MADE BYNIDHI SETH11452

YOUNG ASPIRATION

At the age of 12 he wanted to own a company !!!!

BACKGROUNDBorn-1964Family- father (Govt. Doctor) , Mother ( Housewife) No Business backgroundEducation-studied Economics at St. Stephens College and schooled at St. Columba's School in Delhi, left IIT ( as 5 yrs. course)-Buck the trend ,IIM Ahmedabad, PPM,Led coursesCareer- worked in advertising with Lintas and in consumer marketing at Glaxo SmithKline. For a brief period, he was the Consulting Editor of Avenues – the careers supplement of 'The Pioneer' newspaper.In 1990-Along with a partner, Sanjeev set up two companies - Indmark and Info Edge. The first specialised in pharmaceutical trademarks and the second produced salary surveys and reports.In 1997- Naukri.com

Idea Origin friends usually read business magazines back to front because the

job ads appeared on the last pages. conclusion that in those days (this was around 1996) people had no

one source for job ads. every week head-hunters would call and offer jobs that weren't ever

advertised. DOT-Videotex’ – a service where people would be able to access

information stored on a central server from terminals all across Delhi (IDEA)

IT ASIA- WWW stall ,VSNL internet accounts ( Website Idea) we could collate job ads onto one accessible platform, then maybe

we would be able to attract some customers. In April 1997 we launched Naukri.com with 1,000 ads taken out of various magazines.

Hoping that over time companies would begin to approach us directly for advertising jobs if we could gather sufficient traffic.

Sources of Finance

Wife & Batch mate – angel investor running the family 25 $ a month cost of sharing server- sushil ( Brother-5 % share in

the company) Some money by Info edge-(salary survey & reports)- construction

work – shifted to second floor of his house. VN Saroja-operations- 9% stake Anil Lall ( friend & good programmer)-7% stake Two Data Entry Operators- Recession –offered them job Info Edge (India) Pvt. Ltd, the company that owns Naukri.com and

other businesses, got private-equity funding from ICICI Ventures, further validation came in the form of PE firms Kleiner Perkins and

Sherpalo picking up a small stake just before a public listing, which came about in November 2006.

IPOIDEA

(nov 2006)

Business Model

Primary Target1,000 jobs minimum on the site. Live and current. No job older then 30 days, all jobstaken from the newspapers.”

TARGET CUSTOMERS

naukri.com has a list of 15,000 clients. The two major categories of customers are job providers and job seekers. In 2003-04, job providers and job seekers accounted for 91.6 per cent and 8.4 per cent of revenues respectively.

Placement agencies were an important customer group for the firm. In the last quarter of 2004,10 per cent of the clients were placement agencies which contributed to 60 per cent of the jobs and 30 per cent of the revenues

Other important customer groups were firms from IT and related areas 23% of job openings) and telecom and FMCG relatedfirms (5% of job openings).

1000 Jobs in 3 days

one of few sites targeting Indians living in India- traffic to websiteNaukri.com- Distinctive name Press coverage- writing for Indian audienceWithin six months of launch, a direct mail letter was sent out to 3,000 HR managers and recruiters. For 350 rupees you could list a job on the site. For 6,000 rupees you could get annual subscription which gave you unlimited listings through the year.Low Business-2to 2.5 lacsLargest in terms of Revenues-Rs 18 lacs P.aFocus on Naukri.com ( Dotcom Boom) jobs Ahead and Monster came to India- deep pockets and world-class technology infrastructureLaunched first IPO in 2006 ( first internet company)

The story After That……………..

Problems Faced Lack of capital ( Middle class family background) we had to make do

with less - fewer employees, lower salaries, poor infrastructure, a rudimentary site, lower marketing budgets etc.

Running family (worked in pioneer newspaper) Lack of Internet access. early days of the Internet and access was

only through a dial-up modem and the then State-owned VSNL was the monopoly provider.

Market Size-14000 accounts only Split of business ( business partners separated ) Server only in US Contrary views regarding Name “ Naukri” or naukar etc. Problems of technology & advertising budget ( IPO-ICICI)

Lessons we learn No shortcut to success, but indeed there are experiences to success Never Give Up ( POSITIVE ATTITUDE) Take a Contrarian Stand in life Brand is not built by advertising but by customer experience Be a Seeker ( always open to change) Persistence (try long enough and hard enough) Get great people - sell them the vision, the idea and share the wealth,

be generous with offering stock. Bootstrap your business-unless no strong business model Leaving aside egoistic attitude

DO NOT CHASE MONEY

Lesson Learnt by him

One should look for meaning not money. Money is a happy outcome if you are really good at what you do. It should not replace your dreams and become your sole motivator.I follow no particular philosophy. I believe that one should keep improving on the past. You should be happy with what you do. What motivates me in particular is serving our customers and helping people find jobs.

SWOT ANALYSISSTRENGTHS

• naukri.com has the first mover advantage. It was a forerunner in ushering in the change in the way Indians looked at job hunting.• Its nomenclature has received acceptance among Indians.• It has the experience and learning of being in the market for almost a decade.• It has a large market share compared to monster India and jobs ahead.• It ranked as India’s number one job site on all parameters — page view, reach, and traffic.• It has the advantage of an interactive and simple site design which has ensured loyalty amongst clients.• It has the advantage of a clear revenue model since its inception. While it has a few services that are free to both job seekers and job providers, the majority of their services are paid for by the recruiters.• It has a very committed CEO and a marketing and sales team. This is clear from the visits made by them to establish contact.

WEAKNESSES

• It has a large number of employees — 280 — while its present competitor has barely 200 plus employees..

• The company incurs a high cost for managing sales force (48% of the total cost).• There is a high level of attrition.

OPPORTUNITIES

• Internet users are increasing day by day. Approximately, 7.5 million urban Indians are using the net.

• Further, with broadband infrastructure being rolled out, there are more opportunities on the net. The scope of online recruitment is, therefore, increasing.

• Like any other online recruitment company, it hasthe advantage of being a low cost medium of recruitment; it also cuts recruitment cycle time drastically.• The recruitment market is booming and it can be said that the job market is one of the best in recent years.• The online opportunity for hiring in India is growing at 80-90 per cent each year.

THREATS• It faces a major threat from the merged entity —monster India — with combined strength and a largerTraffic TOI has launched a jobsite-emerged as leading job portal India’s major IT companies-Infosys,Wipro,TCS etc has career

option on their official websites Emergence of regional language job portals Overcrowding

Characteristics of An entrepreneur

Contrarian stand Dynamic

Positive attitude

Self employe

d mindset

Passionate about learning

Team player

Work ethics

Sell benefits

Self motivate

dintuitive

Having a vision

Risk averse

Risk taker

creativity

opportunist

Good planner