Zopnow adds fresh fruit & veggie category, contributes 50% of its orders within 3 weeks of launch
Online grocery and consumer product goods retailer Zopnow has launched its category for vegetables and fruits. At present, it offers over 100 SKUs, including the newly added category. “We had started it on a pilot basis in January with select Zopnow customers and got an overwhelming response. Going forward we have started delivering veggies and fruits across Bangalore,” says Mukesh Singh, Co-founder and CEO, Zopnow.
The Times Internet funded company delivers veggies and fruits, considered as here and now concept, across five delivery slots from 7 AM to 10 PM.
“The primary motivation for venturing into fruits and vegetables category is the strong feedback from customers to make ZopNow their one-stop e-shop for groceries, including fruits and vegetables,” says Mukesh.
Importantly, within three weeks of its launch — fresh fruits & vegetables constitutes 50% of Zopnow’s orders. “On the whole, customers have been pleased with the quality,” adds Mukesh.
Besides Zopnow, Ascent Capital backed Bigbasket has been evangelizing fresh fruits and vegetables market in Bangalore along with a presence in Hyderabad and Mumbai. When compared in terms of pricing both offer similar rates.
While Bigbasket offers free delivery for minimum ticketsize of Rs. 1000, Zopnow ensures it for orders beyond Rs.500. As of now Bigbasket has been the sole source in Bangalore to order fruits and vegetables online and Zopnow’s entry will create an interesting play.
Grocery and fresh veggies & fruits etailers in India
Besides Zopnow and Bigbasket, LocalBanya and GoOnions etail fresh fruits and veggies in Mumbai and Gurgaon respectively. According to a study, marketsize of grocery retail in India is pegged around $160 billion. Last year, we saw the emergence of city-focused startups in grocery etail but startups like Rationhut, Pune express (Pune), and Mygrahak (Delhi) succumbed owing to lack of customer base, logistics challenges and funds crunch.
In July 2012, Bigbasket had raised $10 million from Ascent Capital while Zopnow secured an undisclosed amount from the Times Internet Limited. Mumbai-based Localbanya had recently raised an undisclosed investment as part of BCCL’S Springboard fund.
Similar to product based e-commerce segment, only venture backed startups have been able to survive in the grocery etaling business. Moreover, grocery and veggies etaling requires investment in technology, logistics and maintaining inventory.