Tata's BigBasket Enters the Quick Commerce Arena

Tata Digital’s acquisition of online grocery delivery startup BigBasket last year set the stage for the company’s latest endeavor — swift 10-20 minute grocery delivery service branded as bbnow, catering to a 1.5-2.5 kilometre radius. BigBasket disclosed that bbnow will offer a selection of over 3,000 products, marking a significant stride in the realm of rapid delivery services.

Expanding its delivery portfolio further, BigBasket unveiled bbexpress, targeting one-hour delivery within a 6 kilometre radius, boasting an extensive inventory of over 8,000 products. These expedited services will be facilitated by the company’s network of dark stores, specialized micro-fulfillment centers dedicated to prompt online order processing.

In a bid to enhance accessibility, there are no restrictions on product quantities for orders placed through these platforms. However, typical order sizes are anticipated to range between 3-5 products, with an average transaction value of approximately ₹400 for quick commerce deliveries.

BigBasket’s integration into Tata Digital’s super app TataNeu solidifies its positioning within the conglomerate’s digital ecosystem. Highlighting its expansive reach, the company emphasized the continuous expansion of its delivery network across India. Following the successful launch of a chain of offline stores in 2021, with 90 outlets already operational, BigBasket aims to scale up with an additional 700 stores slated for inauguration by the close of 2022.

Established in 2010 as an online grocery supermarket, BigBasket has evolved into a comprehensive grocery retail platform encompassing quick-commerce, brick-and-mortar establishments, and online grocery sales via the primary BigBasket platform.

Hari Menon, cofounder and chief executive officer of BigBasket, underscored the significance of bbnow’s swift delivery window, particularly for impulse and emergency purchases, catering to a diverse consumer base ranging from planned to spontaneous buyers.

BigBasket’s foray into quick commerce marks its entry into a competitive landscape already occupied by industry counterparts such as Blinkit (formerly Grofers) and Swiggy Instamart, which ventured into the 10-minute delivery space in 2021. Additionally, players like Reliance-backed Dunzo and Zepto are active participants in the rapid delivery segment, targeting impulse and emergency purchases.

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