Secrets of Ecommerce-Vol 1

An entrepreneurs guide to
organizing a company,
shipping strategies,
Customs, Product returns
and much more
INDEX
1. Organogram

2. Shipping
2.1 Shipping options
2.1.1 Free Shipping
2.1.2 Flat rate shipping
2.1.3 Courier rates
2.2 Insurance and tracking
2.3 Customs taxes and duties
2.3.1 Product Value
2.3.2 Trade Agreements
2.3.3 Use of Product
2.3.4 Harmonization system code

3. Packaging
3.1 Packaging for marketing
3.2 Packaging options
3.3 Cost effective packaging

4. Labelling

5. Fulfilment Services
5.1 Fulfilment Advantages
5.2 Disadvantages

6. Product Returns

7. About Oorjit

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 Introduction
Just as they say “Rome
wasn’t built in a day” no
successful e commerce site can
be built within too short a span of
time. It requires sheer hard work,
commitment and knowledge.
Most of the time, Entrepreneurs are ready to put in hard work and commitment but they
lack the information or knowledge about certain crucial elements which experienced and
established players possess. These crucial elements often play a huge role in the success
and failure of an ecommerce portal.

The objective of this ebook is to educate entrepreneurs by revealing the key secrets they
must know in order to succeed in this game.

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 1.ORGANOGRAM
This is the first and most important element to begin with. When you start a
venture you might have this thought “Why should I have an organizational
structure when I have only twenty employees, and everyone knows their
role?” It may also look like a hard and formal process for you. But the
advantages it provides you supersedes all efforts you put in to create it.

Having an organogram helps you:

Streamline your operations.

Identify the different teams you have (or need) to streamline the process.

Identify bottlenecks and take measures to reduce them and optimise work flow.

Have a basic organizational structure that can be referred when new teams have to be
incorporated when you scale your business.

Identify where you should increase your headcount and what positions need to be filled
immediately.

Give your employees a clear picture of the overall hierarchy and organization structure of your
company

Empower your employees to take the initiative to contact the right person and not having to
always depend on the managers.

The following organogram has been prepared after referring to hierarchies in several successful ecom-
merce companies. This should help you benchmark your structure or use it to begin with.

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 CEO
General Online marketing executive

Online marketing executive for partnerships

Customer Acquisition Manager Search Marketing Executive

SEO Executive

Social Media Marketing Executive

Customer Conversion Manager Creative team

CRM /database executive

Customer Retention Manager Email marketing executive

Product return executive

General Online B2B marketing

Merchant acquisition and and sales executive
engagement manager
Online executive for merchants

Visual Merchandiser

Catalogue Manager Copy writer

Studio team: Photography + Styling

Technology Manager Developers

Warehouse supervisor
logistics manager
Packers

Accountants
Finance and HR manager
HR executive

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 Provide leadership and direction
for the business

Settlement and management Developing Brand Vision to

of legal disputes and raise customer confidence
formalities with the help of
legal department

Indulge in relationship
building and partnerships
benificial for the company
CEO
Responsibile for the entire Organization
Drive the business forward
through successful
implementation of new
including full P&L - Being responsible for
ideas and process where
both top and bottom line employees
possible

Evaluate and starategize based

on the reports submitted by
Increase efficiencies and lead
various managers Create a go-to-market cross-functional teams
ecommerce business plan and
drive revenue and results

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 Customer Acquisition Manager
Responsible for all the key ways to drive potential Establish of key traffic-driving partnerships online
customers to the online buying experience like concep-
tualizing seasonal marketing campaigns etc Advertise through both online and offline channels

Consider selected Affiliates Paid Search (PPC), Search Engine Optimisation (SEO)

Social media engagement Team management

Social Media Marketing Executive Search Marketing Executive

Formulate social media marketing strategy Perform ongoing keyword discovery, expansion and
optimization
Engage with customers through social media
Execute tests, collect and analyze data, identify trends
Convert social media engagement to conversions and insights in order to achieve maximum ROI in paid
search campaigns
Producing reports
Track, report, and analyze website analytics and PPC
initiatives and campaigns

