The start-up says its ‘Pick and Choose’ model is what resonates with Indian customers. And in the process, it claims to have solved two problems.
Firstly, fruits and vegetables are a high repeat category, and they need to be available closer to the consumer who prefers to buy on a ‘Touch and Feel’ basis, rather than from ecommerce sites. The continued proliferation of kirana and the ubiquitous pushcart operator reiterates these consumer needs. However, while they provide a retailing opportunity to the consumer, both of these channels are largely unorganised. Differential pricing, inconsistent quality, limited variety, poor procurement practices, and outdated consumer experience of the pushcart operator have not allowed them to cash in on the digital experience. This is what Veglly wants to change.
The second problem it is trying to solve is while organised retailing has proliferated over the last decade, the industry is grappling with high setup and capital costs, high manpower costs, and ever-increasing rental costs. “This makes the unit economics extremely challenging and daunting. Online/hyperlocal formats do not provide for touch and feel, and also have unviable last-mile delivery costs. Veglly marries the art of street vending with the science of modern retailing. We provide an organised retailing technology-enabled experience at the consumer’s doorstep. Fruits and vegetables are not really an impulse purchase category and allow for committed, time bound regular purchases. What we therefore do is service customers on scheduled routes/beat like a Permanent Journey Plan (PJP). This gives the customers the confidence that they will have regular access to a refined and superior quality retailing experience,” says Kumaresh. He says, all this is being done through an innovative and economical model, addressing legacy issues of modern retail like high capex, unreasonable rents, and high manpower costs.
Kumaresh shared about many aspects of Veglly with Founder Talks. You can watch the video interview of Kumaresh from the link below.