MARKET ANALYSIS AND BUISNESS STRATEGY OF BLINKIT
The origin of the company concept is mainly based on people who find it challenging to go to the market
for daily shopping physically. Working individuals, older persons, students, and the sick are all included.
The founders of Blinkit Albinder and Saurabh found that there was a huge gap in the delivery industry.
They both thought to tap the opportunity as it was a time when many startups were emerging. They felt the
need to sort the unorganized hyperlocal space in the transaction made between merchants and consumers.
That is when they started to build a base for their startup. Their idea was to provide a one-step solution for
the customers' local delivery needs by having on-demand pickup and drop services. This was to facilitate
the logistics from the shops around their locality like grocery stores, medical stores, and restaurants for the
consumers. Initially, both of them also facilitated the delivery of groceries for customers from the
neighbourhood stores and supermarkets.
Few comments Basically Blinkit’s founders made blinkit completely customer oriented and user friendly .
They identified the market wisely. First they did survey’s and by this they identified the needs of the
customers .
Problem: People are getting more busier and want everything served in their hand with minimum efforts.
People do no want to waste their time and go to the market for offline shopping .They do not want to stand
in long ques and waste their time. And with the rise in technological devolepment people are used to
technology and it is not so difficult for them to order online as everybody have mobile phones.Then why
would people not order online and waste their time in the market .They grabbed this opportunity to make
their place in the market.
Solution: So after analyzing this problem they made an online application by which groceries and other
stuff will be delivered in minutes . Plus it was the first online delivery app which delivered groceries and
other stuff in minutes. So according to this they proposed their business model . People are becoming
more active online. After the Covid-19 pandemic, many people started working from home, leading to a
preference for online shopping instead of physical shopping. Blinkit saw this as an opportunity and started
their business.
Today, it offers over 7000 daily essentials in over
30 Indian cities. It includes some of the highly
populated urban cities like Delhi, Gurgaon,
Mumbai, Noida, Kolkata, and Jaipur among many
more. In June 2022, Zomato acquired Blinkit for a
$568 million all-stock deal
The business model for Blinkit is divided into three
major segments
Local Vendors-Blinkit offers tie-ups to the local stores. Especially, the ones who don’t have any marketing
budget to grow their business outreach and also lack sufficient manpower for doorstep delivery.
Local Consumers-The inception behind the business idea relies heavily on the group of people who find it
difficult to make time for physically going to the market for daily shopping. It includes working people, senior
citizens, students, or also ill people.
Delivery Staff-Blinkit has its team of delivery agents assigned within a locality. They coordinate with shops
and ensure timely delivery of daily essentials to customers’ doorsteps.
Change in the Business Model
The initial version of the Blinkit Business Model didn’t justify the idea for its establishment. It faced huge losses, got unsatisfactory
results, and criticism for its services. One major reason for such feedback was the unreliability of local shops. While sometimes it
was incomplete orders from the shopkeepers, other times it was the quality of products delivered to the customer. As a result, it got
negative feedback and a bad user review online.
To solve the bad reputation, Blinkit shifted to the inventory-based business model. And the shift was necessary because this was also
the time when its competitors such as Amazon were also expanding in the online grocery market . Hence, the shift was an obvious
choice to ensure their business survival and livelihood.So now, instead of a local shop, Blinkit runs its grocery delivery
business from inventories. The rest of the working procedures were the same – from inventory to customer using its delivery agent.
MARKETING STRATEGIES OF BLINKIT
Blinkit has used a variety of marketing strategies to build brand awareness and attract customers. Here are some of
the key marketing strategies of Blinkit-
1. Outdoor Ad Campaign
This is one of the most powerful ways to catch the attention of viewers. When you advertise the products on
billboards with interesting captions, you easily grab the attention of the public. In a series of ads, Blinkit used
lyrics from popular Bollywood songs and tweaked them. For example-
“Anda yeh bindaas hai, anda yeh bindaas hai”- for Eggs
“Basanti Naaaach-os”- for Cornitos
“Apna lime aayega”- for Lemons
“Chakna mereya mereya”- for Lays
“Mere paas upmaa hai”- for MTR
The billboards also represented the collaboration of Blinkit and Zomato. Consequently, it became the first viral
trend of the year 2023.
2. Television And YouTube Advertisements
You might have seen various video ads of Blinkit with the tagline “Needed in 10 minutes, just Blinkit.” These ad
campaigns target customers who don’t have time or wish to go shopping but still want to purchase commodities.
They create advertisements from pop culture.
3. Offers
Blinkit offers alluring to attract customers and encourage them to make purchases on its platform. The company
frequently offers discounts and cashback offers on specific products, as well as for first-time and repeat customers.
This helps to increase and retain the customer base.
4. Partnerships & Collaborations
Blinkit has partnered with several brands and organizations to promote its services and expand its reach. For
example-
i) Paytm: Blinkit has partnered with Paytm, India’s leading digital wallet, to offer cashback offers to Paytm users
who make purchases on Blinkit’s platform.
ii) Netflix: Blinkit has partnered with Netflix to promote its popcorn with binge-watching. It tweeted “Binge
watch karoge, Popcorn hum la denge.”
Note: Recently, Blinkit was in the news headlines due to their delivery workers’ strike. We have covered the whole
news in the article “Delivery workers’ strike against Blinkit in Delhi NCR.” You can visit it to have detailed
information.
