Big Basket Revenue Model - How Online Grocery Delivery Startup Works to Make Money

Big Basket has changed the way people get their daily essentials like groceries, frozen food, and more. Big Basket acts as a supermarket for customers; however, the business model of a delivery giant runs deeper than simply listing products from other sellers. 

 

The grocery delivery giant has changed its operational strategy to support the marketplace model and enter into the private label territory, essential deliveries based on subscriptions. Want to know how Big Basket is changing its operational strategy? It's important to step back and have a quick look over its success story. 

 

Explore Big Basket's revenue and business model to know how it works. On-demand grocery service is fast gaining popularity in the Indian market, and the online grocery delivery market is predicted to increase and reach $10.5 billion by 2023. And one of the leading names that hold a considerable share in the market is Big Basket. Let explore the Big Basket business model to know how it works, generates money, and more right away.

 

What is a Big Basket?

Supermarket Grocery Supplies PVT, LTD, trading as Big Basket, is an online grocery delivery service. The Indian company primarily delivers goods and daily essentials founded in convenience stores, food supplies, and home essentials. Founded in December 2011, BigBasket has its headquarters in Bangalore, India.

 

Facts & Figures Helping You to Know About BigBasket

·         Users: 10 million registered users

·         The average number of orders on the BigBasket platform: 100000

·         A number of products available on BigBasket: 20000 products

·         Total number of brands available on BigBasket: 1000 brands

·         Number of cities BigBasket operates in 25 cities

·         The average number of monthly orders fulfilled by BigBasket: Over 1 million

·         Total amount BigBasket raise in funding: $720 million

·         The estimated value of BigBasket: $1Billion

·         BigBasket is available on Android & iOS

 

Founded by V.S Sudhakar, Abhinay Choudhari, Ramesh, Hari Menon, and Vipul Parekh in 2011, BigBasket is an on-demand grocery ordering platform. In 2019, BigBasket raised $150 million in funding from CDC Group, Mirae, and Alibaba Group, giving the company a valuation of above US$1 billion.

 

BigBasket has acquired micro-delivery DailyNinja to consolidate its subscription delivery business. The deal increased the value of DailyNinja to 48 crores in stock. In 2021, the Tata Group acquired the majority of stock (64.3%) in the online grocery market, increasing the market and reaching around ₹9,500 crores (US$1.3 billion).

 

Big Basket Business Model - Explore How the Grocery Delivery App Works?

Grocery shopping was one of the most tedious tasks in the past. Various things must be considered; some include searching for a grocery shop, checking the quality of products, comparing the product price, and adding the stress of shopping in an open store.

 

Big Basket has made every process more accessible through its grocery delivery app. It facilitates the purchasing of products from the comforts of customers' locations. The channelization of the online ordering platform works by buying farm products, fruits, vegetables, and meats as well as managing these stocks in a warehouse.

 

BigBasket is an on-demand delivery platform for customers, but it spread out into everything from acquisition to logistics and in customer services through subscription-based delivery. Big Basket has two sides of operations: buying personal care products and farm produce while managing the stock in its warehouse in different regions.

 

The primary focus of the Big Basket is to manage the supply of perishable goods, including vegetables, fruits, and meals for which it ties up with local stores and suppliers. Let's look at the strengths of the Big Basket business model right away.

 

Strengths of the Big Basket Business Model

If you aim to create an on-demand grocery delivery app similar to Big Basket, then there are various positive and strong points you can consider; check the strengths of the Big Basket business model.

 

User-friendly Interface

Provides consumers with an easy user interface to select the preferred products from the list. The company provides various options such as search, add to cart, filter, and more. Users can select products from any of the brands to get them delivered to their place.

 

Value for Customer Money

The company values every penny of customers. Grocery is a primary requirement for every one of us; hence it becomes crucial to selling quality products at a reasonable price as it's the only way to reach more and more customers. However, BigBasket has clearly understood it.

 

The grocery delivery platform provides discounts and offers to customers on different occasions. To attract customers as well as retain the old ones, they offer more, providing the best experience.

 

Wonderful Customer Service

Customers are king! A business that deals with customers need to provide the best services to customers. And the Big Basket business model helps the company to offer excellent customer services to its customers. It has a feedback, rating, and review system, helping the company improve its service much better.