General Online marketing executive Google Ad campaign management

Mobile marketing
Manage campaign expenses, stay on budget, estimate
Content marketing monthly costs and reconcile discrepancies

Identify new channels for marketing Optimize copy and landing pages for search engine
marketing
Email marketing
Producing reports
Create landing pages

Traditional marketing through offline channels

SEO Executive
Producing Reports Analysing search data to select the most relevant search
keywords

Optimize website copy and code to ensure that the site

Online marketing executive for partnerships appears in a prominent position when potential
Identify affiliates customers search for these keywords using Google and
other search engines
Affiliate marketing
Promote a website to increase the number of inbound
Conducting meetings with affilates and formaulate links from other sites
terms with them
Write blogs including the planned keywords in the content
Producing Reports
Producing reports

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 Customer Conversion Manager
Monitor the number of visitors who complete the Work with site analytics to identify what works online
purchase online and what does not

Optimize the user experience to continue to improve Test and identify issues that require change in aesthetics
session time on site and abandoned cart rates
Work with Web Master /IT resource to implement
Establish an ongoing and weekly agenda of site changes
improvements that need to be addressed with clear
recommendations as to the requirements Coordinate with third party creative agencies and
freelancers whenever necessary
Identify and implement new functional tools that will
strengthen customer engagement Team management

Creative team
Produce a wide variety of visual designs to satisfy Present, rationalize and articulate design ideas and
varied e-commerce business needs decisions effectively

Leverage and maintain the brand identity/standards and Produce reports

ensure consistency across all channels

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 Customer Retention Manager
Formulate and execute strategies to drive customer Develop tools to encourage repeat purchases
lifetime value
Social media marketing
Identify key means to strengthen relationships with
existing customers Oversee product return requests and ensure timely
completion of the same
Encourage /drive repeated purchase
Team management
Outbound marketing to engage and update existing
customers

CRM /database executive Email marketing executive

Keep Customer,Partner and Merchant database Generating email leads
information “clean” and updated
Sending mass and targeted mails
Data analysis using MS Excel
Lead profiling and nurturing
Data entry
Lead scoring
Check and verify collected data against various sources
Liaison with other departments
Maintain various Excel based dashboards

Liaison with other departments

Product return executive
Verify customer claim

Make arrangement for return/replacement/refund etc

Make outbound calls to customers to keep them

updated regarding the procedure if necessary

Reporting

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 Merchant acquisition and engagement manager
Manage B2B Marketing: manage leads, conceptualize Assist merchandising and consumer marketing teams in
strategies and coordinate with the creative team definition and delivery of strategic programs involving
merchants
Develop merchant engagement programs like regular
communications, webinars, events, round-tables, Marketing and Training Materials: develop training
merchant summits etc; enable streamlined merchant materials for internal and external audiences to ensure a
acquisition and lead generation great experience for merchants; assist merchants to sell
more, more effectively
Coordinate sales team activities to support programs;
provide Sales with materials, briefings and training Provide data and analytics to refine and improve
merchant acquisition and retention

General Online B2B Online executive for merchants

marketing and sales executive Identify and address merchants' issues
Merchant lead generation and acquisition
Conduct meetings with merchants and formulate terms
with them
Content marketing

Formulate plans for merchants

Identify new channels for marketing

Address merchant concerns

Email marketing

Producing Reports
Create landing pages

Webinars

Producing Reports

Mobile marketing

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 Catalogue Manager
Manage Product/Copy/Editorial and Photographic Website experience management
content on the site
Product and information hierarchy
Ensure quality of photography and image resolution
Work with Customer conversion manager to identify
Ensure quality of copy descriptions which products /categories work best and identify
opportunities for improvement
Manage/ design banners and other signages
Content distribution by marketing through social media
Overall online merchandising and design lay-out
Identify and showcase products based on seasonal
Define key product categories preferences

Visual Merchandiser Copy writer

Ensure that products are placed in the right categories at Create e-commerce product descriptions edit and
the right time to maximise conversion and performance proofread copy for accuracy, grammar, and punctuation

