2 min read.Updated: 22 Jan 2020, 03:29 PM ISTBidya Sapam
Grofer's heavy investment over this event also comes at a time when India's online grocery market is seeing intense competition
Grofers has tied up with over 3000 delivery service partners, hired around 4000 temporary staff and added three new warehouses ahead of the event
Soft Bank-backed online grocery firm Grofers has invested ₹100 crore to ramp up its operation and has hired around 4000 people to support its ongoing nine-day biannual grocery sales bonanza, said a top company official.
The company has set an ambitious target of achieving ₹500 crore of gross merchandise value (GMV) and acquiring around 10 lakh new customers through its third edition of Grand Orange Bag Days (GOBD) online event that kicked off on 18 January. The sale will continue till 26 January.
"We are investing close to ₹100 crore into this event.. The expectation is that we will do GMV sales north of ₹500 crore. When we started, our target is around ₹450 crore. We received much better response than we had anticipated, " Albinder Dhindsa, co-founder, Grofers told MINT over the phone.
Grofer's hefty investment for the event comes at a time when India's online grocery market is seeing intense competition. In December last year, billionaire Mukesh Ambani soft launched his “new commerce" venture that would largely sell grocery items. Global e-commerce giant Amazon, which recently announced an investment of $1 billion in India, has tied up with Future Retail with a focus on selling groceries, among others.
Dhindsa said the company sold 4.8 crore items in the previous edition of GOBD clocking GMV of ₹403 crore. This year, Grofers has scaled up the operation by almost doubling the number of partner stores, he added.
The Gurugram-based firm has tied up with over 3000 delivery service partners, hired around 4000 temporary staff and added three new warehouses ahead of the event.
"We concentrate a lot of annual marketing around this event.. Through this event, lot of new users know what our value proposition is. So it is important that we tell the users and at the same time go back to our suppliers, manufacturing partners and negotiate deals which are good for the customers, " Dhindsa said.
At present, the company is working with over 7000 service partners and 5500 warehouse employees. It has 45 warehouses across 27 cities where it is currently present.
Over and above the discounts and offers, this year, the company has also doled out several awards and prizes in the form of cars, two-wheelers and mobile phones to lure customers.
"While the earlier two editions were about discounts and offers, this time we have put surprise elements in the form of awards. For instance we are giving away cars, scooties, mobile phones, washing machine through lottery, " he said.
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