Jumbotail, India’s leading B2B marketplace and New Retail platform, has announced its services in multiple new geographies across India as part of its expansion plan. After successfully serving over 30,000 kiranas across Bengaluru, the company has expanded to 13 cities across Tamil Nadu, Karnataka, Telangana, Andhra Pradesh, Punjab, Chandigarh and nearly 50+ tier III/IV towns in Uttar Pradesh, Uttarakhand, Haryana, Bihar, Jharkhand, Himachal Pradesh, Jammu and Ladakh.
Ashish Jhina, COO & Co-Founder of Jumbotail, said they are building the future of grocery retail in India, bringing together brands and channel partners via the company’s platform, using a highly scalable and low capex business model to create a pan-India distribution reach to millions of kirana stores. “We are seeing a huge line up of brands to onboard on our platform. We are rapidly expanding to reach 200,000 kirana outlets in 100+ tier III and tier IV towns,” he said. “We have nearly doubled our FMCG business over the past 4-5 months. COVID has changed retailer behaviors permanently and Jumbotail’s technology powered model is scaling at an unprecedented pace. We are seeing 50-100% growth in the number of retailers buying categories like biscuits and snacks, health drinks, tea and coffee, soaps and home care on the Jumbotail platform indicating a higher consumption from local kirana shops during lockdowns.”
Jhina said the superfast adoption of e-commerce by kirana retailers all across the country is a testament to the strong network effects of the company’s business and the scalability of their supply chains.
Aman Agarwal, President, Jumbotail Logistics, said Jumbotail’s lean, efficient and technology driven distribution platform and services is a win-win proposition for brands, channel partners and retailers. “During the last quarter, demand for key products continued to skyrocket due to lockdown, and Jumbotail Logistics delivered over 45 million units of FMCG products during April to June quarter, with a market leading 75% Delivery NPS in spite of 505 less delivery time windows due to COVID lockdown restrictions on retail shop operating hours,” he said. “We are rapidly scaling across multiple geographies and expanding the footprint of our logistics and fulfillment centre network across the country to support marketplace expansion. We are also investing heavily in technology, product, design and decision science to scale in a cost efficient manner.”
Agarwal said that by leveraging Jumbotail’s reach and distribution services, their partner brands are able to focus on manufacturing quality products and on driving consumer demand, leaving market access and efficient distribution to Jumbotail.
According to RedSeer Consulting, India’s retail B2B market will grow at a CAGR of 10% to reach $1.3 TN by FY25. eB2B specifically is expected to grow the fastest, at a CAGR of >80%, driven by its capability to connect everyone in the whole retail supply chain. A traditional retailer is able to jump over a lot of barriers as eB2B does the tough task for them by connecting to the right set of people to fulfill the requirements of a retailer.