Brand Mantra's a click away
Economic times, 29 June 2007
Online brand merchandising, virtual stores, retail, ctail (corporate sales), ptail (production tail), etail (online sales) and all the tailspin constitutes Hyderabad-based eYantra. The name comes from a fusion of energy and machine, e stands for energy and Yantra stands for machine, when you put energy into the machine it runs - that's the mantra of its founder Phani N Raj, an ex-consultant with PricewaterhouseCoopers, Chicago.
Was it easy to quit a cosy PwC job for a concept - online brand merchandising? He says: "It was a difficult choice but the entrepreneurial spirit in me was too strong. I took a well-balanced decision of coming to India and starting up with a completely new concept."
"There were difficulties at every stage of the business, but I believed in it so strongly and also knew that there is no big player in India in this field and had the opportunity to take the top spot in terms of brand recall, the effort has been worthwhile," he adds.
You make a virtual visit to the brand store, select the goods and order them online. That's all you need to do to get a branded cap or a jacket of your organisation. That's what eYantra facilitates for you. The idea of an online brand merchandise company came out of necessity, he says. Today most of the companies are geographically spread out and employee retention and brand awareness among the most diverse base is a very challenging task. eYantra was getting orders from across the facilities of a particular company.
It was a time consuming affair as each of the facilities wanted to see the sample and it took long time for its approval. "To cut that short we suggested an online model where all the samples will be pre-approved and we will maintain inventory so that they could be shipped immediately. This has been liked by many companies and that is the reason we already have 28 companies in short span of five months of launching this solution called Confix," says Phani.
eYantra provides an exclusive online brand store, e-commerce support with all major currencies, a dedicated relationship manager for all communications, free warehousing of their brand merchandise, free inventory management and free customer service. They don't charge the corporates for providing the online merchandising solution. The revenue model of eYantra is dependent on the transactions that occur on these online brand stores.The turnover of eYantra for FY 2007-08 is Rs 25 crore and the company projects a turnover of Rs 100 crore for FY08-09.
Team eYantra has a right mix of experience and energy, feels the MD. More than 60% of the management team are from the IIMs or leading B-schools abroad. Ranjith Boyanapalli heads the e-tail division, and has served stints at Infosys and CSC earlier. Manish Saini, who heads the operations, has extensive textile experience, and was a functional consultant with Infosys. Prasad Ajinkya, head-technology team has worked on both product & service oriented companies, including Tech Mahindra.
And what's the future of eYantra? They have recently launched Confix, the online brand store solution for corporates. It has already been confirmed with 25 of the top leading companies of India. It provides a one stop solution for all merchandising needs of a corporate and its employees. This solution helps them in funnelling all the requirements into eYantra. He adds: "We plan to set up 250 online brand stores within the next two years resulting in revenues of excess of Rs 250 crore. On the infrastructure front, we are building a state-of-the-art manufacturing unit in Apparel Park, Hyderabad with a capacity of more than 2,000 T-shirts per shift. We will be opening our first global office in China by end of this year."
The brand merchandising industry is completely unorganised and extremely fragmented, and eYantra has been a major player so far. But what about competitors? "Pantaloons has already started it and Reliance has conveyed their intentions of entering this segment. We, however, face competition from many local brands in their specific product lines, but globally we have lot of competition and there are big players out there," says Phani.
With the retail industry booming, the quality of the customer base is going to play a vital make-or-break factor. So how does he plan to captivate his high-quality customers? "Unlike other players for whom acquiring a quality customer base is the challenge, our business model ensures a captive consumer base of the best Indian companies. This gives us a strategic position to enter and exploit the online e-commerce market. In fact, all these online brand stores is niche retail and value addition in terms of cost advantage, will convert these stores into value stores," he concludes.
eYantra creates 18 online stores for corporates
The Hindu Business Line, 4 June 2007
eYantra Industries, a brand merchandising solutions provider, has announced it has created 18 Confix online brand stores for some of the leading corporate houses in India and plans to set up 100 of them by the current fiscal end.
The company has thus far partnered with TCS, Accenture, Tech Mahindra, Genpact, HCL Technologies among others which collectively employ about 7.2 lakh people.
These brand stores also offer services to employees of these companies located across the globe.
The Chief Executive Officer and Founder of eYantra, Mr Phani N. Raj, said that the company is targeting revenues of about Rs 25 crore from these online stores this fiscal of the total revenues of Rs 40 crore, which it expects to garner.
The rest would be through its other business.
Addressing a press conference here , Mr Raj said that the company had earlier this year raised about Rs 10 crore and plans to invest about Rs 20 crore in the new textile unit the company is setting up in Hyderabad for captive consumption.
Last fiscal, the company had registered revenues of Rs 18 crore.
The company has developed a technology solution Mertek, which helps create an online brand store in less than two minutes.
This provides access to employees of companies with whom eYantra partners.
This technology solution has been filed for patent.
