THE ECONOMIC TIMES STARTUP AWARDS

• The Economic Times Startup Awards have been instituted to celebrate the finest and bravest who risked everything to launch a new enterprise. It is recognition of the sweat and tears that went into shaping what will drive the nation's economic engines tomorrow. The awards salute the entrepreneurs and also seek to inspire the dreamers and daredevils in all of us
• built and mentored the country's fastest-growing startups. We recognize excellence in eight categories � Startup of the Year, Woman Ahead, Top Innovator, Bootstrap Champ, Midas Touch Best Investor, Social Enterprise, Best on Campus and Comeback Kid.
• The Economic Times launched the Startup Awards to further its commitment towards pushing the country's agenda on entrepreneurship and young leadership. Through the Startup Awards, we strive to engage with startups and investors, identify the deserving startups and celebrate the vaulting ambition and skills of some of India's best-known entrepreneurs and investors who have built and mentored the country's fastest-growing startups. We recognize excellence in eight categories � Startup of the Year, Woman Ahead, Top Innovator, Bootstrap Champ, Midas Touch Best Investor, Social Enterprise, Best on Campus and Comeback Kid.
• Zinnov Consulting, a team of passionate consultants, mentors and investors, has provided the first-level support for evaluating startups before the final shortlist is shared with an esteemed jury comprising some of the biggest names in the entrepreneurial ecosystem. Bootstrap consultancy, iSpirt, has provided its intellectual capital in evaluating this category of Awards.http://www.etstartupawards.com/program.php

NDTV Unicorn Start-Up Awards 2016

NDTV presents Unicorn Awards 2016, a gripping extravaganza with the biggest names in India's most exciting space in business - the start-up. These awards will recognise the most credible dream-chasers who are going to change the way India does business. This is the start-ups' moment to shine and occupy centre-stage. http://www.ndtv.com/special/ndtv-unicorn-start-up-awards-2016-858201

BUSINESS STANDARD - India's direct selling industry likely to reach Rs 645 bn by 2025

India's direct selling industry likely to reach Rs 645 bn by 2025

Strategist Team  January 4, 2016 Last Updated at 00:05 IST

A report titled, 'Direct 2015 - Direct selling: Mapping the industry across Indian states' by FICCI-KPMG says that direct selling, the oldest and traditional forms of selling, is today a successful industry operating in over 100 countries, with a market size of $180 billion.

In India, the market is estimated at Rs 75 billion (2013-14), and accounts for 0.4 per cent of the total retail sales in the country. The direct selling industry in the country has the potential to reach Rs 645 billion by 2025.

As per the report, North India is the largest region by market size accounting for direct sales worth Rs 22 billion in 2013-14; South India holds the second highest share of the direct selling market is worth Rs 19 billion in 2013-14. While the north east is the smallest market, it has recorded the highest growth rate of 14 per cent in India with revenues of Rs 9 billion.

The growth in direct selling has primarily been driven by rising income levels, high rate of urbanisation and growing consumerism in the states. The report claims that despite witnessing growth, direct selling industry faces multiple changes, one of the biggest being the lack of regulatory clarity.

http://www.business-standard.com/article/management/india-s-direct-selling-industry-likely-to-reach-rs-645-bn-by-2025-116010300619_1.html  

BUSINESS STANDARD - Govt mulling independent regulator for direct selling industry Paswan said consumers should not be cheated

Govt mulling independent regulator for direct selling industry

Paswan said consumers should not be cheated

BS Reporter  |  New Delhi  December 5, 2014 Last Updated at 00:45 IST

An internal committee of the consumer affairs ministry is set to meet on Monday to deliberate on the requirement of an independent regulator for the direct selling sector, Ram Vilas Paswan, Union minister of consumer affairs, food and public distribution, said on Thursday.

“We have taken note of what the industry has been asking for long, and the internal committee, which is working on this, will have its first meeting on December 8. We’ll look into this and take a call, after consultation and inputs from all stakeholders of the industry. We have already received some valuable suggestions. We feel it is important to distinguish between the genuine and fraudulent players, and any regulation that is proposed should keep in mind the interest of consumers as the first priority,” Paswan said at a programme organised by the Federation of Indian Chambers of Commerce and Industry and consulting firm KPMG.

Direct selling is globally popular, but it requires more transparency in some areas, Paswan said, adding: “Consumers should not be cheated.”