 

The company's techniques for product delivery work great for them, ensuring on-time delivery also without any excuses. The team works towards improving the customer base, helping the company to generate more revenue and sales.

 

Big Basket's Revenue Model - Check How Grocery Delivery App Generate Money

The Big Basket revenue model is designed in such a way that ensures maximum profit to the company. The grocery delivery company takes care that the shoppers' money is not wasted; they also make sure to get the perfect service at the right price. 

 

Different revenue streams comprising the Big Basket business and revenue model include Store Sales, Merchandise sales, Sponsored Content, Sales Commission from local retailers, and Delivery Charges. Let's have insight into the working to know how Big Basket makes money.

 

Inventory Model

This model has helped the company to gain more profit. Big Basket buys products from big brands in the country, including P&G, HUL, and many more. The product sold on the platform is classified in two different categories, including:

·         Perishable products;

·         Non-perishable products.

 

The perishable products required to be addressed before they became unusual. Besides this, the non-perishable products can be delivered in some time. It decreases around 5% of the revenue on perishables; this isn't a significant amount compared to overall revenue. The inventory revenue model helps brands to generate more revenue.

 

Multi-Vendor Marketplace Model

In this model, any of the stock is not managed by the platform. Different sellers are listed on the branded website, and when customers place an order on the site, the site gets the products delivered from the suppliers to consumers via an internal logistics network. 

 

The model is both a win-win for the businesspeople to get the appended branding of the marketplace, and it helps the marketplace increase as their vendors expand. Few of the top giants like Myntra and Amazon follow this marketplace model.

 

Hyper-Local Delivery

This is the critical point of the Big Basket model; the primary worry of ordering daily essentials online is the delivery of the products. Most people are worried about whether their product or services will be delivered on time or not. Whether there will be any mishaps or tampering.

 

However, Big Basket ensures delivery on time; the grocery delivery giant provides perfect delivery of groceries to the customers' place. The company has tied up with lots of local stores across the country to ensure their customers are provided with on-time delivery.

 

Big Basket charges 30 from the customers, and it's the primary reason for a brand to generate profit. Due to successful growth, the company introduced the "same-day delivery" concept, making it easier for customers to get their product delivered on the same day. 

 

Amazing warehousing techniques helped the company maintain good, helping Big Basket deliver perishable products to customers' doorstep on their demand. Big Basket has bridged the gap between customers and farmers.

 

Looking for Grocery Delivery App Development?

Big Basket is a leading online grocery player that has changed the grocery marketplace. The Big Basket business model has worked wonderfully and emerged as a key player in the grocery business in India. With many competitors in the market, including Amazon, Grofers, and many other hyper-local models emerging, Big Basket has entered into a Tata group to expand its business.

 

If you are thinking of portraying an app similar to Big Basket, then the Big Basket business and revenue model is the best one to choose. It provides business owners with more profit and helps them come up with a new business that helps them fulfill the market's demands. Launch the grocery business online with a feature-rich app solution, have any doubt or want to get a pricing quote, don't hesitate to get in touch with us at sales@whitelabelfox.com.

Zepto Business Model: How Grocery Delivery Startup Works and Make Money?

Online grocery delivery gained massive popularity in the pandemic era. The primary driver of the online grocery delivery business is shifting customers' behavior; customers these days are more likely to purchase online. This has resulted in attracting many delivery businesses like Zepto to launch their delivery service and cater to customers' growing needs with faster delivery. If you're looking to jump into the market, then understanding the Zepto business model can help you a lot with it. Read the blog to find everything here.

 

The grocery delivery business is growing in terms of involvement, financial commitments, and attention. However, in 2020 the online grocery market in India was valued at 2.9 billion in 2020. The market is projected to grow at 37.1% of the CAGR between 2021 and 2028. The online grocery market has gained immense traction over the years due to customers changing lifestyles, the tech-savvy generation shifting shopping habits, and growing urbanization.

 

There are lots of delivery companies such as Instamart, Swiggy, BigBasket, Blinkit, Amazon Fresh, and many more. Due to tough competition, if you are wondering, is there room for new startups to launch their venture? The answer is yes. 

