Parsana Health Centre Private Limited, one of the pioneers of the organized fitness industry in the city, of Ahmedabad, had been actively engaged in inculcating, nurturing and promoting a healthy lifestyle to the general public through fitness regimes over the last two decades. The thirteen Parsana centres in the different parts of the city were reduced to eight centres facing stiff competition from the local players and the Parsana brothers had to set their priorities right, in order to discover the best strategy for growth. They thereby had to put together an appropriate promotional and positioning strategy in view of the long term objectives.

This case focuses on Infibeam, a small, new e-commerce company in India, as an illustration of innovative B2B contractual agreements that enabled it to acquire a significant customer base at a very low cost. However, it must now develop innovative strategies for marketing communication, customer value proposition and a new IT e-commerce rural platform in order to achieve its required growth estimates and raise capital for a new project in cooperation with a state government. Internet retailing is rapidly growing in India, but it does contain challenges: the cost of acquiring customers is high; per person spending amount is smaller; and customers are spread all over the country, often 2,000 kilometres away from supply centres.