If it’s not on Jabong, it’s not in fashion. Be it Alia Bhatt curating an exclusive line for the lifestyle and fashion e-commerce portal or making Kangana Ranaut walk the ramp, the Gurgaon-headquartered company is doing it in style. And why shouldn’t it? Its gross merchandise value in 2013 was $300 million, which doubled last year and this year it looks set to enter the coveted $1-billion club.

The online retailer has quickly become a brand that women (and men) across age groups trust. And since Praveen Sinha, co-founder and managing director of Jabong, doesn’t want to let his customers down, the company has recently set up a research and development centre in Bangalore to strengthen the brand, which was buzzing in November 2014 with reports of Amazon eyeing Jabong.com in a deal worth about $1.2 billion.

So, what makes Jabong the coolest Indian fashion e-retailer? Praveen Sinha, 34, whose first buy off his website was a pair of shoes and the latest was a pair of sunglasses and a shirt, takes on a few questions from t2.

Can fashion become a bigger player in the online space than technology?

Analysts around the world have safely predicted that fashion is going to be the next big thing in the e-commerce space. Currently a close competition to the fashion category in the online business is electronic merchandise. There’s, however, a trend for online shopping tilting towards the fashion industry. Jabong’s sole focus being fashion, the company has achieved remarkable increase in sales this year in comparison to the last, demonstrating the sheer demand for online fashion among Indian shoppers.

What prompted you to start Jabong in 2012? And where do you see it today?

We started our operations in January 2012. When we started out, most of the other e-commerce players were focusing on deals and discounts. Our business model was very different. We focused on bringing the latest of fashion, widest assortment, fastest delivery time, and excellent customer service rather than focusing on deals and discounts. 

Today, Jabong is one of the fastest growing e-commerce websites for online shopping of fashion products, and has more than 1,500 on-trend international high-street brands, sports labels, Indian ethnic wear and designer labels. We are constantly adding brands under our banner, international fashion giants like Dorothy Perkins, River Island, Mango, Burton, G Star Raw, Miss Selfridge and NBA. Apart from adding to our brand count, Jabong as a brand extensively focuses on customer services and is constantly innovating to curate a better experience for them. Jabong introduced services like Open Box Delivery, Same Day Delivery, Shop The Look, and so on. This further blurred the line between online and offline experience.

Do you think heavy discounting on e-commerce websites will make it through 2015?

Extensive promotional discounts have been offered by most e-commerce websites to attract and retain customers... 2015, however, is going to be a year when technology and innovation will alter virtual reality further, and simplify the online shopping experience to keep consumer comfort as a top priority. The overall pricing from different players will stabilise in 2015 for the sheer sustainability of the sector. Overall, I would say discounts have to stabilise, but I would say that there will always be some discounts for e-commerce companies as we have the advantage of scale and we don’t have the real estate and overhead costs associated with offline retailers.

How much of your traffic comes from mobile phones?

Shopping via e-commerce is rising tremendously, and there has been a substantial increase in the number of mobile transactions in recent years. Owing to the penetration of smartphones in the smaller cities, an increasing number of people are switching from PCs to mobile phones. The portability of mobile phones and the plethora of applications available on phones, allow people to make quick, hassle-free transactions anytime.  

So, why should one visit Jabong when there are similar services available?

Our team works passionately to get the latest for the customers and this can be validated by the array of brands exclusive to Jabong. From a 30-day exchange policy, easy returns and same-day delivery, we make sure that our customer experiences the best through Jabong.

Flipkart has bought Myntra. Amazon has made a $2billion investment in its India operations. Snapdeal continues to raise money. How much of these developments affect your decisions?

Associations like that of Flipkart and Myntra are healthy for the sector. In order to survive and thrive, such strategic alliances are quite necessary for e-commerce players, keeping long-term goals in mind. One cannot build or capture the market entirely on its own; hence such steps further strengthen a brand’s position in the domain. Associations like these also help introduce newer services and products for the customers, as one aggrandises more resources. 

A query from women who shop online: How is Jabong addressing the issue of shoe sizes?

Most of the product returns are due to wrong sizes. We have initiated an array of services to address this issue, like a size chart is available while making a purchase online which guides the shopper to get the perfect size. If a consumer still faces difficulty in choosing the correct size, we offer easy return policies, open-box delivery and so on to make shopping a hassle-free experience.

