B2B Grocery Startups India: Revolutionizing Kirana Store Businesses

B2B grocery startups India
The expansion of B2B grocery startups India has been spurred by some extremely fascinating events during the last few years. It all started with Jio disrupting the mobile Internet business, resulting in a rapid uptake of low-cost mobile phones and Internet connectivity. More than 300 million Indians were suddenly connected. The COVID-19 epidemic has recently accelerated the adoption pace. As e-commerce grows in popularity, people’s expectations are shifting toward quicker gratification, transparent service, and a high level of professionalism. Kirana stores are one sector that has recently joined the bandwagon.

“India will continue to be dominated by Kirana. COVID-19 has given kiranas the attention they deserve, given their >95 percent share of India’s food and grocery sector. The Kirana stores have reaffirmed their status as the most convenient, omnipresent, and reliable source for home grocery needs in the face of the pandemic,” says Karthik Venkateswaran, Co-founder and CEO of Jumbotail. That tells something about B2B grocery startups India.
Kiranas are being Empowered by B2B E-Commerce Players

With a 96 percent market share, Kirana stores are the backbone of India’s food and grocery distribution but running one used to be a complicated and difficult undertaking. Retailers faced a variety of obstacles in running their businesses, including closing storefronts to visit wholesale marketplaces, lower margins, offline payments, and a lack of technology, to name a few. A digital platform for Kiranas was desperately needed, with a 360-degree solution to tackle their difficulties.

“We started MaxWholesale as an online supplier for kirana stores, and today we provide end-to-end solutions for them, including product delivery, larger margins, digital payments, and technology to help them do more with their resources. MaxWholesale’s Founder & CEO, Samarth Agrawal, says, “We’re also looking at adding pharmacies and stationeries to the marketplace.”

In India, how are B2B e-commerce players digitalizing convenience shops?

Similarly, Jumbotail makes it simple for Kirana stores to obtain a large range of staples and fast-moving consumer goods (FMCG) products, which are consistently delivered to storefronts using their in-house supply chain and logistics.

Retailers can also get formal working capital through Jumbotail’s Fintech platform, which connects them with loan partners. It converts unorganized Kirana stores into J24 branded modern convenience grocery stores by providing a complete business toolkit and playbook that includes J24 consumer branding, in-store GoldenEye retail technology and processes, real-time data-driven product selection and merchandising insights, integrated supply chain with daily store servicing, Greencard loyalty program, and pay-as-you-go payment options.

By bringing the business online and integrating with hyperlocal platforms like Swiggy, Dunzo, and Flipkart, J24 offers a complete omnichannel experience.

Logistics and Warehousing Services: An Added Benefit

B2B e-commerce players provide retailers with a complete stack solution by aggregating orders and managing warehousing and logistics for fulfillment.

Through an extremely efficient, adaptable, and resilient in-house supply chain, logistics companies deliver integrated warehousing, next-day storefront delivery, and payment collection solutions. Access to the market in a timely manner is a major difficulty in the food industry. Due to a lack of a strong and reliable logistical network, a considerable portion of these products gets thrown away.

In a press release, Vivek Gupta, Head – Food Business, Udaan, states, “Udaan’s extensive supply-chain network spanning 900+ locations and encompassing over 12,000 pin codes not only ensures prompt delivery but also provides quality and fresh products to buyers at a better price.”

Technology as a Game-Changer

These B2B grocery startups India rely heavily on technology to run their day-to-day operations. To develop smart solutions, they bet big on data, machine learning, and artificial intelligence. Scheduled delivery features in grocery ordering apps give a great thrust to businesses that wish to launch grocery delivery startups.

Some of the solutions include AI-driven merchandising, computer vision-powered product identification system for scanning non-barcoded staples products, delivery promise engines, warehouse pick pack optimizations, logistics planning and optimizations, credit scoring, fraud detection, and trust and safety applications.

How Bright is the Future?

The epidemic, combined with rising digitalization, has created a major opportunity for B2B e-commerce enterprises that had previously struggled to make an impact in a mainly unorganized industry. Even while back-to-back changes such as demonetization, GST, and digital governance initially proved to be obstacles for the business community, these policies ultimately proved to be a windfall for the B2B e-commerce market. Businesses have a huge possibility for growth and expansion because of the simplicity of doing business with digital transactions. Furthermore, because the B2B sector has no FDI limits, it becomes more profitable for those who seek opportunities.

COVID-19 has highlighted the importance of Kirana stores to the country, as they have reaffirmed their position as the most convenient, widespread, and reliable supplier for household grocery needs in the face of the epidemic. Brands and consumers have recognized the value of digitally equipped Kirana stores, and in the post-COVID era, it is considered that technology-driven contemporary supply chains for B2B grocery startups India and Kirana store digital transformation are necessary prerequisites to face the changing reality.