Move away Hyperlocal, FMCG is becoming instant.
If you’ve read this article’s headline and are not yet convinced about it, let us point you to one of the biggest news stories for Grocery in recent times which may have gone unnoticed but has the potential to make you believe in it. Amazon has started selling groceries through vending machines on a pilot basis in residential apartments in Bangalore. While the scale of this foray seems to be small, as evidenced by the cautious test and learn approach that Amazon seems to be taking, this is exactly what Nutritap has been espousing since a long time, that the future of retail is neighbourhood, 24X7 and instant and the requirement in this segment is an omni sector approach along with being an integrated player having in-house hardware, software and design capabilities. Nutritap is one such integrated player which is at the forefront of leading the instant retail revolution, not just in grocery, but across FMCG retail and across sectors.
Amazon’s vending machine move is, in a sense, validation of the vending machine business model. While Amazon seems to be focussing more on the Grocery category in the residential sector, at Nutritap, we have gone one step further to loudly proclaim that unmanned, touchless and neighbourhood, automated retail kiosks make sense wherever there is a demand for retail and for multiple categories, not just Grocery. The demand domain is not just limited to residential apartments, it also includes sectors like Corporate offices, Airports, Hospitals, Factories, Co-living spaces etc where the core need of instant gratification, 24X7 availability and product relevance remains the same. The only difference between the sectors is the product category and associated category parameters like pack sizes, stock keeping units and transaction sizes.
Nutritap has successfully validated the use case of Vending machine based automated retail across almost all relevant sectors including residential, corporate, airports, hospitals, factories, co-living, co-working, hotels etc. IoT and AI capabilities have helped us in customising the product market fit for each sector; real time availability of data helps in making quick data based decisions on stocking and refilling. With players like Amazon, Reliance and Tata moving into the residential sector with vending machines, the move from Hyperlocal to Instant is becoming a reality sooner than anticipated.
More about Amazon’s move to vending machines on this link.