The Head Business Development, eYantra Industries, Mr Ranjith Boyanpalli, said that such a large captive online user base of employees with high purchasing power provides the company the option to offer host of other products too, such as electronics goods and say even a high end Nokia mobile phone, at an attractive price.
BCCL buys stake in eyantra
Economic Times, 3 April 2007
MUMBAI: Bennett, Coleman & Company (BCCL) has acquired a stake in Hyderabad-based eYantra Industries, a corporate brand merchandising company with single largest source of all merchandising products, one-stop-shop for ideation, designing and execution.
eYantra has entered into long term exclusive merchandising contracts with several industry majors like Tech Mahindra, TCS, Accenture, Sasken, HCL, Genpact and ING Vysya Life Insurance Company.
More than 15 corporates have partnered with eYantra for their online brand stores within three months of launch, and eYantra is expecting to host 100 online brand stores by end of this year.
eYantra has catered to more than 1,000 corporates across the globe, and offers a range of 5,000 products across 150 categories. Headquartered in Hyderabad, eYantra has a pan India presence with various offices in Mumbai, Delhi, Chennai and Bangalore.
Started in 2001 by ex-PwC consultants, eYantra has grown at a compounded annual growth rate (CAGR) of 73%, eYantra has now forayed into internet- and intranet-based customised online brand stores. Named 'eTail', this new SBU will synchronise and energise its online brand store vertical across the globe.
Technology being the core differentiator, eYantra has invested and developed in-house proprietary technologies which enable it to deliver a significant value advantage to its clients both in terms of cost and service experience.
"The concept of corporate merchandising has undergone a paradigm shift and is now considered as a high potential brand awareness vehicle. The need for employee accessibility, international reach and innovative merchandise are some of the necessities of the corporates to reach out to all their stakeholders.
eYantra expects to play a pivotal role in the offline and online retailing business in the country," said Phani Raj, MD, eYantra Industries.
eYantra launches 'eTail'
The Hindu, 30 March 2007
BANGALORE : eYantra, a brand merchandising company with facilities here, has forayed into Internet and intranet-based customised online brand stores. Under the name 'eTail,' this line will synchronise and energise their online store vertical, a company release says.
eYantra forays into corporate garments
The Hindu Business Line, 16 September 2004
EYANTRA Industries Ltd, a diversified group focusing on promotional marketing and corporate gifting solutions, has undertaken a backward integration project that involves the establishment of two facilities to churn out 1.8 million pieces of garments.
The company is now embarking on the launch of its garments and plans to roll out the Structur brand shortly.
Speaking to Business Line, Mr Phani N. Raj, Director of Operations, said: "From a diversified corporate gifting services provider, we have laid special thrust on garments, which has become a key aspect of corporate gifting culture in the country."
He added: "From being a purely marketing company outsourcing our requirements, we have embarked on the process to backward integrate our work by establishing two units - one each in Hyderabad and Tirupur - to manufacture high end two-ply mercerised garments."
The company has set up two exclusive garment units in the country for its requirements to support over 500 corporate clients.
"From these units we are now able to control the product line and are looking at the launch of the Structur brand shortly."
The brand is positioned strategically for niche buyers. "Apart from catering to the long list of corporate clients in the country, we would gradually foray into the retail segment."
Explaining the two-ply double mercerised advantage in which the existing brands do make garments but do not target corporate gifts, Mr Raj said: "With the growing number of MNCs, T-shirt as a garment has become a popular lifestyle statement communicating a corporate message and helping adding value to the brand. With Structur, you can sport a T-shirt that speaks a lot about the way you are."
Living to tell the tale
The Hindu Business Line, 07 February 2002
Here's a dotcom which claims not to be affected by the recession as one industrial sector or the other does well at any given time. And corporate gifting is a cycle that goes on throughout the year.
PRATIMA.com is a Hyderabad-based firm with a difference. It has not only bucked the slowdown but has also defied the dotcom crash and is now making rapid strides in corporate circles by foraying into branded corporate gift solutions.
The company, promoted by eYantra Ltd, part of the TGV group, has carved a niche for itself by offering corporate gifting solutions. Backed by an online-offline business strategy, it is eyeing the swiftly expanding market for corporate gifts.
Having enlisted some of the big corporate houses in the country, the company has decided to extend its repertoire of solutions through branded offerings, according to Phani Raj, Chief Portal Officer of Pratima.com. He could well be amongst the select few in the country who is proud to be called the Chief Portal Officer when dotcoms are in the doghouse.
So how does this branded solutions approach work?
For instance, one month before the launch of the Indian School of Business, Pratima.com was called to contribute their ideas on how to make the launch event a success. After a brainstorming session with the ISB, the company's proposal was submitted. It involved the use of this event to flag off a series of promotional merchandise with the ISB logo and name emblazoned on all the material that was distributed to students and other invitees on that day.
As a corporate gift solution provider, Pratima suggested products including leather bags (with the ISB logo stitched on), high quality T-shirts (with the logo printed in house colours), cloth caps, customised pens, black umbrellas, micro fibre jackets, leather certificate holders and even key chains, all with ISB logo.
