Reliance Retail is making moves to enter the rapidly growing quick commerce sector, intensifying competition against Zomato‘s Blinkit, Swiggy Instamart, and BigBasket. The͏͏ nation’s͏͏ largest͏͏ retailer͏͏ is͏͏ now͏͏ offering͏͏ quick͏͏ commerce͏͏ services͏͏ in͏͏ select͏͏ regions͏͏ of͏͏ Navi͏͏ Mumbai͏͏ and͏͏ Bengaluru͏͏ through͏͏ its͏͏ ecommerce͏͏ platform,͏͏ JioMart,͏͏ since͏͏ last͏͏ weekend.
Product͏͏ Offerings͏͏ and͏͏ Expansion͏͏ Plans:
Initially,͏͏ it͏͏ will͏͏ sell͏͏ grocery͏͏ items͏͏ from͏͏ its͏͏ network͏͏ of͏͏ approximately͏͏ 3,000͏͏ retail͏͏ stores͏͏ across͏͏ the͏͏ country,͏͏ with͏͏ plans͏͏ to͏͏ eventually͏͏ expand͏͏ to͏͏ include͏͏ value͏͏ fashion͏͏ and͏͏ small͏͏ electronic͏͏ products͏͏ such͏͏ as͏͏ smartphones,͏͏ laptops,͏͏ and͏͏ speakers,͏͏ according͏͏ to͏͏ Economic͏͏ Times͏͏ (ET).͏͏ All͏͏ orders͏͏ will͏͏ be͏͏ fulfilled͏͏ through͏͏ its͏͏ own͏͏ network͏͏ of͏͏ stores,͏͏ including͏͏ Reliance͏͏ Digital͏͏ and͏͏ Trends.
The͏͏ retail͏͏ division͏͏ of͏͏ Reliance͏͏ Industries͏͏ aims͏͏ to͏͏ quickly͏͏ expand͏͏ its͏͏ quick͏͏ commerce͏͏ venture͏͏ across͏͏ India͏͏ by͏͏ the͏͏ end͏͏ of͏͏ this͏͏ month,͏͏ targeting͏͏ delivery͏͏ times͏͏ of͏͏ 10-15͏͏ minutes͏͏ for͏͏ most͏͏ orders͏͏ and͏͏ 30͏͏ minutes͏͏ for͏͏ the͏͏ remainder,͏͏ according͏͏ to͏͏ the͏͏ executive.͏͏ The͏͏ company͏͏ will͏͏ utilize͏͏ its͏͏ acquired͏͏ logistics͏͏ service,͏͏ Grab,͏͏ for͏͏ order͏͏ fulfillment.
Continue͏͏ Exploring:͏͏ Reliance Industries͏͏ set͏͏ to͏͏ disrupt͏͏ quick commerce market͏͏ with͏͏ JioMart’s͏͏ entry,͏͏ challenging͏͏ Blinkit,͏͏ Zepto,͏͏ and͏͏ others
No͏͏ Dark͏͏ Stores:͏͏ A͏͏ Unique͏͏ Approach
However,͏͏ Reliance͏͏ does͏͏ not͏͏ plan͏͏ to͏͏ establish͏͏ dark͏͏ stores͏͏ or͏͏ neighborhood͏͏ warehouses,͏͏ in͏͏ contrast͏͏ to͏͏ other͏͏ quick͏͏ commerce͏͏ operators,͏͏ according͏͏ to͏͏ the͏͏ executive.͏͏ Analysts͏͏ noted͏͏ that͏͏ this͏͏ could͏͏ pose͏͏ a͏͏ challenge͏͏ for͏͏ delivering͏͏ orders͏͏ within͏͏ 30͏͏ minutes͏͏ in͏͏ large͏͏ cities,͏͏ particularly͏͏ during͏͏ peak͏͏ traffic͏͏ hours.
Customer-Centric͏͏ Strategy:
To͏͏ attract͏͏ customers,͏͏ Reliance͏͏ will͏͏ not͏͏ impose͏͏ any͏͏ delivery,͏͏ platform,͏͏ or͏͏ surge͏͏ fees,͏͏ regardless͏͏ of͏͏ the͏͏ order͏͏ value.͏͏ The͏͏ company͏͏ plans͏͏ to͏͏ concentrate͏͏ primarily͏͏ on͏͏ underserved͏͏ smaller͏͏ cities͏͏ and͏͏ towns͏͏ where͏͏ quick͏͏ commerce͏͏ operators͏͏ like͏͏ Blinkit͏͏ have͏͏ yet͏͏ to͏͏ establish͏͏ a͏͏ presence,͏͏ according͏͏ to͏͏ the͏͏ executive.͏͏ In͏͏ contrast,͏͏ other͏͏ platforms͏͏ do͏͏ charge͏͏ delivery͏͏ and͏͏ platform͏͏ fees.
Reliance͏͏ plans͏͏ to͏͏ provide͏͏ a͏͏ broader͏͏ selection͏͏ of͏͏ products,͏͏ ranging͏͏ from͏͏ 10,000͏͏ to͏͏ 12,000͏͏ stock͏͏ keeping͏͏ units,͏͏ by͏͏ integrating͏͏ its͏͏ entire͏͏ store͏͏ inventory͏͏ with͏͏ the͏͏ quick͏͏ commerce͏͏ business—significantly͏͏ more͏͏ than͏͏ its͏͏ competitors.
