India’s most successful startup is planning to take on another sector of marketing in which seldom business e-tailors have succeeded. Previously, e-tailors such as Eatlo, Just Eat, Dazos, Peppertap, Ola Store and many more had to retire partially or completely from the business of food or grocery delivery.
Food and grocery delivery is one of those sectors of the market where even successful and established market giants don’t dare to tap foot in, due to its shockingly poor response within only months after its kick-off.
The Potential Causes of Failure
- The introduction of food/grocery delivery startups in or around a city usually begins with introductory discounts on the first order or referrals. As soon as the first or second order are done with, reluctance to pay higher sums of money on orders when discounts from the nearest Kirana shop can be easily availed, arises.
- Moreover, buying 20g of black pepper online and then paying 50 bucks only for delivery doesn’t go well with the ‘saving money even on tips’ kind of Indians.
- Another cause of failure is the highly anticipated problem – Time. Indians never like their food cold and competition from behemoths such as PHD and Dominos doesn’t help their case either.
Why Flipkart Could Make It
- Flipkart launched its grocery delivery arm called Nearby in Bengaluru last year. The venture failed miserably. Could be expected of Flipkart to have been coming back after correcting all the shortcomings faced by Nearby.
- Flipkart is an already established name in the hearts of Indian customers. Hence, there’s a good chance of Flipkart achieving what other food delivery startups couldn’t.
- Flipkart is a continuously expanding business venture. With a growing team of experienced and acing marketing strategists, the business model employed by Flipkart could be trusted to be better than its previously failed rivals.
It would be exciting to see what kind of results does Flipkart receives after its food delivery wing finally takes off. Any sort of previously done analysis can be proven shoddy if the customers love the idea.
After all, that’s how Binny and Sachin Bansal raised a billion-dollar-company. If successful, it would add another feather to Flipkart’s hat of spectaculars victories in almost all the sectors of e-tailing.
Let’s wait and watch.
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