Future Group is continually upgrading itself with the fast changing Indian market. Two months ago, it was reported Future Group is planning to launch e-commerce app for grocery delivery offering the daily and weekly requirements to consumers.
Now, it has been confirmed. Kishore Biyani’s Future Retail is set to launch the home delivery service of daily essentials such as milk, eggs and bread at customers’ doorstep every morning.
Future Retail will compete with micro delivery startups such as Milkbasket and Supr Daily.
It is going to leverage supermarket chains such as Easyday, Nilgiris and Heritage Foods and launch the microdelivery service in metro cities in the next two weeks. It plans to expand the service to other parts later.
The development comes a month after media reports which said Amazon has valued Future Retail at around $6 billion and may pay around $600 million to acquire 10 per cent stake in the company.
Other essentials like fruits, vegetables and grocery will be added to the cart in the coming months. This new initiative of home delivery could generate around Rs 20 lakh per store per month of additional revenue, Biyani told ET.
In the past month, microdelivery has suddenly heated up with resurgence of interest from investors as well as large grocery e-tailers in the vertical.
Recently, Entrackr reported Bigbasket was is in advance stage with RainCan for potential acquisition. Besides, there were reports the Alibaba-backed company was also in talks with Milkbasket and DailyNinja for investment.
Online food-delivery company Swiggy is also looking to start a grocery-delivery business and is in early talks to acquire subscription-based milk-delivery startup Supr Daily.
According Industry experts, grocery is the largest consumer segment. Indians spend more than 50 per cent of their monthly income on groceries. Online and offline players can’t afford to ignore it.