Strategize on how products can be delivered online in Working with the studio and product teams to co-ordi-
order to provide an enhanced look and feel to give the nate weekly releases of new products onto site and
customer a great shopping experience manage accuracy of the information

Interpret and understand consumer behaviour to Recognising and crafting compelling stories around
improve layout and content, as well as placement of new and existing products
products on site
Liaising with the supplier to obtain all information for
Ensure products are set up and tested to check whether product creation before release
the order process is working correctly and is consistent
across all product types Helping to manage site content

Attribute products correctly so they appear in relevant Creating fresh content for the site and newsletters
categories and are returned in all relevant site searches
Measure and report copy success, and also come up
Ensure that products are set up and pushed live onto with ways to improve on these successes
website in a timely and efficient manner in time for key
events Work with e-commerce marking team to ensure all copy
is SEO friendly Consistently seeks out best practices in
Review site traffic, conversion, basket size, AOV, and SEO.
other metrics to understand customer behaviour in order
to improve layout and content, as well as placement of Create output for all in-house marketing materials
product on the site ranging from tube and press campaigns, exhibition
display to catalogues
Review competitor web sites to evaluate merchandise,
promotional tactics, customer experience and product
presentation to create competitive online programs Studio team: photography + styling
Ensure shoots and styles are according to the current
trend and brand guidelines

Handles all necessary prep work including adding

photographic elements to make sure all merchandise
looks clean and fresh

Find the best range of merchandise to be used in

photography shoots

Create and develop on-set standards and styling

techniques
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 Technology Manager
Establish the company’s technical vision and lead all Define, architect, and execute the organizational and
aspects of the company’s technological development infrastructural plans required to fulfill the company's
business and technology related strategies
Evaluate the need to make changes to system
architecture Ensure system stability and function ability, security and
project proceed
Conduct research and case studies on leading edge
technologies and determine the probability of Work in a consultative fashion with other department
implementation heads, such as marketing, production and operations as
an advisor of technology to improve efficiency and
Supervise all functional area of technology including effectiveness
leading team to review sites, testing, production
operations and technical support Identify and upgrade technology at par with the latest
technological trends
Work directly with the founder and CEO to help develop
the best technological strategy to support the accelerat-
ing growth of the business

Developers
Assist in the technical and financial evaluation, design, UI Development
integration, implementation and support of projects
Advertising placement as per the design suggested
Style pages as per the design assigned
Server mangement and configuration
Integrate technology purchased by the organization
Remain in standby to stepin during any breakdowns to
Assist various departments in implementing technical minimise downtime
elements

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 Logistics manager
Develop and implement best practices for the online Guide packaging engineering to unique needs and
ordering and fulfilment process from the moment the solutions
website order transmits to the final home delivery
Monitor and resolve operational issues that impact order
Work closely with inventory planning, warehouse and fulfilment
logistics groups to drive process improvements and
meet 100% availability and 24 hour ship objectives Identify and resolve customer experience risks, including
warehouse and system integration issues and work
Communicate with customers, vendors and shipping closely with customer service to fully analyze the
carriers to maximize flexibility, minimize expenses and consumer experience
product/packaging damage
Develop reporting for visibility into warehousing and
fulfilment metrics and management

Warehouse supervisor Packers

Manage Dispatch/inward Operations Pack goods as per the order form securely, meeting the
companty standards of packaging
Ensure timely dispatches and inward
Gift packing if prescribed
Manage workforce and its efficiency
Tagging goods and segregating as lots
Ensure timely invoicing/reporting.
Inserting invoice and other accessories which are
Manage product returns and settlement included in the order

Issue inventory report (MIS), dead stock report, goods

age report, consumption report, in or out status report,
manpower status report, etc

On-time shipping analysis and picking/packing analysis

Segregating goods in lots for easy and error free

shipping

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 Finance and HR manager
Develop and manage the organization’s annual budget, Manage book-keeping, accounts payable, and accounts
and develop budgets for new programs and projects as receivable
needed
Manage human resources, including payroll, and
Supervise the organization’s financial management, selection and administration of benefits
budgeting, and human resources systems
Maintain and disseminate up-to-date employee policies
Provide timely and accurate financial analyses,
forecasts, and results to assist CEO in performing Organize and oversee management of all paper and
his/her responsibilities electronic files related to finance, audit, and human
resources
Ensure the timely submission of financial reports
including audited financial reports, tax returns, and other Manage reconciliation in case of refunds to customers
financial reports as needed

