Impact of Covid-19

The Covid-19 lockdown has gifted us with a plethora of creative ideas that have led to the creation of replacements for the majority of physical tasks that were previously only performed in person. One of the positive effects of the Covid-19 lockout was the delivery of packages to your doorstep, whether it was food, groceries, or shopping products. Previously, you had to go to the vendor to pick up your package, but now the bhajiwalas, from whom we used to buy vegetables, are taking orders through WhatsApp. They simply give us a list of the vegetables and fruits they will be selling tomorrow, along with their prices. Haven’t India changed? Have you ever imagined that one day, those merchants who have never used a cell phone for anything other than incoming and outgoing calls will be keeping inventory of their goods solely on a mobile phone? Grocery store owners who used to throw tantrums when it came to home deliveries have begun taking orders over the phone and providing customized home deliveries.

Online Grocery Shopping

Things have changed know? These new ways of conducting business, such as e-commerce, mobile apps, and real-time customer service through online portals, have narrowed the world for us. We’ve devised a method for visiting a physical market and purchasing groceries, vegetables, fruits, and other items through online shopping.

Yes, indeed! You have correctly got me! We’ve grown accustomed to receiving these services with ease, at the touch of a button. Humans have always desired to make their lives easier by inventions. And as his life becomes more comfortable, he seeks out new options and choices, and this hypothesis has given birth to a brand new market child, namely “KIRANA” (Online Grocery Market).

Consumer is the King

“The consumer is king,” as the saying goes, and these choices have proved it:

  1. Choose the website from which you want to put an order: Amazon Pantry, BigBasket, Grofers, Nature’s Basket, Flipkart Grocery, Zopnow, Spencers, Easyday, Reliance Mart, Paytm Mall, Grocery, Patanjali, StarQuik.
  2. Choose the place where you want your things shipped, such as a monthly shopping list for your friends and family.
  3. Decide which vendor you want to buy groceries from.
  4. Decide on the product name you want to use.
  5. Choose discounts and package deals, as well as customization options based on the intent, location, and personal preferences.
  6. Choose your preferred method of payment: debit cards, credit cards, your online wallet, net banking, or cash on delivery.
  7. If the product does not suit you, decide whether to use it or return it.

Statistical gist of E-commerce Platforms

Amid the anxiety surrounding the possibility of a second lockdown due to a new strain of Covid-19 2.0, new retail entrants are looking for ways to launch an online grocery company that will provide customers with high-end grocery choices. Amazon was first, followed by Flipkart, and then Bigbasket.

Owing to their market penetration strategies, these behemoths didn’t face much competition at first, but when the Reliance Group (Reliance Mart) announced its agreement with the Future Group (Big Bazar), the market began to swing. Jio Mart’s entry has shaken the Indian e-commerce market to its heart. According to an IMARC estimate, the Indian online grocery market will be worth $3.02 billion in 2020. Who wouldn’t be enticed by such statistics?

What if you are a retailer or wholesaler rather than a customer? No worries…we have options for you as well!! The entry of Jio mart into online grocery Market tempted a slew of enthusiastic entrepreneurs to join in. These networks have modified their tactics to absorb cities in addition to grabbing more customers. Kirana King’s “Udaan” is the most recent example. Jio Mart and Udaan have used every market penetration strategy known to man, leaving no space for consumers to flee. Jio Mart also allows you to order KIRANA through WHATSAPP!! These startups have targeted not just the retail consumer market, but also the wholesale market. They’ve made deals with local grocery store owners in small towns and villages, and they’ve integrated them into the giant network of B2B (Business-to-Business) e-commerce platform. Consumers now just need to go to the respective Mart’s website and specify the spot where they want their groceries shipped. In order to provide more personalized services, a vendor selection option is also available, keeping the seller-buyer relationship in mind. You can now order groceries online from your favorite vendor and have them delivered to your home or office. What role did these policies play in the growth of these organizations? Let’s have a sneak peak:

Which is preferred?- Online or Offline grocery shopping

But have you wondered what next? In 2020, buying things from online sources was a need, people didn’t have option because they could not step out their houses. But now when the lockdown lifted up and we are free to wander everywhere, what has happened to us? I had conducted a survey in which I asked people, “Do you prefer to shop for groceries online OR in a store?” If we draw a conclusion from the first half of our article, the response would be choice 1, which is online grocery shopping… Just wait, there’s more!!! Don’t jump to conclusions right away; there’s a lot more to learn…

I polled over 200 people, and here is what I discovered..

Factors affecting online and offline shopping decision

What has led to such turnaround in entire scenario? Why do people want to go downstairs and walk and wait in line to pay and then buy a product instead of pressing buttons? Isn’t it tedious? No it is not! Why? Because we are so habituated to real time services that we cannot wait for 1-2 days to deliver a product. Grocery is a necessity. Furthermore, since there is no need to stockpile groceries due to the lockdown, people now choose to buy groceries in limited quantities as required. Delivery charges are one of the most significant costs associated with purchasing a single item for less than the specified order amount. Why would someone pay delivery charges that are higher than the cost of the actual product, particularly when he has to wait for the item to be shipped when he could just walk to a nearby store and get the item right away?

Another thing that was found was that online grocery platforms were mostly used in cases where people were placing large orders of various items. To escape shipping charges, e-commerce websites will direct your attention to their premium services; however, to become a premium customer, you must pay a premium fee, which a rare consumer cannot afford to pay for just a few orders. Despite the quality assurance of the goods offered on these online sites, some consumers have experienced quality problems, this brings disgrace towards the site through mouth publicity.

Even though we see the booming online grocers, there are budget, cost, patience and psychological factors that are ought to influence your decision. So, what are you waiting for? Be the KING and grab your KIRANA..!!

…and do comment where have you bought it from till then I will fetch a new story for you..

Written with Warm Regards by

Apurva Porwal

Bibliography for financial data:

www.statista.com
www.craft.co
www.nasdaq.com
www.moneycontrol.com
www.inc42.com
www.financialexpress.com
www.pixabay.com


2 Comments

Vyankatesh Shivaji Gomchale · 13 March 2021 at 10:10 am

I would rather prefer to buy grocery offline.

Insightful Blog

    CA Apurva Porwal · 13 March 2021 at 11:55 am

    Thank you Vyankatesh..!

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