 

You might have heard about Zepto, which launched in April 2021 and has gained immense popularity. Let's have deep insight into a Zepto business model, what it is, how it works, and make money right here.

 

What is Zepto?

Zepto is a faster-growing grocery delivery platform in India. The company promises less than 10 minutes of delivery to customers' doorsteps. But how does a quick delivery company work to provide the best experience? Unlike other grocery delivery platforms, which deliver in 30 minutes, the Zepto business model helps the company to deliver the daily essentials within 10 minutes.

 

Success Story of Zepto to Dive into!

Kaivalya Vohra and Aadit Palicha, Stanford University dropouts, founded Zepto in April 2021. The quick commerce startup is looking forward to launching pharmacy delivery services online. It is a category we will be excited to enjoy on the Zepto platform in the future.

 

Aadit Palicha, the Zepto founder, said, "there are a lot of innovations that are required to be done in the digital space. It's something we will find in the medium to short to long term. Zepto has raised more than $200 million in a new financing round as it scrutinizes to expand its 10-minute delivery service to more Indian cities and expand its network of dark stores.

 

Existing backer Y Combinator led Zepto's Series D round, valuing the Mumbai-based startup at $900 million, up from $570 million in its Series C round as well as $225 million in a round unveiled in 2022. The size of an order placed on delivery services is about $6 in India, then $12 to $15 for traditional online grocery orders.

 

A Mumbai-based startup, Zepto operates instant grocery delivery services, which has doubled its valuation to $570 million, raised from $225 million less than two months ago as it extends into newer cities. Nexus, Lachy Groom, Glade Brook, Breyer Capital, Global Founders, and Contrary Capital also participated in the round, which drove its to-date increase to $160 million.

 

The Indian startup, Zepto, has captured immense interest from the local startup community as more individuals began voicing their opinion about the business. Zepto uses mathematical terms to define its business and delivers a ten-minute grocery delivery service, a category that is hot in various parts of the world.

 

Seeing the growing demand for instant Grocery delivery, BlinkIt and Swiggy has also entered into the same business. If you're also looking to give a digital touch to your traditional grocery delivery business with an app similar to Zepto, White Label Fox is here to help you. 

 

Get insight into working for an on-demand grocery delivery app. Also, don't miss checking the features and modules that make your grocery delivery business activities easy and speedier than ever before.

 

Zepto Business Model: How Grocery Delivery Giant Provides Instant Service?

The Indian e-grocery market is predicted to reach around $24 billion by 2025. Online grocery penetration is forecasted to get 3 to 5% by the same period, which was less than 1% in recent times. Long-term structural drivers include lower tier consumption, rising income, eCommerce penetration, increasing affluence, and young population demand.

 

The Zepto business model is developed by a couple of teenagers keeping top instant grocery players at the center focus. The same works within the commerce segment in India running hot. The company's name was termed after the small unit.

 

Zepto Business Model: Dark Store model

The dark store might appear ominous. They undercut clever strategies that kept some retail establishments afloat during COVID-19. It's the distribution centers that are not accessible to the public. The small warehouses precisely fill orders and give consumers access to resources and choices, including same-day delivery, in-store pickup, and online shopping.

 

The immediate success of Zepto is its ability to produce more than 2500 items in 10 minutes regularly. It is at the center of everything the grocery business does; it's how they have increased so swiftly while retaining such strong client loyalty. 

 

Zepto has decreased the time it takes to deliver goods to ten minutes by utilizing the dark store concept. The grocery delivery sector is experiencing great profit, and startups like Zepto are the fastest growing sector in the delivery sector.

 

Advantages of Zepto Business Model

The idea of Zepto sparked confines of the founders' homes during the pandemic spread. Due to the increasing demand for food and grocery delivery services, there is a vacuum for speedy delivery. This knowledge gave birth to the Zepto business model, which proved very beneficial during the unexpected pandemic spread.

 

Faster Delivery and Improved Distribution

Zepto fulfills multiple orders swiftly, all thanks to the dark store. Cold and micro warehouses offer different distribution options, physically delivering groceries closer to a market group. The grocery delivery platform can regulate the distribution.

