Swiggy, the Food-delivery and ordering company, and BigBasket; online grocery provider are eyeing on the ‘Milk Delivery’ market in the milk-loving nation, as reported by an ET article. Most households in India depend on the ‘milk delivery’ guy every morning for their daily dairy needs. On an average INR 1000 / month (around $16) is spent by every family for dairy products.
With Swiggy in plans to roll out ‘grocery delivery’ services, both the companies are trying to get a hold of the ‘milk delivery’ market. Close industry sources have confirmed that Swiggy will soon roll out the ‘grocery services’. Meanwhile, both the companies are looking out for opportunities to increase their loyal customer base, and frequency of orders. Business experts believe that the frequency of orders can increase up to 15-20 times a month, from 4-5 times a month currently.
According to the report, BigBasket is in buyout talks with three dairy startups/companies currently; RainCan (Pune), Daily Ninja (Bengaluru), and Milk Basket (Gurgaon). While RainCan denied any such talks, Milk Basket and Daily Ninja declined to comment. Similarly, it is speculated that Swiggy is in talks with Supr Daily.
The subscription-based model is likely to be the next big step for both Swiggy, and BigBasket to expand their market. While Swiggy recently raised $100 million from Naspers and Meituan, BigBasket is backed by e-commerce giant Alibaba.