Flipkart Rolls Out 'Dark Stores' For Deliveries As It Takes On Reliance's JioMart By CIOReviewIndia Team

Flipkart Rolls Out 'Dark Stores' For Deliveries As It Takes On Reliance's JioMart

CIOReviewIndia Team | Tuesday, 04 August 2020, 04:55 IST

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Flipkart Rolls Out 'Dark Stores' For Deliveries As It Takes On Reliance's JioMartFlipkart, the e-commerce giant, controlled by Walmart, is marking different Indian cities with ‘Dark Stores’ or outlets, which are utilized for delivery purposes in nearby locations, is now looking to take on Reliance’s JioMart, which went live on May.
 
Through line ups in dozens of small storage spaces in metro cities, Flipkart is enthrallingly upgrading food and grocery-specific warehouse capacity, ranging between 3000sqft and 4000sqft. In metro cities like Bengaluru, it is expanding the food and grocery hyperlocal business to Delhi NCR, Mumbai, Pune, Chennai, Hyderabad, and Kolkata, as per two persons related to the development explained.
 
In the previous week, Flipkart declared launching of ‘Hyperlocal Services’ known as ‘Flipkart Quick’, in different Bengaluru locations, giving customers the benefit to book a two-hour delivery, where customers can select almost 2000 grocery, fish, smartphones and other electronic items.
 
One person (not disclosing identity) said, “Adding to the Kirana store plans, Flipkart is forming its own independent network of similar storage facilities in different cities. For instance in Delhi, to start with, Flipkart looks to get a dozen of small storage facilities. Small storages from the fulfillment centers located outside of the city, will get supply of fast-moving goods very often.”
 
Flipkart’s spokesperson said that it is continually investing on increasing capacities for delivering value for sellers and consumers. The person said, “With respect to the hyperlocal capabilities, Flipkart is looking to expand its operation in six additional cities in the months to come, focusing on a 90-minute deliver model, handpicking assortment products.”
 
Because of COVID-19 pandemic, and frequent lockdowns, online grocery sellers like BigBasket, Grofers, Amazon, and Flipkart are witnessing increase in sales. Like Mumbai-located Nova Enterprises, selling FMCG products to Amazon and Flipkart, declared its business is reaching a point that it not witnessed even in Diwali festive season. As a result, FMCG sellers such as Nova are looking to increase their warehousing in different cities.
 
The past week, Nova increased its warehousing capacity to almost 20,000sqft in Kolkata. Sachin Doshi, Nova’s Partner, said, “In spite of increasing in Kolkata, my warehouse is almost full.”
 
Flipkart in the previous month acquired India wholesale business – Walmart. Flipkart requested the FMCG sellers to ramp up their warehousing. It introduced Flipkart Alpha Lite program of taking spaces from its vendors for providing technology and equip them to function as Flipkart’s warehousing.
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