How Reliance Retail plans to scale hyper-local deliveries in India
What's the story
Reliance Retail has launched over 600 dark stores across India, a strategic move to bolster its hyper-local delivery services. The company plans to add more of these stores to ensure deliveries in under 30 minutes. This expansion is part of Reliance's larger strategy for its e-commerce platform, JioMart, which has seen remarkable growth in daily orders and customer acquisition.
Market dominance
JioMart's e-commerce growth
Reliance Retail's CFO Dinesh Taluja recently addressed an analyst query after the company's quarterly results. He said that JioMart is well-positioned with its vast physical store network and dark stores being established in select areas. The e-commerce platform has grown by 42% quarter-on-quarter (QoQ) and over 200% year-on-year (YoY) in average daily orders.
Expansion details
Competing with quick commerce players
JioMart is the fastest-growing quick hyper-local commerce platform, operating across 5,000 pin codes and serviced by over 3,000 stores in more than 1,000 cities. The platform competes with other quick commerce players like Zomato-owned Blinkit, Swiggy Instamart, and BigBasket. Reliance Retail had said its hyper-local deliveries covered 4,000 pin codes across India in the March quarter.
Customer surge
Spike in customer acquisition and seller base
JioMart witnessed a massive spike in customer acquisition, adding 5.8 million new customers in a quarter. This was a whopping 120% QoQ growth. The platform's seller base grew by 20% YoY, and its live catalog selection was further expanded to give more choices to customers.