August 28, 2009

mjunction aims annual transaction value of Rs22,000 crore for FY’09-‘10

  • Aims to maintain 50 per cent growth rate to achieve Rs50,000  crore transaction value in FY’12-’13
  • Strategic business expansion, customers empowerment, technology and knowledge based services to drive growth
Kolkata: mjunction services today unveiled its plan for FY’09-'10. Continuing to dominate as India’s largest eCommerce company with a record 50 per cent growth in recession hit FY’08-‘09; mjunction has registered a milestone transaction value of Rs14,393 crore. It aims to maintain the robust 50 per cent growth rate to achieve a transaction value of Rs22,000 crore in FY’09-‘10. Strategic business expansion, customer empowerment, technology and knowledge based services will drive mjunction’s growth this year.
Viresh Oberoi, managing director, mjunction services said “We are working on sustaining this growth path and our vision mj@12 envisages a target achievement of Rs 50,000 crore as our annual transaction value by FY12-13. However, mj@12 is not only focused towards growth and transaction values, it is aimed at empowering the oft-sidelined smaller stakeholders of the trade. As the front-runners in the industry, we take a sense of responsibility in shaping the future of eCommerce in India. The focus is on creation of value by providing innovative services which bring in efficiency, transparency and convenience to small and medium businesses.”
Plan for FY ‘09-‘10:
This year, mjunction will continue its aggressive growth pattern by tapping the existing product market further as well as through expansion into new products, services and markets.
Initiatives for the FY ‘09-‘10:
metaljunction continues to be the market leader with a share of 85 per cent in the eSelling space and also continues to hold the enviable position of being the world’s largest steel eMarketplace, having sold more than 7.5 million tonnes of steel since inception.
Last year metaljunction signed new clients like Jindal Steel & Power (Raigarh and Nalwa), Mahindra Group and Eastern Coalfields, to name a few. This fiscal it plans to expand its product portfolio by adding products like manganese ore, coal, chemicals, iron ore and slime.
With over 10,000 buyers, coaljunction is today a significant player in the country having sold over 60 million tonnes of coal and its by-products for Coal India (CIL), all its subsidiaries and Singareni Collieries Company (SCCL) among others.
This year coaljunction plans to launch a coal spot price index, which will cover all grades of coal sold through eAuction and serve as a barometer for price movement in the country.
Till date buyjunction has helped in procurement of goods and services worth over Rs10,500 crore for companies from the steel, cement, FMCG and chemicals sectors, among others.
Special focus will be given to buyjunction’s aggregated rate contract offering, which is based on the principle of consortium buying, since it has huge potential recessionary conditions. With plans to cater to more product segments, buyjunction is developing a strong team of category-wise experts in sectors such as cement, fertilisers, FMCG, power and real estate, to name a few
A dedicated business unit named valuejunction has been formed to unlock value of idle assets. valuejunction helps companies monetise idle assets like conveyor belts, earth moving items, obsolete spares, plants and machinery and even leasing of airstrips. valuejunction is now gearing up to conduct auctions for retail surplus. This would help the companies to dispose off their surplus retail stock to a market which spreads all over the country or even overseas.
In the first quarter of this year, the eFinance arm, financejunction had launched ‘Insta Loan’, an innovative downstream channel finance scheme to facilitate distributor sales to key account customers (KAC) / dealers / retailers of steel companies. This finance facility will improve the liquidity position of the distributors further in the supply chain so that the distributors can increase their business throughput with the steel companies on one side and KAC/dealers/retailers on the other side. This scheme would be extended to other industries.
mjunction’s B2B businesses are successful models of disintermediation and empowerment of ‘small’ buyers and sellers. The company plans to bring the same value propositions of transparency, efficiency and convenience in its B2C and C2C ventures thereby offering hassle free end-to-end solutions through and which will also empower consumers across the country. The B2C and C2C initiatives would be launched during FY’10.
mjunction’s knowledge based services encompassing “Coal Insights”, “Steel Insights” and “Sourcing Insights” as well as knowledge platform covering the coal and commodity market reports have been a key differentiator.
mjunctionedge, the company’s knowledge hub, will launch a daily news service pertaining to the steel industry to be disseminated digitally. The service now undergoing a trial run would be launched formally by Q2 of this year. mjunctionedge which also keep its focus on holding world-class conferences on steel, coal, steel making raw materials and non-ferrous metals.
Aggressive growth can only be sustained by offering innovative services; hence mjunction has constantly been strengthening its technology infrastructure. mjunction’s technology focuses on scalability, adaptability and robustness.  One of the major achievements last year was to receive CMMI Level 3 certified by Software Engineering Institute (SEI).  The company was also conferred the Best Independent Software Vendor (ISV) Partner for East - 2008 award by IBM.
Elaborating on the critical role played by the company’s technology team, Oberoi said, “One of the major focus areas of our in-house technology team has been 'Information security'. The technology team is now aiming to achieve the coveted CMMI Level 5 certification by FY’10-’11.”
In FY’09-’10, the focus will also be on development of a world-class front-end and back-end infrastructure for the eRetailing platform dedicated to the B2C market with Cognizant Technology Solutions (CTS). This new venture would be launched in Q2 of the current fiscal.

top of the page