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JioMart Grocery Delivery Now Live: Nervous Times For BigBasket, Grofers & Co?

JioMart Grocery Delivery Now Live: Nervous Times For BigBasket, Grofers & Co?

Earlier, the platform was serving in Navi Mumbai, Kalyan and Thane in Mumbai

With limited serviceable areas, JioMart has made its debut on WhatsApp last month to provide convenient ordering

The grocery delivery segment in India may record $3 bn in sales this year, reveals Forrester Research

After launching a pilot in some parts of Mumbai and Thane district, Reliance Jio’s grocery delivery platform JioMart has gone live in major metro cities such as Delhi, Chandigarh, Hyderabad, Bengaluru, other parts of Mumbai, Chennai and Kolkata.

JioMart is yet to confirm the list of cities, however, the above-mentioned locations/pin codes are marked as serviceable. The platform had started its operations in December 2019 from Navi Mumbai, Kalyan and Thane in Mumbai.

JioMart is currently dealing in fruits and vegetables, dairy and bakery, staples, snacks and branded food, personal care products, home care and baby care products. Last month, the company had also made its debut on Facebook-owned WhatsApp to allow its customers in three pilot cities to place orders through the instant messaging app. Facebook had spoken about the partnership on April 22, while officially announcing its $5.7 Bn investment in Reliance’s digital service umbrella company Jio Platforms.

The interface of JioMart is similar to other grocery delivery platforms with categories displayed on top for groceries, staples, food items, home care and personal care products. However, at the moment, the company is not selling meat, poultry or egg products. It would seem that JioMart has gone for an inventory-led model, rather than deliver from stores in the consumer’s vicinity. However, the company’s service through WhatsApp enlists local retailers for products.

Over the last few months, players across several segments have entered the domain to leverage the rise of demand. Cab-hailing service Uber, epharmacy NetMeds, food delivery giants Zomato and Swiggy, and digital payments platform Bharatpe are just a few examples here. Meanwhile, traditional grocery delivery platforms BigBasket and Grofers have also added new users and seen a surge in orders, which has led to issues of delivery slots and fulfilment. So there’s definitely room for JioMart in this crowded market.

According to US-based market research company Forrester Research, the Indian online grocery delivery segment is set to record $3 Bn in sales this year, representing a 76% hike compared to $1.7 Bn last year. The report has attributed this increase in sales to the nationwide lockdown and the restrictions around on ecommerce delivery of non-essentials, as well as the wide-scale impact on the retail market, which saw many local shops down their shutters temporarily.