When AirTel, one of the country's mobile phone brands, came to Andhra Pradesh, it sought the services of Pratima.com. It suggested, produced and supplied innovative products for their promotional schemes. After an intense survey, duffel bags, coloured umbrellas, T-shirts, pens, hydraulic calendars, stepney covers, paper caps, cloth caps and leather bags. Right from sourcing to supplying, Pratima was on hand.
For Biological Evans, a pharma company based in Hyderabad, it designed a range of promotional merchandise and corporate gifts. As the company is constantly in touch with people, Pratima.com supplied a range of products, both decorative and functional.
If one has a de-risked model to take one's business places, then nothing like it. What does this mean to a dotcom? Raj, a former consultant with PricewaterhouseCoopers, says, "We address solutions covering corporates in all sectors - IT, cement, manufacturing and so on. Even if one sector is down, the business cycle is such that the other sector is doing well. So we are insulated against such upward and downward swings."
He adds, "Particularly when the IT sector has taken a severe beating due to the slowdown, we were in fact in the picture because we were in a position to offer not only customisation but also facilitate them by cost-effectiveness, when larger volumes were to be handled."
He claims that the beauty about the business of corporate gifting is that the cycle goes on and on, 365 days a year. "If it is New Year on one hand, it is the financial year end on the other hand, festive season or a major conference or convention, where a corporate wants to leave a stamp of class."
He claims that the recession has not affected them at all. "We are so diversified that one sector does well while the other is down. When the chips were down for the IT sector, pharma and cement sectors were doing well. There is no escaping from the reality that quality holds the key to survival when we are building long-term relationships," he says
Corporate solutions, feels Raj, has a different role in building the brand image of a corporate house. "The issue is being able to do promotional merchandise which bears the company's insignia. This means being able to empathise and design solutions from the supplier end and then on to the company which then becomes branded solutions. This is based on developing a particular theme into products. Thus we help corporate houses by providing necessary consultancy," he says.
Gifting and promotional efforts have no season, feels Raj. "It varies from firm to firm and depends on when they decide to do so. Since it is aimed at building relationships, a lot of thought and effort is put into concept and design of solutions."
Dr. Reddy's Labs, Biological Evans, Aurobindo Pharma, Intervet, Gland Pharma, Hetero Drugs, Shantha Biotech and Bharat Biotech, among the pharma and drug companies, Microsoft, Infosys, Vanenberg, Oracle and Satyam among IT firms are among Pratima's clients. In the education sector, it is associated with the Indian School of Business. Apart from the above clients, Pratima also caters to cellular service providers such as Tata Cellular and Bharti's AirTel and IT education firms such as Aptech and NIIT.
Raj claims they have a range of about 4,000 to 5,000 product categories which cover the entire gamut of gifting options, ranging from stationery and fashion clothing to T-shirts and electronic items. "But if a company wants something beyond this range, we are not averse to supplying them. We don't have to manage inventory, it is delivered directly to the users," he says.
Pratima bucks dotcom trend
HYDERABAD, 27 April 2001
AMID dotcom ruins, the eYantra-promoted Pratima.com has a different story to tell. It has emerged as a successful one-stop click-and-mortar, a la carte super shop for the corporate world's customised gift solutions.
Intelligroup, Aurobindo Pharma, Satyam Computer, Biological E, Zuari, Coca Cola, and a host of other companies -- close to 300 -- are all on its outsourcing list for their corporate gifts and presents.
The Chief Portal Officer of eYantra.com Ltd, Mr Phani N. Raj, told Business Line that the going was tough during the first full year of operations, but the company had begun to show right signs of growth.
''We have enlisted about 292 corporate clients to our service lists and the number is growing by the day.''
eYantra.com is a predominantly NRI-driven venture, with a sizeable portion of the Rs 1-crore seed funding coming from angel investors in the US.
The company notched up a turnover of Rs 1.18 crore in its very first year of operations ending March 31, 2001.
The Mumbai-based venture capital company, Liquid Equity, which undertook a due diligence work assessment of eYantra, has expressed willingness to pick up a stake.
''Talks are in an advanced stage and the mode of equity stake would be decided soon,'' Mr Phani Raj said.
The 2002 fiscal began on an exciting note with a revenue of Rs 70 lakh in the very first month.
Buoyed by the growth trends, the company is planning to expand base and launch its portal and services in the US market.
In the domestic market, eYantra is also locating its business centres in other parts of the country, particularly the western and the southern regions, he said.
''Focusing on the untapped business to business segment, we are operating in a very specialised segment to cater to the needs of corporates. We custom-source products for their diverse requirements.
''Blending clicks with offline support, we have managed to expand our list of clients. They in turn become our brand ambassadors.''
The company has tied up with two major courier companies, Blue Dart and GATI, to handle its logistics.
It sources gift items from as diverse geographical locations as China and Europe overseas and from different parts within the country.
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