From going the extra mile to ensure door-step deliveries to sending “supply trucks” to gated communities or kiranas, organised retailers and big wholesalers are exploring new delivery models.

Many models started off as pilots but are now being ramped up as India enters its second phase of coronavirus-induced lockdown.

Availability of manpower continues to be a major issue. Butwith employee presence improving from 10 per cent levels in the last week of March to around 50 per cent in week two of April, retailers and wholesalers are willing to explore scaling-up possibilities and also run new pilots.

Door-step deliveries

For instance, Spencer’s teamed up with Flipkart for hyperlocal deliveries in Hyderabad and this may be expanded to metros and big cities, say sources.

The RP-Sanjiv Goenka group company began bulk supplies to different “cooperatives” and resident welfare associations (RWAs). In this case, the deliveries are made through its own delivery boys or via tie-ups/partnerships with Uber, Swiggy and Rapido (bike ride sharing app).

According to Devendra Chawla, MD and CEO of Spencer’s Retail, across places like Mumbai, Noida, Lucknow, Kolkata, Hyderabad and Chennai, it tapped various “housing societies”, gated communities, condominiums and apartment complexes within a 6-7 km radius of select stores, set up “suggestion boxes”outside main entrances, checked them on a 24-hour basis, and if there were sufficient orders, made confirmation calls and made deliveries (subject to stock availability). Billing is done on an individual basis, and payments through “contactless modes”.

“We are thinking of expanding the scope of offerings. We are also working on e-com led delivery models and other partnerships to ensure last mile delivery,” he told BusinessLine.

Food delivery service Zomato has begun ‘Zomato Market’ — a grocery delivery service that is live across more than 80 cities while Grofers has introduced ‘Society Group Orders’ in select RWAs.

‘DMart’, which runs over 200 stores across the country, launched ‘store-on-wheels’ where branded supply trucks carrying essentials are parked at select residential societies for a limited time.

Wholesaler models

Wholesale players like METRO Cash & Carry are also pitching in with their own models. Bulk supplies to RWAs and cooperatives that have GST registrations have begun.

“We can take in bulk orders from these RWAs that have a GST registration and deliver too if required. Since we are a wholesale player, we will need GST registration to ensure billing in these RWAs,” Arvind Mediratta, Managing Director and CEO, METRO Cash & Carry, said.

In fact, the wholesaler has activated its app to take orders from select neighbourhood stores or kiranas. Delivery is taken care of by METRO Cash & Carry.

“Initially, this service was launched in areas where movement of vehicles was restricted following the lockdown or places where a curfew was in force. We worked to get permissions and ensure deliveries to kiranas. Over a period of time, we may open up more places for ordering through e-com and subsequent deliveries in order to reduce pressure on our centres,” he added.

Own pick-up

Some large players have already been exploring “reverse supply models”, that include their reaching out to the distributors.

According to Mediratta, METRO Cash & Carry deployed its own fleet of vehicles to ensure supplies. The decision, which came within the first two to three days of the announcement of the pan-India lockdown, was prompted by reduced manpower across manufacturing units and at the distributor-end.

“The idea was to ensure that there are enough stocks to manage three to four weeks of supplies and a rise in demand across specific fast-moving items. We stocked up on private labels too as a viable alternative to big brands,” he said.

Similarly, Spencer’s put in automated slot systems for truck movement. This helped in faster loading and unloading, less waiting time for its fleet, better manpower management and a much improved turnaround time.

“SKUs were also managed on an importance basis. From around 6,000-7,000 SKUs across brands, we brought it down to 300-400,” Chawla added.