In response to heightened competition from rapid-commerce players such as Zepto and Blinkit, leading e-commerce giant Flipkart, and online grocery provider BigBasket have intensified efforts to speed up their delivery services. This strategic move comes as consumer demand for swift deliveries surges, even in smaller urban centers.
BigBasket, under the umbrella of Tata Digital, recently rebranded its slotted delivery service to “Supersaver,” pledging delivery within a mere two-hour window. In a parallel move, Flipkart, owned by Walmart, has rolled out same-day delivery across a plethora of product categories in 20 cities, free of additional charges.
The operational restructuring at BigBasket includes a transition from delivery vans to a fleet of bikes, with all deliveries now originate from its network of dark stores. CEO and Co-founder of BigBasket Hari Menon, disclosed that these dark stores now boast an inventory of over 30,000 stock-keeping units (SKUs), a notable increase from the previous 10,000.
On the other hand, the Head of Supply Chain and Senior Vice President of Flipkart Hemant Badri, emphasized technological advancements and meticulous planning to facilitate same-day delivery across diverse urban regions. He underlined the strategy of fulfilling orders from the nearest fulfilment centres to minimize transit times, thereby ensuring uniform delivery efficiency across non-metro and metro regions.
This delivery focus extends to tier-2 markets, where both BigBasket and Flipkart have established a significant customer base. According to Senior Director of Consumer and Retail of 1Lattice Ashish Dhir, consumers in smaller towns expect prompt delivery services more than their metropolitan counterparts.
Dhir noted that enhanced services from e-commerce entities may confer a competitive advantage over brick-and-mortar stores in tier-2 and beyond. Customers in these locales aspire to access a wider array of products, a feat that online platforms can achieve more efficiently.
Looking ahead, BigBasket intends to further reduce delivery times for Supersaver to just one hour, with plans to expand the service to all 70 cities in its operational purview. However, there exists a potential risk of sales cannibalization due to the combination of speedy delivery and discounted prices.
Flipkart is set to unveil its fast-commerce service in the near future. Similarly, Zepto and Blinkit are broadening their product offerings through partnerships with various brands, covering categories like electronics, fashion, home goods, and beauty.
Flipkart’s same-day delivery service encompasses a diverse range of categories, including fashion, electronics, mobile phones, books, and beauty products.
