. Additionally, they also launched combo packs as well.
Their ads successfully showed how the deodorants by their rival brands are in fact wasteful when compared to their own product.
The stereotypical trend of sexist advertisements that deodorants generally go after were broken by Fogg. Their advertisements were different by exploring unique themes and narratives.
One of the most important aspects when it comes to marketing the product is also its accessibility to the target audience for that and efficient distribution channel is inevitable. Fogg deodorant adopted a marketing strategy that would directly penetrate into the Indian mindset as well as the market.
The efficient distribution channel of its parent company has significantly helped Fogg in developing a very strong network and real presence in the markets across the country.
Today Fogg products are readily available at grocery stores, corner shops supermarkets to malls. It is also available via E-commerce and online stores. By maintaining a constant presence in the vicinity of the consumers they were able to ensure market dominance and consumer liking.
Calculated Pricing
The unique penetration pricing policy adopted by Fogg deodorant has helped in aligning its vision along with the practicality of its consumption. As mentioned earlier, the company targeted middle-class men and women and hence kept their product prices at a reasonable and affordable rate. It has helped them capture more markets. They also offer value for money to the consumers.
By carefully assimilating to the market situation Fogg have been able to maintain its top position in the market. On close observation, it can be understood that the price of fog deodorant was always at par with the prices of its rival brand.
Through carefully crafted strategies and the identification of an untapped niche, Fogg has been able to develop its own brand value in the industry. There is no wonder that Fogg had taken the deodorant industry by storm within 2 years of its launch.
Their advertisements that have been unique and consistent over the years is in itself the biggest testament to the fact that marketing the product in the right manner is the most significant and game-changing element of any business model. The case of Fogg cosmetics can be taken up as an encouraging example of what new ideas can do.
FAQs
What is the USP of Fogg perfume?
The USP of Fogg is its deodorants last much longer than its competitors.
Who manufactures Fogg Deo?
Vini Cosmetics Pvt. Ltd manufactures Fogg deodorant in India.
Why is Fogg so successful?
One of the reasons behind Fogg’s success is its unique marketing strategy and its deodorants last much longer than other brands.
We observe numerous content creators who are well-known on many platforms in the coming age from Instagram to YouTube. As we can see, visuals play a crucial role in captivating readers’ attention, from adding graphics to the content to having an appropriate logo, wording, precise message, and creative representation.
Isn’t it true that a good video content producer is required for all of this to be perfect? However, one could wonder whether a content producer could make funds by endorsing brands or by releasing unique content. Meanwhile, how much does a video artist make? Despite creating a video, what is their earning? How do they earn money out of it? You will learn about the revenue opportunities for video content creators in this article.
Advertising is one of the most effective ways to increase revenue for your video. You’ve probably seen short adverts while viewing a video on YouTube, where you have the choice to ‘skip ad’ in some circumstances but are required to watch it all the way through in others.
The video maker is compensated for including or adding short segments to eligible videos and gets paid for it. Moreover, you shouldnât get revenue from those ads if it contains sexual content, inappropriate language, violence, or any controversial matters.
Subscription
Even large OTT platforms earn millions of dollars each month or annually from their subscribers, as is the case. Many video creators, similar to Youtubers, ask viewers to subscribe to their channel in the same way. As a result, video creator content generates a large number of subscribers as well as revenue.
Brand Sponsorship
Having your video sponsored would undoubtedly influence a large number of viewers while also increasing the worth or quality of your video material. To do so, you’ll need to create video content that sounds interesting and builds loyalty and reputation among your target audiences. As a result, credible companies will be prepared to pay for your video content to market their products and services.
Affiliate Programs
As you may have noticed, many creators include affiliate codes in their content to sell or promote specific brand products. Video makers can also join affiliate networks and advertise a company’s goods for as little as seven seconds in their videos. For instance; you’ve probably seen some video creators promote a brand in the middle of their video and request viewers to check out a certain URL or code. In this case, video artists act as a middleman in exchange for traffic on merchant websites as a recommendation and receive a good sum of money.
Fan funding
As a reward for their support, many well-known video creators receive huge sums of money in the form of donations or fan funding. Video content developers, on the other hand, monetize through channel memberships. Fans and followers pay a fee in exchange for additional content.
Licensing
Licensing your ebook, blog post, movie, music track, artwork, or photograph to other companies for a charge is one of the simplest ways to generate revenue. You can make a decent living from your creations if the material is distinctive and adds significant value to the firm.
A publisher can earn $13,000 per month for five books, a blogger $375 for each piece, and a cameraman $26,250 for ten films at the upper end of the range. The typical commission ranges from 30 percent to 70 percent of the wholesale.
PewDiePie, Dude Perfect, and Logan Paul, for example, are among the most well-known content creators who sell their merch. This is for a very important reason. According to new data, YouTuber merch can generate 10 times the amount of gross revenue as advertisements.