 

Boost Customer Reach

The cloud kitchen makes distribution hubs accessible to consumers; they accept round-the-clock services online. Consumers are drawn to these grocery delivery platforms and employ the services as a result.

 

Contactless Shopping

The contact-free shopping has influenced businesses to opt for a "dark store" approach. Cloud kitchens or dark stores enable consumers to shop for meals and groceries without interacting with others or moving to physical stores. They list things online and get them delivered right away.

 

Improved Product Assortment and Inventory

Dark stores provide excellent inventory control, handle great order quantities, and have no consumers. Zepto's AI-powered platform enables inventory stock tracking and product assortment.

 

How Zepto Works: Check Everything Here!

Zepto has 100 places that are known as micro fulfillment centers or dark stores that lie in higher-demand neighborhoods. Such types of stores use modern technology to perform tasks like the placement of products, the company finalizes the store's location, and mapping delivery routes to avoid heavy traffic congestion.

 

The company delivers almost 2500 items, including fresh produce, cooking necessities, personal care items, home cleaning items, and snacks and beverages. The company founders bring an execution like Doordash to their q-commerce Zepto business model. 

 

The startup is looking forward to satisfying the growing needs of more than 1,00,000 new customers. Customers need to follow simple steps to get their daily essentials delivered to their doorsteps.

·         Customers can download an app or visit the website to check the product list;

·         After completing the registration and login process, they are allowed to place an order;

·         Dark stores nearby receive the notification related to customers' orders;

·         Store pack the items and hand them over to the delivery partner;

·         Delivery partners collect the order and deliver it to customers' doorstep;

·         Customers can make payments and give feedback.

 

You can consider following the Zepto business model and workflow while launching a similar business. Investing in a ready-to-use anything delivery app can prove to be a profit-making option.

 

Future Plan of Zepto

The Mumbai-based company, Zepto is looking to expand its client base, open dark stores, and hire more staff to ensure smoother operations. The company is operational in Delhi, Bengaluru, Hyderabad, Pune, Chennai, and Kolkata. Zepto is looking to offer its service in more countries in the future.

 

The company is planning to cover about 100 pin codes. India's quick commerce market is expected to reach around $5 billion by 2025. It's projected to reach $300 million. Zepto founder Palicha stated, no one has fully grasped marketing in India. 

 

When you look at older organizations that are trying to follow an effective approach, you will find that many lack the consistency to run on a single model and are unfocused. They engage in many activities, which is the largest problem in each major company.

 

Adding further, the founder also concluded, "we have noticed median delivery times stabilize if not lower because we scale our expansion and coverage; it ends up being an aspect of single cloud stores and how they perform." 

 

Express delivery is a fresh idea; most e-grocers have tried the same in the past, with varying degrees of success. The delivery platform brings quick delivery to customers through the dark-store concept.

 

Get Your Zepto Like App Deployed Today!

Quick delivery services have disrupted the grocery delivery space. Delivery giants like Swiggy, BigBasket, and Instamart are planning to complete deliveries in less than 15 minutes by the end of this year. By the end of FY22, Fraazo is also planning to triple the number of its dark stores to 750. BigBasket and Dunzo are vying to enter the quick commerce market.

 

Zepto entered the supermarket delivery area at the right time and grabbed great success. If you're looking to set up an on-demand grocery delivery business, you can get in touch with White Label Fox. With the power delivery and growth suite, we enable you to deliver faster to the customers.

Top Electric Scooter Rental Sharing Companies in 2022

With the eScooter market expected to grow and reach around $41.98 Billion by 2030, it's the right time for electric scooter rental

companies to add their name to the list. To help you understand the market and

start, we have listed top eScooter companies with which you can partner or

follow its footprints to achieve success.

 

The electric scooters market reached around USD 19.4 billion in 2020. The global market is

projected to reach around 7% CAGR between 2021 and 2028. The growing demand for

vehicles is coupled with increasing concerns over carbon emissions and

greenhouse gas; it's anticipated to drive the adoption of eScooter over the

forecasted period.

 

The

eScooters are the ecological and profitable subset of the online commutation

industry. It delivers a return value that is more elevated than other business

models operating in the domain. Electric scooter companies can enjoy various

opportunities by choosing to enter the domain.

