Reliance Retail enters quick commerce race with 1-hour delivery pilot
Reliance Retail has launched a pilot program for immediate delivery of groceries and fast-moving consumer goods (FMCG) in select areas of Mumbai and Navi Mumbai. The orders will be fulfilled within an hour, reported the Economic Times, citing an industry executive. This fast-delivery service has been integrated into the JioMart mobile application under the 'hyperlocal delivery' option. As more stores get linked into the system, Reliance aims to reduce the delivery time to 30-45 minutes.
Reliance's approach to quick commerce
Reliance Retail has chosen not to compete with quick commerce companies like Blinkit, Swiggy Instamart, Zepto and BB Now from Tata-owned BigBasket that deliver orders within 10 minutes. The company's strategy is to fulfill orders from its existing store network and warehouses rather than setting up a higher penetration of dark stores and hiring a large fleet of delivery personnel. In areas with limited store networks, Reliance plans to collaborate with kirana stores under the JioMart Partner initiative.
Technology and collaboration in Reliance's delivery model
Reliance Retail is utilizing technology platforms such as FYND and Locus for the fulfilment process and to optimize delivery routes. The company also plans to offer hyperlocal delivery for apparel and electronic items at a later stage. To manage this re-entry into quick commerce, an inter-departmental team has been formed, including Reliance Retail's chief executive for grocery business, Damodar Mall, and JioMart's chief executive Sandeep Varaganti.
Reliance's previous quick commerce endeavors and future plans
Last year, Reliance discontinued its quick-commerce pilot - JioMart Express - in Navi Mumbai. However, this time around, the company has not used any specific branding for the initiative. The team managing this re-entry into quick commerce will be expanded as more categories get added to the hyperlocal delivery service. This indicates a strategic shift in Reliance's approach toward quick commerce and delivery services.