Continue͏͏ Exploring:͏͏ Over͏͏ 30%͏͏ of͏͏ shoppers͏͏ rely͏͏ on͏͏ quick commerce for͏͏ essentials:͏͏ NielsenIQ
Long-Term͏͏ Market͏͏ Vision:
Ultimately,͏͏ the͏͏ company͏͏ aims͏͏ to͏͏ reach͏͏ 1,150͏͏ cities͏͏ across͏͏ 5,000͏͏ pin͏͏ codes͏͏ where͏͏ it͏͏ operates͏͏ grocery͏͏ stores.͏͏ The͏͏ executive͏͏ mentioned͏͏ that͏͏ the͏͏ company͏͏ will͏͏ focus͏͏ on͏͏ capturing͏͏ a͏͏ larger͏͏ share͏͏ of͏͏ the͏͏ market͏͏ in͏͏ towns͏͏ and͏͏ smaller͏͏ cities͏͏ that͏͏ have͏͏ been͏͏ previously͏͏ overlooked͏͏ by͏͏ quick͏͏ commerce͏͏ firms.
“Reliance͏͏ has͏͏ revamped͏͏ the͏͏ order͏͏ delivery͏͏ process͏͏ for͏͏ JioMart.͏͏ Previously,͏͏ orders͏͏ were͏͏ scheduled͏͏ for͏͏ delivery͏͏ within͏͏ 1-2͏͏ days͏͏ using͏͏ small͏͏ trucks͏͏ that͏͏ would͏͏ pick͏͏ up͏͏ multiple͏͏ orders͏͏ and͏͏ deliver͏͏ them͏͏ individually.͏͏ Now,͏͏ all͏͏ grocery͏͏ orders͏͏ will͏͏ utilize͏͏ quick͏͏ commerce,͏͏ with͏͏ a͏͏ single͏͏ delivery͏͏ bike͏͏ or͏͏ cycle͏͏ handling͏͏ each͏͏ order.͏͏ Each͏͏ grocery͏͏ store͏͏ will͏͏ service͏͏ a͏͏ 3͏͏ KM͏͏ radius,”͏͏ the͏͏ executive͏͏ explained.
Earlier͏͏ this͏͏ year,͏͏ the͏͏ company͏͏ sought͏͏ to͏͏ cut͏͏ JioMart’s͏͏ delivery͏͏ times͏͏ to͏͏ a͏͏ few͏͏ hours͏͏ or͏͏ within͏͏ the͏͏ same͏͏ day͏͏ through͏͏ its͏͏ hyperlocal͏͏ initiative.͏͏ It͏͏ has͏͏ now͏͏ further͏͏ optimized͏͏ the͏͏ process͏͏ to͏͏ offer͏͏ delivery͏͏ within͏͏ 10-30͏͏ minutes.͏͏ “This͏͏ has͏͏ become͏͏ a͏͏ pressing͏͏ demand͏͏ in͏͏ the͏͏ current͏͏ market,”͏͏ the͏͏ executive͏͏ noted.
Queries͏͏ directed͏͏ to͏͏ a͏͏ spokesperson͏͏ for͏͏ Reliance͏͏ Retail͏͏ received͏͏ no͏͏ response.
Industry͏͏ Insights͏͏ and͏͏ Future͏͏ Outlook:
Devangshu͏͏ Dutta,͏͏ CEO͏͏ of͏͏ the͏͏ consulting͏͏ firm͏͏ Third͏͏ Eyesight,͏͏ stated͏͏ that͏͏ Reliance͏͏ could͏͏ effectively͏͏ employ͏͏ a͏͏ blended͏͏ strategy͏͏ of͏͏ quick͏͏ commerce͏͏ deliveries͏͏ in͏͏ areas͏͏ close͏͏ to͏͏ its͏͏ stores͏͏ while͏͏ utilizing͏͏ scheduled͏͏ deliveries͏͏ for͏͏ locations͏͏ that͏͏ are͏͏ farther͏͏ away.
“Given͏͏ that͏͏ they͏͏ are͏͏ focused͏͏ on͏͏ acquiring͏͏ market͏͏ share͏͏ in͏͏ quick͏͏ commerce,͏͏ it’s͏͏ expected͏͏ that͏͏ they͏͏ will͏͏ charge͏͏ no͏͏ transaction͏͏ fees͏͏ and͏͏ provide͏͏ higher͏͏ discounts͏͏ on͏͏ products.͏͏ There͏͏ is͏͏ considerable͏͏ opportunity͏͏ for͏͏ well-funded͏͏ players͏͏ like͏͏ Reliance͏͏ to͏͏ enhance͏͏ their͏͏ presence͏͏ in͏͏ quick͏͏ commerce.͏͏ They͏͏ have͏͏ previously͏͏ supported͏͏ other͏͏ initiatives͏͏ in͏͏ the͏͏ retail͏͏ sector͏͏ once͏͏ they͏͏ proved͏͏ successful,͏͏ and͏͏ they͏͏ may͏͏ pursue͏͏ similar͏͏ strategies͏͏ again,”͏͏ Dutta͏͏ remarked.
For͏͏ fast-moving͏͏ consumer͏͏ goods͏͏ companies,͏͏ quick͏͏ commerce͏͏ represents͏͏ the͏͏ fastest-growing͏͏ channel,͏͏ comprising͏͏ 30-35%͏͏ of͏͏ total͏͏ online͏͏ sales.