You might be asking how to make YouTube or other content merch at this stage. Starting with print on demand is your best bet. This eliminates the need to purchase and store a huge inventory, as well as drive to the post office. Simply upload your designs to a print-on-demand service. They’ll take care of your merch printing and delivery so you can concentrate on developing new products and content.
Consultant
Working as a consultant, coach, or mentor could provide a more secure income than creating courses. Michelle Schroeder, for instance, went from being a freelance writer to advising business owners on content strategy. She has paid off $40,000 in debt and is now able to travel full time. Freelance consultants often charge between $30 and $250 per hour, making this a great way to augment your income when times are tough.
Courses
The coronavirus outbreak has resulted in a large number of people purchasing online courses and signing up for learning websites. Between March and July 2020, Coursera, for example, attracted 35 million students.
Smaller players might take advantage of emerging social norms by capitalizing on the growing demand for online learning. Your earning potential is determined by the price of your course, the size of your audience, and your conversion rate. The typical course costs $187.59, with a conversion rate of 2% to 5% at the mid-level.
Conclusion
You can make a lot of money by creating video content, and if you’re stuck on ideas, just remember the things above. Another important aspect of making money with content creation is to look for effective ways to monetize your videos. It’s also because the more original and high-quality videos you publish, the more people will watch and download them. Also, keep in mind that content is king, so pay attention to the quality of your film and its content.
FAQs
How do video creators make money?
Content creators make money through advertisements, affiliates, brand sponsorships, and by selling merchandise.
How much does a content creator earn?
Beginner Content creators in India earn on average 20k INR to Rs 50k INR. Top tier content creators do tend to earn between 1 lakh to 10 lakh but it all depends on the brand sponsorships.
Is it worth it to become a content creator?
Yes, Content creators are gaining huge popularity in 2022 and this is the right time to enter this industry.
All over the world, the clothing industry is worth thousands of billions of dollars. You go to your nearest market and you will find that clothes are the items that are evergreen in nature. Always present and omnipresent. Every business-minded person when thinking of a business idea, his/her first choice is to choose clothes. This is true most of the time. There are huge players and then there are normal players in the clothing segment. However, The demand is such that every brand has enough to fill its pockets.
China is the most populous country in the world. Everything that The world needs, is needed more in china. It is safe to say that China is a value magnifier or a demand manufacturer. One of the clothing brands in China is called Shein. It is a famous brand and is founded by a very amazing personality. The founder of Shein is Chris Xu. This article talks about the company Shein and the founder who is often regarded as the torchbearer for this mysterious clothing brand. Let us have a closer look.
There is a reason why we began talking about the founder before we start talking about what he has actually found. Chris Xu is the founder of Shein, he is a popular entrepreneur in the world and specifically in China. He is the torchbearer for the brand from the initial stages. He built the brand so mysteriously that he is respected for the vision and works that he had pulled off.
He has achieved so much significance in the fashion industry that he becomes no less than a pioneer in this industry. Chris has been an entrepreneur who has been able to start from zero and scratch and then make a name for himself. Interestingly, the person behind Shein is an mysterious man. He has a name and the work that he has done, that speaks for itself and nothing else.
By the term, nothing else, we mean that the man does not even have a Wikipedia page. This is super mysterious and intriguing at the same time. He is super hideous on the internet. As the world becomes smaller and smaller with each passing day with uprising technology, he remains in his mystery palace. According to us, all this blackout about his information and interviews have been intentional.
All the information that is related to Chris is hidden intentionally all over the internet. The reason behind this agenda can be the security and integrity of the person’s name in public. However, there can be multiple more reasons for doing that.
Let us have a glance at his career. This is by the way rare information. Chris Xu was born in 1984 in the city of Shandong. He graduated from the University of Qingdao in the field of science and technology. He graduated in 2007. Soon after graduation, he moved to Nanjing to work in an integrated marketing consulting company.
Nanjing Aodao Information Technology Co, in 2008, where he specialised in SEO. This is also a fact about Chris Xs that he is an expert in SEO or search engine optimisation. While working in Nanjing integrated marketing consulting company he learnt everything possible about SEO. He did get a fair bit of exposure in the organisation of selling and commercial activities.
After learning the nuances of commercial selling of Chinese goods to the international world, he thought of an opportunity. He left the company following that vision or the opportunity. At the inception, he started building this dream with two other entrepreneurs who were now the co-founders. The idea was to ship cheap items online to every person. Basically an online retail store of the first kind.
In choosing the items to sell, Chris found out the huge demand that wedding dresses operate with. He discovered that these were one of the most highly sought products that were demanded by international markets. These dresses could become the first segment of products that the company will offer. However, there were some issues too in the first place.
