Why BigBasket Is Not Too Concerned About Flipkart?


Flipkart plans to enter food retail business with Flipkart FarmerMart

Amazon has committed an investment of $500 Mn for food retail as well

Is BigBasket ready for the two major ecommerce players in the grocery delivery sector?

Founded in 2011, grocery delivery startup BigBasket has changed how many Indians get their daily groceries and home essentials. Over the years, the company has made changes in its operations to not only support the marketplace model but also enter into the private label territory and daily deliveries based on subscriptions.

BigBasket’s model that has been built not only in delivery of products but also on the supply chain infrastructure that lets the company procure products directly from producers. And, cofounder and CEO Hari Menon believes this gives the company a great advantage over deep-pocketed Amazon and Flipkart, which are also entering the grocery and food retail sector.

In an interview with ET, Menon said that while the entry of Amazon and Flipkart is great news for the grocery sector, the companies are likely to take at least one year to scale up their supply chain capabilities for groceries and fresh food across the top cities.

Menon believes that the grocery delivery sector will see great growth in the next few years with Amazon and Flipkart bringing in their user bases to the sector. He added that the competition is healthy for the sector as it will replicate the growth of ecommerce in the Indian market.

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Source: https://inc42.com/buzz/why-bigbasket-is-not-too-concerned-about-flipkart-amazon-grocery-delivery-competition/

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