Accountants HR executive
Preperation of financial reports including audited Plan and execute existing & new initiatives created for
financial reports, tax returns, and other financial reports employee communication
as needed
Assist in developing job descriptions & competency
Maintain books of accounts such as accounts payable, framework & models for all positions across the
and accounts receivable etc organization

Maintain reconciliation of refunds to customers Manage & execute the Performance Management
Process within the organization, ensuring timely
Financial Reporting to support the month end close implementation of Performance Management system
process and monthly accounting and analysis activities end-to-end

Post journal entries, performing balance sheets Maintain human resources activities, including payroll,
reconciliations as well as ad hoc analysis to identify and and selection and administration of benefits
resolve key issues with significant financial impacts
Understand resource requirement and find suitable
Perparation of monthly and daily reports candidates

Provide induction to new recruits

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 2.SHIPPING
One of the best kept secrets of successful ecommerce businesses is how
well-managed and profitable their shipment method is. Shipping cost plays a
huge role in determining the cost of your products. It has an impact on the cart
abandonment rates as well. Entrepreneurs need to learn the following important
aspects of shipping before finalising a shipping strategy or carrier.

2.1 SHIPPING OPTIONS

The optimum shipping cost is that which helps you save your margin, and at the same time remains attractive to your
customers. The following are the most common shipping options.

2.1.1 Free Shipping 2.1.3 Courier rates

This is a popular introductory strategy commonly followed Ecommerce platforms like Oorjit can integrate in real-time
by various sites. However this can eat into your margin if with various couriers like FedEx, USPS, Auspost, etc.
you don’t price the products skilfully. You may either During the checkout process, the shipping rates will be
completely include the shipping cost in the price of the fetched from the courier providers real-time as the rates will

WHY SHOPPERS product, you may waive off a part of the shipping cost, or vary while considering various aspects like location of
waive it off completely. Free Shipping can also be used to delivery, dimension and weight of the product etc.
AVOID THE upsell or cross-sell products. For example, you may allow
FINISH LINE the user to get free shipping if he/she buys the product You may select a preferred courier service based on the
above a specified quantity or if the user buys another type of the product you wish to ship. The capabilities of
The majority of
related product shipping providers vary based on the nature of the product,
online shoppers geography etc. e.g. FedEx and USPS are preferred for big
said they were packages in the US, whereas and if you are shipping
2.1.2 Flat rate shipping to/inside Australia, AusPost will be the most preferred
either unpre- If you are planning to deal with products of similar size and option. Once you have decided on the carrier you want to
pared to buy at weight this may be the best option for you. As the name use, consider setting up business accounts. Business
suggests, you can charge a common shipping cost for all
the moment or your products. Before using this strategy, you will have to
accounts offer a variety of services including discounts,
better expense tracking and a whole host of online tools to
were deterred by finalize an amount which neither cuts into your margins, manage the shipping aspects of your business more
shipping fees. nor leaves your customers feeling overcharged. efficiently.

Just window shopping not ready to purchase

57%

Saving items for later

56%

Shipping cost was too much

55%

Items or amount did not qualify for free shipping

51%

Shipping and handling cost were listed too late

40%

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PRODUCT REVIEW 2.2 INSURANCE AND TRACKING
Insurance and tracking provides security and increases your customer’s confidence in you. Most courier services offer
insurance and tracking services. The insurance amount will vary based on the value of the property you are shipping. You
may either include insurance cost as part of the product price or give it as an option for the customer to choose. If you are
covering the insurance in the product price, ensure that you mention it to the customer. If you make insurance coverage
optional, be sure to convey that you can’t be held responsible if any mishap happens during transit. Sometimes certain

85%
courier companies may charge additional for tracking the package especially if the destination is international. This facility
can also be given as an option for the customer to choose.