Foreign customers were not buying these dresses and the reason was conversion rates. Customers were not able to convert money to buy their desired products. That was the issue that he thought to solve and started to shift all his focus in finding solutions to that. With the money earned from selling wedding dresses in the country, he began building SheInside, which is now famously known as Shein.
According to QQ news, once Xu realised that the only thing stopping international customers from buying products was currency conversion, he ‘vanished’ with his entire SEO team.
Let us now focus on the brand that this mysterious man has built for the world. The fast-fashion retailer âSheinâ is here with its journey that is full of controversies.
A Small Brief About Shein
âSheInside’ was the primary name of this organisation and gradually the name became Shein to the world. Even though the first sort of dresses that Chris picked were wedding dresses, they diversified into a lot more domains afterwards.
They diversified into summer wear like bikinis and swimwear which was designed for the summers. They were low price and that was a huge differentiating factor for customers. It became the first thought of girls when they thought of summer wear and as summers approached every year.
The journey was not easy though, there were many ups and downs in the way. They caused several controversies at the beginning pointing to the cheapness of the products. There were allegations of child labour, environmentalism and the quality of the clothes. There is a mystery of the process with which the company operates. Despite all the problems, the company has been able to maintain itself as a trustable brand with its audience.
Inception of Shein
The story of Shein begins when Chris Xu thought of starting out his own venture. Before starting out with Shein, Chris owned a successful wedding dress company and gave it up all, to begin with, a new venture. It was in the initial stages when the name âSheInsideâ was chosen.
It was later in 2015 when the name was changed to Shein as the efforts of branding grew and as the brand emerged as a favourite destination for clothing. The United States was the place where the company was widely successful and still is the place where most of the revenues come from.
The story really started when an American born graduate gave up his business of wedding clothes in search of building a sustainable clothing brand. They acquired the domain name called sheinside.com and primarily focussed on women’s clothing. In 2015 the name was changed and renamed to Shein. It now focussed on the overseas markets and began riding its way into the fashion industry. Which proved to be fruitful in the future.
Through all the ups and downs, it has managed to become a brand in the clothing world. The United States has always been a really good market for these guys. The United States still is Sheinâs biggest market. It ships to almost the whole world. It has revenue streams from 220 countries with websites built for Europe, the middle east, Australia and the United States has been ignited by a series of funding rounds. That was the series E funding for the company that happened in the pandemic year 2020. With this funding in hand, the company got a decent valuation that exceeds the 15 billion dollars mark.
Speaking of the nice valuation, it is also noted that the revenues are not made public. The revenues are in some excess of 10 billion dollars. Which is a really pretty number and proves satisfactory growth.
Taking in mind that this number estimate was coming in the pandemic year which was the most difficult for companies. Not many people were buying new clothes to go out. It was all lockdowns and virus precautions. These amazing numbers really attract Asian investors and international venture capitalists and private equity houses among its capital structure supporters.
The Core of Shein – Fashion Predictions
For most of the time, Shein is identified with clothes and as fashion retail, its core is just identification and predictions. It is often mentioned and said that Shein as a company is deeply obsessed with identifying hot fashion and trends. The company is often seen to predict the type of clothes, fabrics and style statements that will mostly go viral in the coming dates. It has even been reported that it has a faster fashion cycle than the Zara. It has a good social media activeness index and markets heavily on Instagram and manages to continue that trend across social media platforms. It tries to make an impression of a Weibo friendly image for attainable and accessible fashion clothing across all the social media.
As mentioned before, the brand has seen ups and downs in the same proportions of magnitude. The success of this brand does not come easy. It has had many incidents that have shaken the base of the company. For instance, the company was condemned to list a pendant that was shaped like a swastika. The problem and the error was later apologised profusely.
The products are all over social media and they have managed to create a brand image for themselves. Shein uses celebrities as well as fashion influencers to elevate the vision and create an image for the clothing line. Most of the operations are online and they do have offline stores too.
The branding from this company has elevated the low quality and low-cost reputation that was allegedly established in the beginning. They have managed things well even during the pandemic. They had an event hosted called SHEINTogether which was streamed globally in May 2020. Artists like Katy Perry, Rita Ora were roped in for the show.
They still manage the repute that they have built over the years. The cloth brand that started in China went from being homegrown to becoming a key player in the clothing segment in the world. Before 2014, Shein didnât even have its own supply chain. This is mysterious in all senses but it is also true that it is sheer hard work and consistency from the brandâs side. Let us catch a glimpse of the marvellous emergence in the world today. First, let us see the potholes in their way of work.
Controversies Faced by Shein
One of the biggest controversies that the clothing brand started was child labour and abuse. The claim comes after customers begin questioning the cheap products that the company was able to produce. There were allegations of child abuse and child labour to be involved in the matter. Even though, The website of Shein and in all the legal announcements of Shein, the company has maintained to announce that they are strictly against any sort of child labour.