 

Top Electric Scooter Ride Sharing Companies to Consider in 2022

The

revenue in the E-Scooter market is estimated to reach around $1,752 million in 2022. Revenue is

projected to grow by 13.30% CAGR, resulting in a project market volume of

$2,888m by 2026. However, the eScooter sharing users are predicted to reach

around 25.4m by 2026.

 

The

electric scooters are all over Europe, the US, Santa Monica, San Diego, and

Washington DC. The primary question is, how are they supported, where did they

come from, and how do the urban communities cherish or disdain them? Which are

top electric scooter rental companies to grab success in the market. We have

discussed each factor of the blooming e-scooter domain.

 

The

electric scooter is the future of daily commutes such as attending colleges,

offices, tuition, activity classes, and more on a big campus. Students have recognized

the affordable way to get around the city. Let's discuss the top e scooter

companies right away.

 

Bird – Electric Scooter Rental Company

Founded

by Travis VanderZanden in 2017, Bird is a

micro-mobility company based in Santa Monica, California. The electric scooter

rental company operates in more than 100 cities in North America, Europe, and

the Middle East. Bird has offered 10 million rides in its first year of

operation.

 

In the

Series A round, Bird raised $15 million led by Craft Ventures, followed by a

Series B round or $100 million, led by Valor Equity Partners and Index Ventures. The venture

round for $150 million from Sequoia Capital made the company the fastest one to

reach the $1 billion "unicorn" valuation. Bird raised around $300 million in 2018 and increased the company valuation to $2 billion.

 

Bird acquired Berlin-based scooter company Circ in 2020. Bird has also planned to launch in Austin after

the approval of the "dockless" bike-share pilot program in 2020. The

company has halted operations in a few European and US cities.

 

Lime – Electric Scooter and Bike Rentals

Neutron

Holdings, Inc. operates an electric scooter and bike rental business under the

name Lime, known

as LimeBike. Based in San Francisco, USA, Lime is one of the top e scooter

companies that run electric bikes, scooters, mopeds, pedal bikes, and

car-sharing in different cities globally. The system provides dockless vehicles

that users search and unlock through an app that knows the location of

available vehicles through GPS.

 

Founded

in 2017 by Toby Sun and Brad Bao, LimeBike raised US$12 million in venture funding led by Andreessen Horowitz. The company

launched 125 bicycles in 2017. Lime raised more than $335 million and teamed up with Uber. The company has established itself

internationally by launching in Madrid and launching electric scooters in the

Spanish capital. The electric scooter rental company has around 3 million rides

of scooters and bikes by the people.

 

Ofo – Smart Bike Sharing

Founded

in 2014 by Peking University cycling club members as a project that focused on

bicycle tourism before launching bicycle sharing. The Beijing-based

bicycle-sharing company Ofo uses a

dockless system with a mobile app to locate and unlock nearby bicycles. The

company charges rates on an hourly basis; it has around 10 million bicycles in

more than 20 countries and 250 cities.

 

Ofo was

valued at US$2 billion and had more than 62.7 million monthly active users. Ofo has successfully raised US$130

million in funding from tech firms Didi Chuxing and Xiaomi in 2016, allowing it

to grow outside China. A Series D funding round in 2017, led by Russian

investor Digital Sky Technologies and Didi Chuxing, raised US$450 million for

Ofo and was valued at $1 billion. Ofo has experienced a massive reduction in

operations, and due to unpayable debt, the company has stopped operating in

bike rental from 2020.

 

Spin – Ride Your Way

Founded

in 2016 by Euwyn Poon, Zaizhuang Cheng, and Derrick Ko, Spin is an

electric scooter-sharing and bicycle-sharing company owned by the Ford Motor

Company. Skinny Labs Inc announced it's hoping to bring Chinese-style dock-less

bicycle sharing to the US.

 

In May,

Spin successfully raised $8 million in Series A venture capital financing led by Grishin Robotics.

Later Spin launched in California as a part of a national rollout. Based in San

Francisco, Spin was launched as a dockless bicycle-sharing system controlled by

an app for reservations.