Some of the high-end designer brands that are available in brick-and-mortar turn out fake online. Has authenticity ever been an issue on your portal?

The major challenge any e-commerce firm faces is to gain consumer confidence on the authenticity of the products. The news about fake products is rife, but Jabong has undertaken stringent measures to curb counterfeits by apprising the consumers through various platforms on how to differentiate between a fake and an authentic product. We have also collaborated with a testing lab — Intertek, an industry leader in product testing — to test our products for authenticity and quality.

Alia Bhatt, Kriti Sanon… how much of an impact have your brand ambassadors made? 

Bollywood is consequential when it comes to fashion. Taking the same concept forward, Jabong has associated with many Bollywood stars and created lines inspired by their style statement. Bollywood stars like Kriti Sanon and Kangana Ranaut walked the ramp for Jabong to launch exclusive international collections like Miss Selfridge and Dorothy Perkins during Lakme Fashion Week. Recently, Alia Bhatt was roped in to curate an exclusive line for Jabong –– Alia Bhatt for Jabong. The unique concept has changed the customary norms of the fashion industry and also witnessed a lot of takers for the line since its launch.

Exclusives on Jabong

• International fashion biggies like Dorothy Perkins, River Island, Mango, Blue Saint and Miss Selfridge came on board in 2014
• Alia Bhatt for Jabong: The actress curated a line exclusively for the brand
• Designers Rohit Bal and Gaurav Gupta have also created exclusive collections

 

 

 

Currently a close competition to the fashion category in the online business is electronic merchandise. There’s, however, a trend for online shopping tilting towards the fashion industry.... Associations like that of Flipkart and Myntra are healthy for the sector. In order to survive and thrive, such strategic alliances (acquisitions) are quite necessary for e-commerce players, keeping long-term goals in mind. One cannot build or capture the market entirely on its own

–– Praveen Sinha, co-founder and managing director of Jabong

 

You spent some years in Calcutta. What do you remember most about the city?

I was a 2006-2008 graduate from IIM-C and these two years account for one of the most fruitful and cherished years of my life. I was in awe of the city’s culture, people, natural beauty and food. My campus had beautiful lakes and exotic migratory birds nesting around the vicinity. Fond memories of the city still linger. I would love to visit Calcutta, and especially my campus, to relive the glorious years of my life.

After IIM-C, why did you go it alone with fashion retailing following stints with multinationals?

I always wanted to be a part of a start-up as it allows you a greater space to incubate ideas. My passion to create something from scratch steered my dream to be a part of a start-up like Jabong. After working for big multinationals like McKinsey and Maruti, I decided to shift to an industry which was still at a nascent stage –– e-commerce. India was ready for a radical shift in the online shopping arena and the sector was gaining prominence, it was during this time that I decided to tap the opportunity and start my own venture. 

Your thoughts on the fashion scene in Calcutta…

What I thoroughly appreciate about the city’s fashion scene is that a fairly good amount of impetus comes from local artistes. The culture of boutiques is rife in the City of Joy, and that enchants me a lot… to see the way the city celebrates its own people. When it comes to high-street fashion, it still has its own old-school charm, which is evident in every aspect of people’s life, including their fashion sense. Creativity is well-rooted in the city; we have witnessed noteworthy names like Sabyasachi emerging from Calcutta.

Have you engaged some of the designers from Calcutta?

Jabong Boutique, our one-of-a-kind property that supports independent designers and boutiques across the country to retail their lines, has plans to bring on board some of the small-and medium-sized designers from Calcutta. Designer duo Priyanka Baid and Shruti Bansal’s Duet Luxury is one such boutique and you will catch their fashion accessories by the end of this month. 

What are some of the brands exclusively available on Jabong?

Exclusivity was the flavour of 2014 when it came to online retail in India. Jabong is constantly adding brands under its banner; international fashion giants like Dorothy Perkins, River Island, Mango, Blue Saint and Miss Selfridge came on board in 2014. 

Alia Bhatt for Jabong was another exclusive tie-up wherein the actress curated a line exclusively for the brand. Ace designers like Rohit Bal and Gaurav Gupta also came on board and created exclusive collections for Jabong. The response so far has been quite fruitful for Jabong.