Showing posts with label quick commerce. Show all posts
Showing posts with label quick commerce. Show all posts

22 September, 2024

Convenience over Experience or Vice versa?

At last count, the quick commerce players such as Blinkit by Zomato, Zepto and Big Basket are said to have delivered over 1,000 units of the newly launched iPhone 16 series. In contrast, a single Apple Authorised Reseller (AAR) store – the exclusive Apple franchises across India sold over 150 units a day on 20 Sep. 2024 when the iPhone 16 was launched.

The staff at one of the stores told me Sat. 21 Sep. that the sales was bit dull being the second day while he was confident of selling over 200 pieces on Sunday, as he expects a lot more customers to drop by at the store. There are an estimated 3,000+ AAR in India, though all are not equal in footfalls and revenues. 



During my 40-min hang out at the store, there were at least 30+ Apple aficionados at the store (along with yours’ truly!). I spotted a few kids in their early teens with their parents exploring the new launch of iPhone, Apple Watch among the iPad and iMac. 


Two elderly couples, possibly in their 60s came to have a curious look at the range of Apple products. They seem to have come with an intention to buy, I could make out. 


 

The typical fanboys and fangirls were engaged in a thorough dissection of the various features of the device even as the store staff struggled to answer many of their tech queries.

 

There is a charm in offline retail, after all, I reckoned.



Last week, Hari Menon, Founder & CEO of Big Basket, which was launched in 2012 and sold off to the TATA Group in 2021 said at an event that local shops (read Kiranas) were not under the threat of Q-Commerce. 


Incidentally, Big Basket launched its quick commerce service with the iPhone 16 – an order places at 0800 hrs was delivered at 0807 hrs on 20 Sep.

 


Despite the convenience of doorstep delivery of groceries and household items, pet food, fresh food and everything in between over the last few months, electronic items too, why do people still step out of their homes and shop at offline stores – to buy the iconic Apple devices or Apple, the fruit?


As the adage goes, humans are social animals and need company. They need to simply step out of their physical bondages (read: comfort zone) to get a peak at what’s happening around them and around the world.

 

Take the film industry’s conundrum, for example. When the OTT model of watching and consuming entertainment took shape during and after the Covid-19 lockdown in 2020, visitation to cinema theatres was declared a no-hope zone. Yet, movies are raking in crores of box office collections – the only catch, audience want crisp scripts and not just stellar star cast.



Even though foodtech players like Swiggy and Zomato are minting in billions of dollars annually, offline visits to restaurants has not dwindled. 


For most restaurants, their delivery channel through foodtech is between 15-20%, and consumers continue to visit their premises just like before 2020.

 

Quick Commerce brings in tremendous convenience for consumers while E-Commerce offers a massive range to shoppers, as they can sift through thousands of products before they buy. 


However, what amount of dent it would create to offline and neighbourhood shops is yet to be seen. “Picture abhi baaki hai mere dost”, as Shah Rukh Khan would say with a grin.

A short flight that I enjoyed…

On 4 Nov. ’24, I stepped down from my role as Executive Vice President, Minmini app. Touted as the world’s first hyperlocal social media pla...