Meanwhile, the government has been reportedly planning to include direct selling and teleshopping into the ambit of the  Consumer Protection Act. The proposed amendments are expected to be placed before the Cabinet soon.

Also, the government is in the process of amending the Price Chits and Money Circulation Scheme (Banning) Act. The proposal came following a few incidents, including Amway India Chief Executive William Scott Pinckney being arrested for a second time under the Act in Andhra Pradesh earlier this year. He was later released on bail but the incident exposed loopholes in the law.

The amendment in the Act may also include facilitating mediation and arbitration between parties to bring down the load of cases in consumer courts. The structure may also involve empowering panchayats, gram sabhas or such similar institutions to mediate and arbitrate between parties or designating and appointing such persons.

KPMG and FICCI, in a report on direct selling industry, noted that there was a need to bring regulatory certainty for the industry, which is mistakenly coupled with fraudulent money circulation schemes because of a lack of clarity in existing legislations. Besides pointing out the need for a clear definition of direct sellers, the report has also suggested a roadmap for mitigating the regulatory challenge for the industry by recommending an immediate amendment in the governing legislation. Categorisation as ‘wholesale cash and carry trade’ to smoothen inflow of foreign direct investments, and an independent legislation and nodal ministry for the industry thereafter, added the KPMG-FICCI report.

According to the KPMG-FICCI estimates, the direct selling industry in India with the right policy stimulus, this industry might well reach its potential of INR 64,500 crore from about Rs 7,200 crore at present, a nine-fold increase by 2025. The industry has the potential to provide self-employment to 18 million while about 60 per cent of this would be women, it added. Globally, the direct selling industry is estimated at over 100 countries with a market size of $167 billion. 

  

BUSINESS STANDARD - Traders' body wants law to regulate direct selling business Asks Consumer Affairs Minister Paswan for norms on capital, infra and investments to protect both industry and consumer

Traders' body wants law to regulate direct selling business

Asks Consumer Affairs Minister Paswan for norms on capital, infra and investments to protect both industry and consumer

Jayajit Dash  |  Bhubaneswar  September 1, 2015 Last Updated at 18:12 IS

The Confederation of All India Traders (CAIT) has sought a separate legislation to regulate and monitor direct selling business in the country.
"The Indian direct selling industry is growing at a phenomenal rate and has a huge growth potential. More than 50 per cent distributors engaged in direct selling business are household women and in this way, the direct selling business is promoting women empowerment in the country to a distinct level", said CAIT national secretary general Praveen Khandelwal.

CAIT in a a letter to Union minister for consumer affairs, food and public distribution Ram Vilas Paswan said, "Since the direct selling industry is poised for growth, it is imperative to bring it under an appropriate legislation. The legislation should include safeguards to protect the interest of industry as well as consumers. Parameters like minimum capital/equity invested, investment in manufacturing plant, physical infrastructure to provide sales, training and grievance related support, mandatory legal enforceable contract with distributors, transparent disclosures by a direct selling company for its products & services should be included in regulatory mechanism for direct selling industry."

Rajat Banerji, chairman, Indian Direct Selling Association (IDSA) said, "This industry offers self-employment to over five million Indians - 60 per cent direct sellers are women. Virtually, all direct selling companies make in India. But like all emerging forms of products distribution (such as e-commerce), there are some operational challenges for this industry which can be addressed by regulatory clarifications such as guidelines or indeed legislation for this industry. Several countries, like Malaysia, Hong Kong, Singapore, UK have legislations in place for this industry, and we believe that the true potential of this industry will be realized, once there is legislation in place that protects consumers, direct sellers as well as direct selling entities."

The direct selling business in the country has grown from Rs 3300 crore in 2009-2009 to Rs 7200 crore in 2012-13. According to a KPMG report, the industry will touch a turnover of Rs 64,500 crore by 2025. As per KPMG projections, direct selling would generates taxes of around Rs 9000 crore by 20125, engaging 18.1 million direct sellers of which 10.6 million are projected to be women.http://www.business-standard.com/article/companies/traders-body-wants-law-to-regulate-direct-selling-business-115090100965_1.html
 

'Direct selling industry can touch Rs 64,500 crore by 2025' In India, direct selling market is around 0.08% of the GDP at the moment, and hence has huge potential to grow

'Direct selling industry can touch Rs 64,500 crore by 2025'

In India, direct selling market is around 0.08% of the GDP at the moment, and hence has huge potential to grow

BUSINESS STANDARD (BS) Reporter  |  Ahmedabad  November 16, 2014 Last Updated at 20:58 IS

  Once clear regulatory guidelines are in place, the direct selling industry has the potential to touch Rs 64,500 crore in turnover by 2025, from a Rs 7,200 crore size now, felt industry experts here.