of customers 2.3 CUSTOMS TAXES AND DUTIES

read online In case a product ordered has its shipment address overseas, it is liable to the regulations of the recipient’s nation. Customs
authorities will add the applicable taxes and duties, depending on the nature of the item shipped, its intended use, etc. To
reviews for local succeed in the global ecommerce industry, it is therefore essential to be familiar with international taxes and terms of trade.
businesses
After an online purchase, a shipped product duty and tax amount is usually based on a combination of the following factors:
before makinga
purchase 2.3.1 Product Value 2.3.3 Use of Products
The declared value of an item determines the taxes and Depending on the use of the product being shipped, the
duties applicable to it. Hence it has to be ensured that the taxes and duties involved will differ. An item that is sent
OF THOSE declared value is equal to its fair market value. A percent- from person to person, and which cannot be used for profit

79%
age of the declared value of the product is typically for any businesses or companies, is exempted from taxes
ascertained as its tariff. In case the item gets lost in transit, and duties in certain countries. The value of the shipment

trust the reviews the seller will only be insured for the declared value of the will have to be restricted to a certain amount set by the

as much item. So it is a bad idea to under mark a product’s value to recipient country. Such items are to be labelled as “gifts” on

as a personal evade taxes. A difference in the declared value will lead to their shipping documentation. Even so, there are

recomendation disputes in case the item is inspected. Also, labelling an exceptions to this is places like the UK where even gifts are
item as a gift to bypass taxes is illegal and will result in dire not exempt from duties or taxes.
consequences

2.3.2 Trade Agreements SHIPPING

Several countries are involved in international trade
agreements which result in reduced or waived taxes and
other duties. To give a cheaper & easier deal to the buyer, it
is always good to check whether the recipient country is
involved in any trade agreement with your country. NAFTA
59%
Of our consumers
(North American Free Trade Agreement) is an example for

67%
say they considers
such an agreement. You can attract more customers by shipping costs when
marketing your products in countries involved in trade making online
agreements with your country, as they will have to pay a purchase decisions
of consumers read lower price.

6 reviews or less
before they feel
they can trus a 76%
53%
business enough to 44%
make a purchase 44%That abandon
cart due to high
53%That say low-cost
shipping is a reason to
24%
shipping costs switch online retailers Not Important Important

Cost of shipping Same day delivery

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 2.3.4 Harmonization system code
To simplify and bring a uniformity in the process, a certain when charged, they may complain of being charged
set of codes are used by over 200 countries for the “hidden costs”. To avoid this, you may either warn the
classification of items being shipped. These are called the customer forewarn that import tariffs will incur in case of
“Harmonization System Codes” they are very specific, overseas shipping or you may specify that you are not
marking even minor distinction between discernibly responsible for any incurred import tariffs. In addition to
identical products. Different HS codes fall under different this, there may be unforeseen delays for indefinite periods
tariff categories and they can also be helpful in checking at the customs checkpoint. Ensure that your customers are
whether the product is eligible for any special tariff under informed of this, while also letting them know that you have
trade agreements. no control over the same.

As it is the customers’ requirement that the product be

shipped to a different country, its import tariff becomes
their responsibility. Yet this is not a widely known fact and

Here's an example of how one store prominently displays information regarding additional charges on
their shipping policy page to ensure customers are aware of possible charges:

3. PACKAGING
Unlike in brick and mortar stores, packaging is your first physical contact with your
customer. Using this opportunity to create a unique customer experience will
increase your chances of retention. The packaging can also add significant cost to
your delivery budget and is capable of eating into your profits. So the packaging
strategy you choose should be a strategic blend of customer experience and cost.
The following points will cover this topic in detail.

3.1 PACKAGING FOR MARKETING

The customer expectation has risen so high that packaging has grown from merely a layer of protection to a method
that helps present the product before your customer, as an extension of your brand. It has become a significant part of
the overall shopping experience which helps your customers differentiate your product from your competitors.

For instance, when it comes to packaging products no other company beats Apple. The Apple products come in
packages which entice their customers to shoot a video of their first unboxing experience. Such unique customer
experiences will last a lifetime and they will be eager to share it with others as well. This is free publicity which doesn’t
come easily.

