In a major show of intent to its competitors, Indian e-commerce biggie, the Walmart-owned Flipkart has launched a hyperlocal 90-minute delivery service called Flipkart Quick. In the first phase, it is being launched in Bengaluru. And it will deliver across categories including grocery, mobiles, electronics and home accessories.
Building on its technology capabilities and supply chain infrastructure. Flipkart Quick is said to use a new location mapping technology framework.
Flipkart Quick aims to provide consumers with a handpicked assortment of more than 2,000 products in categories varying from grocery, fresh, dairy, meat, mobiles, electronics accessories, stationery items and home accessories in the first phase. This also marks Flipkart’s foray into servicing fresh fruits, vegetables, meats, and milk orders.
Flipkart is in the last few weeks making its intent clear against major rivals JioMart and Amazon.
- Your local kirana store can now be listed on Amazon India
- Nearly half of eCommerce searches on Google drive no traffic
- Amazon Food takes on Swiggy and Zomato in India
All within 90 mins
As part of Flipkart Quick, consumers can choose to order in the next 90 minutes or book a 2-hour slot as per their convenience. Customers can place orders anytime of the day, and get their orders delivered between 6 a.m. to midnight; starting with a minimum delivery fee Rs 29.
The whole working model is a major challenge to JioMart, which also has a similar structure: When a customer places an order, the items are sourced from local neighborhood stores, warehouses and retail chains. In the case of JioMart, it will also use its own Reliance Retail stores.
Commenting on the launch, Sandeep Karwa, Vice President, Flipkart, said, “Hyperlocal capabilities can be described simply as building connections between locally available products and consumers in a particular area. This is a great model for India as households of all sizes are already used to their neighbourhood Kirana stores."
"While we start with our dark store (no-walkin) model, wherein we enable sellers to store inventory close to the consumer; this model has the potential of encouraging local entrepreneurship and enabling new business strategies and partnerships," he added.
Flipkart Quick will debut in Bengaluru in select locations, including Whitefield, Panathur, HSR Layout, BTM Layout, Banashankari, KR Puram and Indiranagar.
New technology for location mapping
Moving away from the traditional model of using a pin-code system to identify the delivery location, which can span across a larger area, Flipkart Quick will use innovative and advanced technology for location mapping. "This technology promises to not only speed up the last mile process, but also bring more accuracy to the address mapping system, hence avoiding chances of mismatch or reattempts," Flipkart said in a press release.
Halfway through the year of the pandemic, supply chains have transformed drastically. The hyperlocal category, known for being a convenience for many, has now emerged to be a long-term essential service for many. The Indian hyperlocal market is potentially worth Rs 2,306 crore.
The Flipkart entities include group companies Flipkart, Myntra, and PhonePe.
Flipkart had earlier in 2015 launched a hyerlocal service named Nearby, but gave up on it quickly.
This is a happening phase for Flipkart. Flipkart recently secured an additional $1.2 billion in funding.
Stung by cancellations and returns that cash on delivery option sometimes, unfortunately ends up in, Flipkart has also come with a via media plan: part payment option.
Last week Flipkart bought 100% stake in Walmart’s India wholesale business. Flipkart plans to launch its wholesale business in the country next month.
Source: Flipkart.
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