 

Skip - Scooter Rental App

Launched

by Boosted Boards, Skip is a

dockless electric scooter startup. Based in San Francisco, Skip has raised more

than $6 million in funding with top strategies. Led by Initialized Capital via

Ronny Conway's A Capital and Alexis Ohanian (Reddit co-founder) with SV

Angel".

 

The

company has planned to operate in Portland under a pilot program that aims to

gauge how the controversial form of micro-transportation will fit in different

cities. The commuters are required to download the Skip app on their mobile to

find the scooter that is available nearest to them as well as scan QR code to

unlock the E-scooter, and they're good to go. Users are allowed to book

eScooters in advance using advanced features of the app.

 

Wind Mobility – Smart Electric Scooter Sharing

Barcelona

and Berlin-based micro-mobility company Wind Mobility was started by Eric Wang in 2017. The company is dedicated to

providing safe, fun, and convenient last-mile transportation. Wind Mobility is

one of the top electric scooter companies; it has raised around $22 million in seed funding, giving competition to Bird and Lime. The

company has successfully raised around $50 million in Series A funding,

existing investors backed the funding, bringing total funding to reach around

$72M.

 

Scoot – Scooter Rental

Founded

in 2011 by Michael Keating, Scoot Networks is an American company that provides

public bicycle sharing and eclectic rental systems. Scoot is

based in San Francisco, California that offers an electric vehicle rentals

service through a smart app. Scoot expanded its fleet to 400 in 2015 with the

addition of cargo scooters from German manufacturer GOVECS. The company has

accumulated around 1,000,000 miles of riding in 2016

 

In

2017, the company indicated plans to expand to additional cities beyond San

Francisco. In 2018 the company expanded to Barcelona with 500 electric

motorbikes and additional bike-sharing services with 1000 electric bikes. In

2019, after providing thousands of riders with millions of riders, Scoot was acquired by Bird. The electric scooter

company became a wholly-owned

subsidiary of Bird.

 

Goat – Dockless E-scooter Service

Goat is a

dockless electric scooter company that is providing its service in urban areas.

It reduces parking woes, traffic, and enables people to have improved

experiences in their cities. It's a perfect solution for identifiable and

modern-day transportation requirements. The company is working to make

effective and environmentally friendly changes.

 

Recently

Goat has launched its service in Austin after receiving official permits from the transportation

department for its pilot program. Goat believes in working in tandem with the

city officials in Austin and has bootstrapped its plans to partner with local

cities and launch its electric scooter service across the nation.

 

Bolt – Fast and Affordable Rides

Estonian

company, Bolt offers vehicles for hire, car-sharing, food delivery, and more.

Headquartered in Tallinn and operates in more than 300 cities and 45 countries

in Europe, Western Asia, Africa, Latin America, and more.

 

The

company had 25 million customers in 2019, which increased and reached around 75 million

customers globally, while nearly 1.5 million drivers use the electric scooter

ride-sharing platform to offer rides. The platform was founded by Markus Villig

in 2013 with a vision to aggregate Riga taxis and all Tallinn.

 

How Much Cost and Time Does It Take to Create eScooter Apps?

Many

electric scooter rental companies make it easier for riders to hire scooters as

per needs to reach the desired destination on time. If you want to compete with

top e scooter companies in the market, then it becomes crucial for you to

launch your business online with the best-performing solution that helps you

manage everything from one place.

 

Wondering

how much it costs to launch your business online with a feature-rich solution?

The electric scooter app development cost depends on various factors like

·        

Features integrated;

·        

Platform selection;

·        

Technology used;

·        

UI/UX complexity.

 

There are many more that affect development costs. Get in touch with our sales team

to have an exact quotation for electric scooter ride-sharing app development.

Contact us at: sales@whitelabelfox.com.

 

Ending Note

The electric scooter ride-sharing business has gained the spotlight in recent

years. People are more likely to switch to conventional bikes and scooters over

electric ones. The main reason for this is the benefits that electric scooters

offer; this explains to you why you need to launch an e-scooter sharing

business.

 

As this micro-mobility depends on apps to book e-scooter rides, you need to consider

the e-scooter mobile app development. A user-centric and feature-rich app can

help you achieve success in the market. Want to develop advanced solutions for

your business? White label fox is always ready to help you. Have a look at our services for

more information.