On-Demand Delivery Is Changing Our Shopping Landscape

Keshav Rai
Baabae
Published in
4 min readJun 12, 2020

Digital is disrupting retail. As technology gives us what we need, whenever we need it, it has created a new segment in e-commerce.

The On-Demand Delivery Solution.

Online shoppers are primarily driven by convenience. With the increased penetration of mobile devices, more and more of them are switching to fluid attitudes that focus on instant needs instead of keeping large stocks at home. With ease of access to a variety of retailers — and now, grappling with a deadly pandemic — it’s no wonder that the popularity of on-demand solutions has become even more pronounced.

The Corona Virus has crippled supermarkets and local ‘kirana’ stores, disrupting supply chains and leaving consumers pressed for essentials. The pressure on online players has thus shot up, resulting in delivery delays and inventory problems.

Current Scenarios, And Where Baabae Fits In

Amazon, Big Basket and Grofers were one of the first movers in this segment. However, the warehouse-based model of Amazon, and Grofers’ aggregator setup(which connected buyers to local stores in their area) buckled under lock-down restrictions. That’s when players like Swiggy and Zomato swooped in, hoping to get a slice of the on-demand pie. Logistics and technology company Baabae E-Dukaan has also made an entry, hoping to change the dynamics of the game.

Baabae’s unique model focuses on hyper-local deliveries direct from stores to consumers. Baabae optimises stock and deliveries according to an area, meaning consumers can get what they want as and when they want it. This new model encourages local brick-and-mortar stores — who are struggling to sustain operations — to ditch the physical shop and sell goods from a mobile van. The sevans are concentrated in designated areas with warehouses. All of this is connected through Baabae’s centralised mapping system.

Baabae has warehouses every 3 kilometres in each area, which makes it convenient for sellers to stock up on items that might be missing from their mobile store. Rather than a representative scouting multiple stores, it goes directly from a retailer to a consumer’s doorstep. Both sides stay satisfied — local sellers can enjoy profits, and customers don’t compromise on household essentials. Talk about a win-win situation!

What Does This Mean For The Current E-shopping Landscape?

The New Model Has Four Promising Advantages:

Eliminates Middlemen — Since shops can directly deliver products to their customers, it reduces the size of the delivery chain, which can otherwise inflate prices. There are no delivery representatives and no separate wholesalers. Retailers fulfil both roles — they pick up stock directly from warehouses, and deliver the item themselves. The Baabae warehouses source products directly from the brand. Not only is the entire delivery process shorter and faster, but it also cuts down on operational costs. If retailers go mobile, there is no need to pay rent for a physical store.

Instant Delivery — Consumers don’t have to wait for 24 hours or abide by a designated time slot. Baabae can cater to the segment of buyers who opt for small but frequent purchases.

Streamlines Operations — On-demand deliveries leverage technology and a centralised order system to make sure the nearest stores get customer orders.This way, a rider doesn’t have to travel long distances, which makes for faster and more efficient delivery.

Engages Shoppers — New shoppers seek convenience both in the retail experience and in pricing. It’s time that e-retailers leverage brand equity and budgets to deliver a wide selection of quality products — and personalised offers — to engage with consumers.

Conclusion

The on-demand economy is experiencing a boom like never before. Uber has changed our idea of local commutes; Airbnb has transformed the world of hotel bookings; and now Baabae seeks to shake up the dynamics of grocery shopping.

Apart from these sectors, the on-demand delivery solution is gradually penetrating other niches like healthcare and home services. According to Harvard Business Reports, the on-demand economy pulls over 22.4 million consumers every year. Almost half of these consumers are millennials, while 30% of users are aged between 35 to 54.

With strenuous and fast-paced lifestyles,consumers are clearly open to on-demand solutions if you make it worth their while.

Why bother going to the shop, when you can browse groceries online and get them on the same day with express delivery?As shoppers give up on waiting altogether, businesses will welcome the concept as a unique opportunity to connect directly with their consumers everyday.

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Keshav Rai
Baabae
Editor for

Keshav Rai is the Co-Founder of Baabae — An Edukaan solution to daily essentials.