One other concern which concerned consumers all over was carbon emissions. A report mentioned that they keep all their emissions in check and that the magnitudes are within limits. Fast fashion is a subject line that can have a lot of pain points. The fact that it is fact, also makes it full of residuals. These residuals are mostly harmful to nature. If a brand is able to manufacture quality with less price, they face allegations of child labour, which happened with the clothing brand Shein.
âShein is one of the only large retailers that orders 100 pieces or less for new products to help eliminate dead stock – which makes up 10% of the carbon emissions across the entire supply chain for the apparel industry. Shein is fully committed to upholding high labour standards across the entire supply chain and to improving the lives of workers in the global supply chain by supporting national and international efforts to end forced labour.â A companyâs spokesperson explained
The other thing which was pointed out by consumers and critics was that the brand is super secretive. Following the products which it goes by, Shein is a fast-fashion retailer, it maintains all the secrecy in the world. Even the information about the founder of the company is rarely found on the internet. Social media and websites are maintained properly but there are no guest and news appearances. This opaqueness by a brand raises many eyebrows.
Overall, Shein (previously She Inside) is a complete mystery. No phone number, no email and certainly no press contact was to be found online. Even the name of its founder remains a total enigma, as El Mundo reports. This seemingly opaque company relies mostly on digital marketing and bloggers to get you hooked on their products, rather than divulging anything about their supply chain transparently. – Euronews reported.
Emergence of Shein
It is amazing to notice that the brand didnât have its own supply chain up until 2014. They used to buy their clothes directly from Guangzhouâs Shisanhang Garment Market. It is a wholesale market in China that is famous for the clothing segment. Soon when the company began running operations, it was hit with strong demand. Watching the demand trend, they soon realised that they will have to become self-reliant in everything. From getting their own supply chain to managing shipment and everything else.
Realising this, preparations were made to go more independent. Chris created a team, or we should say assembled a design team. It was an in-house department that works within the specified locale. Within the first two years, the team expanded and there were now 800 people in the design team. This move was not only focused to improve designs but also to save time. The design team made the designs and prototyping efficient and thus rapid. This ensures that time is saved and it lies with the company’s goal of fast fashion. This has also generated a good demand for its new launches.
Adding to the above, the company has also initiated timely payments of the products that it offers to china. Getting payment in time was a rarity in China but Shein doesnât go with it. With this effect, Shein moved its operations and supply chain from Guangzhou to Panyu in 2015. Taking forward this effect, all the factories that operate under the brand have to relocate their factories for cost control measures.
The year of relocation of factories was also the year in which the brand entered the Middle East market. The sales were big even in the initial stages. The revenues for fiscal 2016, Shein earned 617 million dollars in revenue. In 2017 those revenues soared 1.5 billion dollars.
ââMarket share data from Earnest shows that Shein began 2021 with 13% of total Fast Fashion sales, trailing traditional leader H&M. Since January, Shein continued to gain share and now leads with 28% of the Fast Fashion market, with Zara the only other brand growing share during that period. – Earnest
The future plans for this venture are even more optimistic. They want to include mobile payments into their operations and they want to get more into the supply chain finance division. In the modern world today, they are also hoping to do more advertising to market products. Nonetheless, they are also looking forward to adding more brick and mortar business centres out there. As retail stores also add a lot of magnitude to the revenues. All this growth and emergence from nowhere is not magical, even though it is mysterious but it also acts as proof of work.
Clothing is one of the most favourite items in the world. People love to dress up and that is the basic thought that works behind the scenes of the fashion industry. Fast fashion is the new trend that companies try to capitalise on. They are trends that come and go. This might seem easy but it is a lot of work that goes into fast fashion. Zara is a fast-fashion retailer and Shein also comes on the list. A lot of companies are built from the fashion industry. In fact, Fashion is really a big strong word. Â
We discussed a lot about Shien and its emergence as one of the leaders in the market today. The brain behind the brand is Chris’s and he is as mysterious as a Hollywood movie spy. The zeal that the company shows is indefinitely inherited from Chris Xuâs vision in the mission. He is one of the most hard-working and well sought after entrepreneurs in the land of China.
With almost no fingerprints whatsoever on the internet. He has been a learner for most of his life and he definitely thinks with first principles. Let alone the business accomplishments, he has practical knowledge and a way of looking at things. It is not a fast skill to learn but is built over time.
FAQs
Who is Chris Xu?
Chris Xu is an SEO expert and the founder and CEO of mysterious fashion e-commerce website, Shein.
Who is the CEO of Shein?
Chris Xu is the founder and CEO of Shein.
How did Chris Xu start Shein?
Chris Xu used to sell wedding dresses, after looking at the popularity he thought of starting his own fashion retail company. He started SheInside with his team and later changed the name to Shein.
Alan Joseph
