Boodmo.com plans to reach more cities, dou­ble sales this year

Auto components India - - CONTENTS - Story by: Sricha­ran R

Boodmo.com, a unit of Smart Parts On­line Pvt Ltd, the coun­try’s largest on­line mar­ket­place for auto com­po­nents buy­ers, is plan­ning to set up new hubs in Tier - 1 cities across the coun­try. This is to make sure that the por­tal de­liv­ers the goods within 2 days to a wider cus­tomer base. Founded in 2015, the com­pany has a huge data­base of gen­uine and af­ter­mar­ket re­place­ment parts of­fered by over 400 sup­pli­ers across In­dia. Boodmo brings both car own­ers and auto parts deal­ers to a sin­gle plat­form.

“We will open hubs where our re­li­able cus­tomers are. We will open one hub in Jaipur this year. The next one will be in Pune. We will go to Ben­galuru and Chen­nai by next year,” Olek­sandr Danylenko, Di­rec­tor of Op­er­a­tions and Fi­nance, and co­founder, boodmo.com, told Auto Com­po­nents In­dia.

The hubs are like a ware­house and the com­pany has one in Delhi. “Ït is a ware­house, but it is not for keep­ing prod­ucts. It is used mainly to repack and for qual­ity-check. If a cus­tomer places an order from dif­fer­ent ven­dors of a com­pany, or a brand, we bring them to our hub, check and pack them in one box and send. Some of the sup­pli­ers send di­rectly, but most of them send to us the prod­ucts with the in­voice,” he said.

The com­pany was started by Yev­gen Sokol­nikov and Olek­sandr Danylenko who came to In­dia from Ukraine. They said that the on­line mar­ket­place served 10,000 cus­tomers in FY 2017-18, with ap­prox­i­mate 40% of re­turn­ing users. They also said that they wit­nessed an av­er­age of 400,000 vis­i­tors a month which trans­lates to a growth of 200% YoY. “We def­i­nitely see this as a good sign. Our aim is to in­crease this num­ber at least 2 times this year. It is just our mile­stone for us and this is just our be­gin­ning here,” Olek­sandr said.

The time for de­liv­ery de­pended on var­i­ous fac­tors, he said. “At first the prod­uct has to be avail­able at the ware­house or with the ven­dor. In the spare parts mar­ket, the prod­ucts are avail­able only on de­mand. If the prod­uct is avail­able with the ven­dor, he will dis­patch it on the same day or the next. The lo­ca­tion and the time to reach it is the next is­sue. Right now, our main sup­pli­ers are in Delhi and Ra­jasthan. But, half of our cus­tomers are in South In­dia, which means the av­er­age de­liv­ery time is more than 5 days. The new hubs that we are open­ing in the Tier 1 cities will carter to those needs. We also give them a track­ing op­tion through which the cus­tomers can know where the prod­ucts are,” he said.

About the rea­son to choose In­dia, Olek­sandr said when they vis­ited In­dia to start an e-com­merce busi­ness, they found that the au­to­mo­tive spare parts busi­ness was not well or­gan­ised. They re­alised that the seg­ment had huge po­ten­tial if the busi­ness was digi­tised and the prod­ucts were de­liv­ered on time to the cus­tomers. “We thought of bring­ing in a so­lu­tion that can ex­actly do this. Since we knew how to do on­line busi­ness, es­pe­cially the spare parts busi­ness, we do well here. Some­thing like this was not avail­able be­fore and there was no in­for­ma­tion about the spare parts. They were very frag­mented and what we did was to com­bine all the ven­dors and their prod­ucts on­line. In this way we will try and please the cus­tomers,” he said.

Speak­ing about the auto com­po­nents mar­ket in In­dia, he states that right now it is a slow mar­ket and it will play a ma­jor role in the fu­ture. “Even when cars go out of mar­kets, the af­ter­mar­ket will still ex­ist, and we will be there for years.”

On how unique their on­line mar­ket­place is, the co-founder states that the main dif­fer­ence lies in the in­for­ma­tion that they pro­vide. The firm wants to give gen­uine and re­li­able in­for­ma­tion on cat­a­logues about spare parts, price, the de­liv­ery time etc., to the cus­tomers. They spend a qual­ity time and pay at­ten­tion on the cat­a­logues to make sure the in­for­ma­tion is cor­rect. The com­pany cares about the cus­tomers and tries to build last­ing re­la­tion­ships.

At pre­sent, they con­cen­trate only on the car seg­ment as they want to play ac­cord­ing to their strengths. “Be­cause we wanted to be fo­cused. Yes, we want to get on the bike and CV spare parts mar­ket also. But, at first, we want to stick to our po­si­tion here. When we get suc­cess in one part of our strengths, then we will ven­ture into the bikes and CVs. This comes only when we are ready. When we know how to man­age the prod­ucts, we will be able to han­dle the mar­ket then, Olek­sandr said.

He says that boodmo.com is the con­ve­nient mar­ket­place avail­able in In­dia as any­body can order on­line. If a per­son wants to find a dif­fer­ent prod­uct for a re­place­ment, boodmo pro­vides var­i­ous choices from dif­fer­ent ven­dors with dif­fer­ent qual­ity. This leaves the cus­tomer with a va­ri­ety of op­tions to choose from. The prod­ucts are 100% orig­i­nal and there are no coun­ter­feits. The mar­ket­place acts as a one-point con­tact for all the spare parts re­quire­ments.

One of the main chal­lenges for the au­to­mo­tive in­dus­try is tack­ling the prob­lem of coun­ter­feit prod­ucts. The low-qual­ity parts pose threat to a ve­hi­cle’s per­for­mance, to the safety of the ve­hi­cle and the oc­cu­pants. Olek­sandr says that it is also the duty of the sup­pli­ers to check the qual­ity of the prod­ucts. He said, “We also con­trol the qual­ity of the prod­ucts and check al­most all the parts. We want them to be re­li­able. So far, we have not re­ceived any com­plaint from the cus­tomers about such is­sues. If at all a cus­tomer say that the qual­ity is not good, we re-check it and if not in­stalled we will take it back with­out ask­ing ques­tions. But, now, for ex­am­ple, Maruthi cars do not come with metal fuel caps. They have changed it to plas­tics and we also have to. For some parts, it has to be like this and we have to cope up with this.” So far the com­pany has tied up with only the dis­trib­u­tors and not di­rectly with the man­u­fac­tur­ers. Boodomo.com also wants to be a di­rect dis­trib­u­tor of OEMs. The change-over to elec­tric ve­hi­cles, Olek­sandr feels, will not have any big im­pact on the spare parts in­dus­try. “Ex­cept the en­gine, ev­ery­thing else will re­main the same. Only a few things like sen­sors and the soft­ware in the EVs will change, the rest will re­main.”

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