Table of Content
1. introduction
A hyperlocal delivery model is defined as an online business model in which the needs and demands of customers are met through local offline shops via a digital platform. A hyperlocal delivery model is a natural ingredient for hyperlocal ecommerce to take place. A hyperlocal ecommerce marketplace enables the customers to choose and buy products from closely located and nearby shops.
2. Features of a good and promising hyperlocal ecommerce Software
2. Features of a good and promising hyperlocal ecommerce Software
- Aesthetically appealing and attractive dashboard
- User friendly interface
- Simple sign up
- Instant ordering and approval facility
- Live order tracking
- Quick delivery
- Real time location tracking
- Route optimization
- Advanced payment services and options of payment gateways
- Advanced and intelligent product search options
- Huge database of customers
- Driver wallet management
- Instant notifications
- Reviews and feedbacks
3. Why is hyperlocal ecommerce marketplace becoming a furore?
3. Why is hyperlocal ecommerce marketplace becoming a furore?
- It has proved to be a boon for local stores in terms of reaching out to customers, potential for growth, etc.
- It gives customers a better shopping experience.
- It ensures faster delivery of purchased products to customers.
- It results in rapid increase of sales and revenue which further helps retailers to grow their business easily.
- It has a significantly wide outreach.
- It helps businesses get closer to the target market as well as the prospective customers.
4. Factors behind the whopping rise of hyperlocal ecommerce
4. Factors behind the whopping rise of hyperlocal ecommerce
- Increasing number of mobile internet users
- Improvement in logistics infrastructure
- Growing smartphone adoption
- Sedentary habits of consumers
- Improved lifestyle quotient of consumers
- Changing consumer preferences
- A felt need for urbanization
- Increase in business digitalization
- High funding for e-commerce businesses
5. Learning about the increasing popularity of hyperlocal ecommerce
5. Learning about the increasing popularity of hyperlocal ecommerce
- Brands like Grofers and Amazon were the leading players initially, setting up their warehouses instead of partnering with retailers.
- Swiggy, a popular food-delivery app, initially, has launched swiggy stores with retailer partnerships. Now, it is pivoted to develop stores to stock products.
- Walmart-owned Flipkart made several efforts to work with retailers in order to deliver grocery orders, but launched Supermart, which also relied on its own warehouses.
- Currently, Grofers runs on a model where it sets up large and mini-warehouses within cities. The mini-warehouses are managed by distributors who fulfil their deliveries to keep costs in check.
For offline retailers and physical retail chains, the hyperlocal model of business functioning has come as another opportunity to redefine their physical presence. Adopting it makes their online presence noticeable.
There shouldn’t be an iota of doubt about the fact that hyperlocal ecommerce businesses have been rapidly growing with the potential of expanding exponentially. There has been an increase in the number of brands emerging in this space and given its quick rate of adoption, both by businesses and consumers, it has the potential to consolidate even further, over the next few years. Hyperlocal’s collaboration with local stores and the connect they build with their customers digitally is benefitting all the stakeholders as now they are all connected to the supply chain model.
So, how benefitted can a business be, post the adoption of a hyperlocal ecommerce model?
Or, what are the benefits associated with hyperlocal ecommerce? They are a plenty, in fact.
6. Hyperlocal ecommerce: Going deep into exploring the benefits of this new norm
6. Hyperlocal ecommerce: Going deep into exploring the benefits of this new norm
- Quick Product Deliveries
- Diverse Product Catalogue
- No Additional Investments
- Better Inventory Management
- Customizable Delivery Timings
- Support Local Businesses
7. How to go hyperlocal?
- Decide the products you want to deliver
- Choose your target market
- Partner with local merchants
- Choose a suitable revenue model
- Get a hyperlocal delivery app
- Select a logistics technology partner
8. Future of hyperlocal ecommerce Business model
8. Future of hyperlocal ecommerce Business model
- Hyperlocal delivery of non-essential products
- Hyperlocal deliveries will move to rural areas
- Retail outlets will expand their storage capacity
- Use of AI will grow and businesses will become smarter
- Use of delivery robots and drone services
Final Words
Large ecommerce marketplaces, who haven’t yet entered, are observing the hyperlocal space keenly and may even be relentlessly strategizing to foray into it. Before they do that, ambitious start-ups and aspiring entrepreneurs, it is suggested, should do it in order to get the first mover advantage that they can be deprived of post the entry of bigger players; because the early bird, as they say, catches the prey.
But until a conclusion, whether ‘to go’ or ‘not to go’ hyperlocal is reached, it is urged to keep the following small statistic in one’s conscious thoughts;
“Growing at a compound annual growth rate (CAGR) of 14.9% from 2021 to 2030, the global hyperlocal service market size which stood at $1714.60 billion in the year 2020, is projected to reach $5188.60 billion by the end of 2030.”
And know this for sure, that we are living in an era of utmost customer convenience and improved digitalization and there is no other future for businesses, except hyperlocal.
‘Yes. Hyperlocal is the future!’