digital development - dsdsdsds.org.ph/presentations/vipul_mittal.pdf · india’s largest online...
TRANSCRIPT
India’s largest online supermarket
Digital
Development
India’s largest online supermarket
Grocery Shopping in India - A Cumbersome Experience
Chaos of Traffic
Heavy Bags
Crowded Markets Limited SKUs
Poor Quality Unhappy Customer
Transformational Shopping Experience at the Touch of a Button through
4
India’s largest online supermarket
< 2%
Organized Retail is Highly Underpenetrated in India
Notes: (1) Based on Walmart 2014 Annual Report, Future Retail FY15 Annual Report
C&F Agent
Master Distributor
Distributor
Retailer
1-2%
4-6%
6-8%
8-10%
15-25%
No concept of MRP
Wholesaler
Lon
g an
d F
ragm
en
ted
Real Estate Cost(1)
(% of Revenue)
Margin Build-up
0.5%
5.5%
U.S. India
Inefficient Supply Chain? High Rental Costs Regulatory Cap on Pricing
Dominated by ‘Mom & Pop’ Underpenetrated Organized Grocery Retail
5
India’s largest online supermarket4
Modern Trade
$500bn
$10bn
$0.8bn
$400Ml
E-Com
Bigbasket
Grocery Ecommerce Road Map
Modern Trade
$660bn
$14bn
$2.5bn
$1 bn
E-Com
Bigbasket
India Current India 2020E
$574bn
$87 bnE-Com
China Current
Modern Trade
$1450bn
India’s largest online supermarket
An Introduction to bigbasket
India’s largest online supermarket
bigbasket Snapshot
India’s largest online supermarket 7
Farmer
150Mn
Village Level consolidator
Commission Agent
WholesalerSupplier
C-2
Village
Commission Agent
WholesalerSupplier
C-2
Customer C
Retailer C-1
Source Mandi
Terminal Mandi
Traditional Fresh Produce Supply Chain
Harvest to Home time = 36 Hrs+ Farmer gets 20-30% of Consumer Price
India’s largest online supermarket 8
Farmer
(5069)
Agronomist
CC
(30)
PPC (3)
Quantity Confirmation
Price & Demand
Distribution Centre (25)
Retailer
(C-1) 1000+Sorted & Graded Produce
Price & Demand Customer (C) 5Mn+
Wholesaler (C-2) 50+
Digitizing the Supply chain @ bigbasket
Harvest to Home time = 12-36 Hrs Farmer gets 50-60 % of Consumer Price
India’s largest online supermarket 9
Peru
New Zealand
Shimla
Nagpur
Europe / US
Anantapur
MumbaiPune
Hyderabad
Bangalore Chennai
Delhi
Guwahati
Aggregation – leading to Disintermediation
• Identified sources of Fruits & Vegetables
• Brought centrally at Anantapur
• Sorted, Graded & packed at our Packhouse
• Dispatched to all the cities
India’s largest online supermarket 11
Matching Demand & Supply
Quality & Control - Image Processing
Productivity Enhancement
Logistics - Preserve NutritionPrice Discovery & Price Transparency
How Digitization is solving traditional Challenges
Resource Optimization