Talking at sidelines of the Federation of Indian Chambers of Commerce and Industry (FICCI), Rajandeep Singh, manager, strategy, strategy & operations, management consulting, KPMG India said that countries with a thriving direct selling market, have direct selling market to GDP ratio of 0.2 to 1.2 per cent. In India direct selling market is around 0.08 per cent of the GDP at the moment, and hence has huge potential to grow.

Singh added, "Segments like wellness, cosmetics and personal care now dominate the Indian direct selling market. By 2025, we estimate that as consumer markets would grow, the disposable income of the Indian middle class would also grow by at least 2.5 times. People in these households would spend more on personal care and wellness products."

The direct selling industry in the country now engages around 5.8 million people who are involved as distributors or direct sellers. According to KPMG, this number could grow to 18 million direct sellers by 2025. Women form a significant chunk of direct sellers, and from a current 3.4 million women, their numbers could touch 10.6 million by 2025.

Rajat Banerji, co-chair, FICCI-Direct Selling Commmittee, said that the industry is waiting for changes in the regulatory framework that now governs direct selling companies, and once that comes in, direct selling industry has huge potential in India. "In countries like Mexico, which have similar socio-economic structures, with one-tenth of India's population, the size of the direct selling industry is at least eight times bigger," he said.

The Indian Direct Selling Association (IDSA) has already sought changes to the Prize Chits and Money Circulation Schemes (Banning) Act, 1978, and has urged the government to provide clarity in order to avoid misinterpretation.

The direct selling industry feels that the law in its current form is unable to distinguish between genuine direct selling companies from pyramid and ponzi schemes. http://www.business-standard.com/article/companies/direct-selling-industry-can-touch-rs-64-500-crore-by-2025-114111600818_1.html  

India’s direct selling industry may reach Rs 645 billion by 2025: FICCI-KPMG report

Namrata Singh | TNN | Dec 8, 2015, 04.27 PM IST

MUMBAI: The department of industrial policy and promotion is pushing for implementation of guidelines for direct selling industry, which is slated to touch Rs 645 billion by 2025, according to a report by FICCI and KPMG.

According to a statement, Amitabh Kant, secretary, DIPP, ministry of commerce and industry, said that direct selling will have to be given a greater thrust as it empowers women, MSMEs and promotes manufacturing in India. Kant was speaking at FICCI Direct 2015, an annual event for the direct selling industry.

Kant said the industry has a potential to even grow beyond the projected level to Rs 1,000 billion by 2025.

The direct selling industry, which includes companies like Amway, Oriflame, Tupperware, among others, has been seeking clarity in definition and a regulatory framework for the industry. Kant assured that DIPP has already submitted the draft guidelines to Ministry of Consumer Affairs for the same.

The market has grown to become a key channel for distribution of goods and services in the country, especially for health and wellness products, cosmetics, consumer durables, water purifiers and vacuum cleaners.

The report 'Direct 2015 - direct selling - mapping the industry across Indian states' highlights the current challenges faced by the industry and its potential in selected Indian states.

Latest Comment

If the direct selling industry is on is way to reach the scale mentioned in the report, then for the benefit of consumers the government must strengthen the norms and com up with clarity on the status of this sector - http://timesofindia.indiatimes.com/business/india-business/Indias-direct-selling-industry-may-reach-Rs-645-billion-by-2025-FICCI-KPMG-report/articleshow/50091649.cmsNamrata Singh

