In a strategic shift, BigBasket is looking to make quick commerce the fulcrum of its entire business. owned by Tata Digital, the grocery marketplace is looking to leverage the exponential surge in the demand for 10-15 minute grocery deliveries.
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Industry sources said the founders Hari Menon and Vipul Parekh are believed to have told BigBasket that the firm will only offer 10-30 minute delivery in the coming weeks. This is a serious departure from BigBasket’s traditional online grocery model, which was based on scheduled deliveries.
The pivot to quick commerce is expected to drive a manifold increase in BigBasket revenue contribution. It is targeting $1.5 billion Rs 12,400 crore total sales for the current fiscal of which over 60 percent of sales is likely to come from quick commerce verticals.
BigBasket’s strategic move comes at a time when India’s quick commerce space is facing an unprecedented treble in both demand and competition. Currently, Blinkit from Zomato leads the market with a 40-45% market share, followed by Swiggy’s Instamart, Zepto, and BigBasket’s in-house quick commerce operation, BB Now.
While the quick commerce model has added tremendous convenience to grocery shopping in India, it has also faced their fair share of challenges from incumbents like Amazon, Flipkart, and even BigBasket. There, the ability to deliver groceries within minutes becomes a key differentiator that has forced the traditional players to adapt.
This is, therefore, a bold next step for BigBasket-to be ahead of the pack and evolve with changing consumer behavior. With big brand recognition and developed logistical capabilities, huge experience in the online grocery space could be a differentiator in an already crowded quick commerce market.
But this pivoting will be successful only if BigBasket manages to get rid of the logistical hassles that instant delivery generally faces in Indian urban cities. Also, it has to strike a delicate balance between fast delivery and an assortment of products with lucrative discounts, which is paramount for the frugal Indian consumer.
Now, with BigBasket all set to begin this metamorphosis, the entire industry would be watching and waiting for what happens after that in this bold step and if BigBasket could consolidate its leading position as the industry gets into shape in a new landscape in India.
In summary, BigBasket is pivoting its entire business to quick commerce, aiming to capitalize on the surging demand for 10-15 minute grocery delivery in India and contribute over 60% to its targeted $1.5 billion sales.