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 3.2 PACKAGING OPTIONS
There are several options from boxes to envelopes available to safely pack and ship your products to your customers.
While choosing, you will have to make sure that it is capable of delivering the products exactly how you shipped them
and that the package reflects your brand. Providers like ULINE provide 1000’s of options to choose from and you may
find your desired package by searching based on your package dimension.

3.3 COST EFFECTIVE PACKAGING

Always keep in mind before you choose a package that the couriers charges you based on the dimension and weight of
the package. If you opt for a package which is too big for your product, it will affect your profit margins. You should also
identify several alternatives while considering options for packaging your product.

Sometimes, applying creativity in shipping can help you save money and earn customer loyalty. For instance, “NOMAD”
uses envelope shaped packages for shipping their iPhone charges. This not only helps them reduce the packaging cost,
it also reduced the shipping cost to the cost of an envelope.

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 4.LABELLING
Labelling can be a tedious task as your business grows. The solution is to get a
label printer that is capable of printing in the dimension and shape as you desire.
You need to check that your label includes the mandatory fields required for
international and domestic shipping. Platforms like Oorjit supports integration of
label printers and you can right away print the label from the admin dashboard.

5.FULFILMENT SERVICES
Fulfilment services like “Fulfilment by Amazon” can help you take care of the
entire shipping process at a cost. Based on the plan you opt for, you could store
the products in their inventory and the fulfilment agency will pack, ship and deliver
the products to your customer. Here are some of the advantages and disadvan-
tage of using fulfilment services

5.1 FULFILMENT ADVANTAGES

You no longer need to worry about shipping, customer support, and returns

You can concentrate more on your core business goals primary commerce activities

Access to cheaper shipping rates

Take advantage of their expertise in shipping, utilization of space, hardware, software etc.

Save warehousing cost and its related overheads like Human resource, Equipment etc.

5.2 DISADVANTAGES
Rates will be high compared to when you are handling the procedure personally

Labelling, packaging etc. won’t be personalised so you might not be able to deliver
your brand’s unique experience.

You won’t have control over your customer experience which might affect brand loyalty.

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 6. PRODUCT RETURNS
Product returns often add up to be an unexpected and hefty expense for e-com-
merce businesses. Improper handling of product returns can result in losing cus-
tomer loyalty and confidence forever and result in huge losses. There may be sever-
al reason for product return like damaged product, customer didn’t like the product,
different product delivered, etc. No matter what the reason , there should be a
proper return policy in place, which should give clarity to both the company and the
user on how the returns will be handled. Here are a few key points to note that will
help you write up a perfect product return policy.

Nature of the product return (Damaged, misplaced etc.)should determine the course of action
i.e full-refund, partial, exchange, or perhaps none at all

Mention that the product imagery and product may be different. If the products you're selling have
proper descriptions, images and videos you can reduce the number of returns significantly.

It is best not to use complex language that confuses the users. The policy should be simple and clear.

Ensure that the policy is easy to find and read

Mention about all costs that will be incurred in the process. Hidden costs must be avoided

Always specify a time frame for returning the product. Setting a separate time frame for damaged or
malfunctioning products will be a good option to minimise malpractices.

State whether the customer can expect to exchange the item, get store credit, or enjoy a cash return.

Mention that all returns are subject to inspection and clearance by your in-house quality team, specifying
that in case the cause for product return is found to be fraudulent by your team, the return will not be allowed.

State clearly about who will be paying the return shipping charges.

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 About Oorjit
The pioneer in merchant-customer engagement gives you the power to connect with your customers
through innovative engagement solutions.

The customer engagement solutions from Oorjit are designed to offer superior functionality and support.
Oorjit brings a best-in-class engagement platform which is fast, secure and feature-rich with integrated
extensions and analytics.

Oorjit is the perfect platform to engage your customers. It is a 100% scalable and secure platform. The
Oorjit Team are a group of innovative visionaries who are keen on initiating a revolution in the customer
experience. We help our customers win over the market and ensure that they can gain & retain custom-
ers while enhancing customer engagement.

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