Guidelines for high growth potential direct selling ind in final stages

By ENS Economic Bureau

Published: 29th June 2016 07:29 AM

Last Updated: 29th June 2016 07:33 AM 

KOCHI: The direct selling industry in the country has the potential to reach a size of Rs 64,500 crore by 2025 from Rs 7,500 crore now, according to a FICCI-KPMG report.
The report, titled, ‘Direct Selling: – A Global Industry, Empowering Millions’, attributes the growing share of middle income households, growth in consumer markets and an increase in the penetration of direct selling to globally comparable levels as reasons for the growth of the industry.
The industry in 2013-14 provided self-employment to nearly 145,000-175,000 female direct sellers. It  will provide self-employment opportunities to 400,000-500,000 people in nine years.
“We acknowledge the contribution of this industry and we have worked hard on preparing the guidelines for the industry. It is in the final stages of approvals and will be released very soon,” said Chandralekha Malviya, Principal Advisor, Ministry for Consumer Affairs, Food and Public Distribution.
At a CAGR of 43 per cent, Delhi has been one of the fastest growing direct selling states in India between FY10 and FY14. While the direct selling industry has witnessed reasonable growth in the past few years, the industry faces certain regulatory challenges which impacted the industry in FY13 & FY 14, it noted.
Anukul Agrawal, CEO at Vestige Marketin said, “We are very encouraged to learn from the Ministry that the guidelines will be issued very soon. Direct selling industry will strictly follow the guidelines.”
Highlighting the growth contributors, the report suggests that the industry has the potential for greater penetration. Other growth factors include robust GDP growth driving household incomes that is likely to triple by 2025, rapid urbanisation, and overall industry growth in key categories such as health and wellness, cosmetics, household goods, many of which are expected to grow at 10-16 per cent.

Unemployment India’s biggest concern, direct selling at rescue At a time when businesses are not expanding as a fast pace, the employment generation in the country has also taken a hit.

Unemployment India’s biggest concern, direct selling at rescue

At a time when businesses are not expanding as a fast pace, the employment generation in the country has also taken a hit.

By: ANI | New Delhi | Published:June 23, 2016 5:07 pm

 

 

The roar made by Prime Minister Narendra Modi for the country’s poor employment conditions created a ripple across the nation. Keeping in mind the current scenario of Indian economy and the state of employment across the country, ‘Skill India’ campaign of Prime Minister has hit the right strings.
The Industries too have realized the importance of having skilled workforce and hence there have been conscious efforts on their part to value add to the skills of their resources.
‘Make in India’ is another initiative which has given impetus to all Indian origin manufacturers to invest more across various domains and has generated many employment opportunities for the people.
“Unemployment still remains one of the biggest concerns for the Government, which under the leadership of PM Modi is striving hard to generate more employment. It is not an issue that can be tackled in a jiffy. Rather, it will need a combined effort of government and industries to improve the unemployment ratio, that too over a period of time,” believes Secretary General, Indian Direct Selling Association, Amit Chadha.
Talking about Direct Selling, he adds “Direct Selling is one industry that has been generating self-employment opportunities for about 20 years in the country. As there is no such restrictions and criteria to become a Direct Sellers, people from all walks of the society join Direct Selling, irrespective of gender, skill-set and age. A person aged 60 is as welcomed in Direct Selling as an 18 year old. Direct Selling embraces everyone with open arms.”
“Over the last two decades, this industry has made it way to every corner and strata of the country and it is getting popular with every passing day. In 2014-15, the Industry generated close to 40 lakh self-employment opportunities in the country and we expect the number to grow in the coming days” he further stated.”
At a time when businesses are not expanding as a fast pace, the employment generation in the country has also taken a hit.
In such a scenario direct selling has been one of the few industries, that has continued to make steady progress and pushing boundaries towards overall growth.
Chadha is of the view that the Direct Selling Industry has been instrumental in shaping up careers of millions of Indians, especially the unskilled ones, who could not find a place in the mainstream. This industry transforms a common man into a leader, who later on mentors thousands of people like him, helping them to be a part of the mainstream.
“What is significant is the fact that many of the successful Direct Sellers are now helping other people to set up their businesses. Clearly, it is a people’s business, where one helps the other; resulting in building the nation,” Chadha further added.
The main attraction of working in this industry is the option of flexible hours people work at their own leisure and time, without being bound to strict timelines. Many working people join Direct Selling as a supplementary earning opportunity.
Direct Selling is a booming industry, a boon for an economy and employment generation towards better future. It boosts confidence of individuals and therefore leading the industry as well as the workforce involved, to a higher growth trajectory. It is an attractive option, allowing people to manage their own business with minimal outlay as well as generate an income.
“The need of the hour is to give boost to an Industry like Direct Selling that has a socio-economic impact to the lives of many. Not only it generates employment, as a result, the Industry also empowers its workforce with skill, knowledge, power to express, improving interpersonal skills and above all, lead a life of a ‘leader, inspiring other to replicate their success,’ Chadha further asserted.http://indianexpress.com/article/business/business-others/unemployment-indias-biggest-concern-direct-selling-at-rescue-2871547/