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Delhivery COO Ajith Pai envisions global impact: A future where every package worldwide runs on Delhivery's tech stack

In a fireside chat during the D2C Playbook track at TechSparks Mumbai with Shradha Sharma, Founder and CEO of YourStory, Ajith Pai, the Chief Operating Officer of Delhivery, shared insights into the journey of building the largest logistics company in India and expanding its footprint globally.

Delhivery COO Ajith Pai envisions global impact: A future where every package worldwide runs on Delhivery's tech stack

Wednesday March 13, 2024 , 4 min Read

Delhivery's footprint extends far beyond the confines of traditional courier services. With an impressive statistic that one out of every four parcels purchased online in India traverses through Delhivery's network, the logistics giant has firmly established itself as the backbone of India's digital commerce revolution.

While Delhivery's revenue figures – a staggering Rs 8,500 crore – are publicly declared, the sheer magnitude of its logistical infrastructure and tonnage handled paints a picture of its operational prowess. With 170,000 tonnes of materials flowing across 20,000 PIN codes every month, Delhivery is a logistical juggernaut shaping the contours of India's ecommerce landscape.

In a recent fireside chat during the D2C Playbook track at TechSparks Mumbai with Shradha Sharma, Founder and CEO of YourStory, Ajith Pai, the Chief Operating Officer of Delhivery, shared insights into the remarkable journey of building the largest logistics company in India and expanding its footprint globally. The conversation delved into factors that contributed to Delhivery's rapid growth, its approach to serving the Indian consumer, and its vision for the future.

Pai acknowledged the favourable timing and market conditions that propelled Delhivery's inception. He talked about the importance of recognising the evolving landscape of India's economy, characterised by rapid growth, modernisation, and the advent of ecommerce. Pai stated, "We were at the right place at the right time to start with."

“We entered the market at a pivotal moment when traditional practices were evolving due to the surge in online purchases. It was around the time when the Goods and Services Tax (GST) was impending; its anticipation provided a significant boost to national logistics networks. These conditions were highly favourable for the expansion of a logistics company like ours,” he added.

Pai highlighted Delhivery's unique approach to building a logistics model tailored specifically for the Indian market. Instead of replicating models from other countries, Delhivery focused on designing solutions that catered to Indian needs. "The model has to be designed for Indian needs in a manner where you can achieve the right outcomes suitable to Indian conditions," he said.

The discussion then turned to Delhivery's scale of operations, reflecting its immense reach and impact across India. "Delhivery now serves all of India, almost 20,000 pincodes, with a massive workforce close to about 100,000 people who work directly with us," Pai shared.

Ajith Pai shed light on Delhivery's expansion into the freight space, a venture initiated just five years ago, yet now positioning the company as the second largest player in India. This bold leap into freight, once dominated by stalwarts like Safe Express and Gati, which talks volumes of Delhivery's agility and capacity for disruptive innovation.

Addressing Delhivery's global ambitions, Pai outlined the company's strategy to focus on enabling access into and out of India rather than establishing a physical network abroad. Pai stressed upon Delhivery's unique approach, clarifying that they deliberately refrain from establishing a physical network outside India. Instead, their primary focus lies in enabling seamless access into and out of India.

Delving into the intricacies of their global marketplace strategy, Pai outlined two key principles guiding their approach. Firstly, the emphasis is on ensuring a seamless end-to-end transaction, mirroring the convenience of a continuous flight experience. This involves streamlining processes from pickup to delivery, encompassing transportation, airports, and final destinations.

Secondly, he unveiled a forward-looking initiative where Delhivery’s tech stack, primarily associated with solving logistical problems, is offered as Intellectual Property (IP) that other global logistics companies and retailers can adopt for their operations outside India. “I will be proud if a few years down the line, every package delivered or some percentage of packages delivered around the world actually have an underlying system that is running on a Delhivery tech stack.”

As the conversation concluded, Pai reflected on his enduring commitment to Delhivery's journey. He attributed it to the dynamic environment, the opportunity to tackle new challenges, and the camaraderie among colleagues.

Techsparks Mumbai