International Journal of Aquatic Science

ISSN: 2008-8019
Vol 12, Issue 03, 2021

E-Commerce Marketing Strategies In The

Grocery Sector: An Introduction
Sanjeev Kumar1, Dr.Vijayendra Kumar Shrivastava2
1
Research Scholar Department of Management Studies Vivekananda Global University,
Jaipur Rajasthan, India-303012
2
Department of Management Studies Vivekananda Global University, Jaipur, Rajasthan,
India – 303012

Email: [email protected],[email protected]

ABSTRACT : This research paper is concentrated to obtain vital new insights into e-
commerce success by deductive investigating how approaches to e-service quality, when
combined with levels of e-commerce adoption, can affect the overall performance of
grocer's online operations. Electronic networks are always the common element that forms
the backbone of the individual e-commerce application that an organisation chooses to use
- which can come under the e-commerce banner. Grocery stores can use electronic
networks to improve, enhance, transform, or re-invent business processes, potentially
providing higher value to their existing and potential consumers. Security, customer
localization via a cell structure, consumer accessibility, and the potential for tailored
services/offers. The use of mobile devices for business purposes, particularly phones and
smart phones is a game changer in eGrocery business.Customers want to be able to see
their favourite products right away while shopping online. Because of this stumbling point,
grocery e-commerce is a pain for firms wanting to provide a positive consumer experience.
Food stores have remained open and performed better than any other retail sector during
the crisis, and e-commerce grocery sales have soared to record heights, perhaps irrevocably
altering the game for supermarket retailers. Ordering online for delivery or contactless
pick-up is more convenient for many customers. Furthermore, various networks facilitate
the smooth functioning of commercial transactions and boost the efficiency of internal and
external eGrocery procedures.

Key words: E-commerce, eGrocery, Online, consumers.

1. INTRODUCTION

Electronic commerce (EC) depicts the way wherein exchanges occur over networks, mostly
through the Internet. It is the interaction of electronically purchasing and selling products,
administrations, and data. E-commerce is the exchanging of items or services utilizing
computer networks like the internet. E-Commerce draws on Technologies like mobile
commerce, electronic assets transfer, store network management, Internet marketing, online
exchange processing, electronic information interchange, inventory management systems,
and automated information collection systems. Certain EC applications, for example,
purchasing and selling stocks and carrier tickets on the Internet—are developing quickly,
surpassing non-Internet exchanges. However, EC isn't just about purchasing and selling; it is

517
International Journal of Aquatic Science
ISSN: 2008-8019
Vol 12, Issue 03, 2021

likewise about electronically imparting, working together, and finding data. It is about e-
learning, e-government, e-wellbeing, informal communities, and substantially more.
Electronic trade influences a huge bit of the world, including agricultural nations, influencing
organizations, callings, and individuals. Modern electronic commerce commonly uses the
World Wide Web for at any rate one piece of the exchange's life cycle, despite the fact that it
might likewise use other technologies like email. Food predominates at grocery shops,
despite the fact that they sell a wide range of items. This necessitates special criteria. Food
goods can be purchased in a variety of ways. Some products are marketed by the pound
rather than by the piece, and their perishability necessitates special storage conditions
throughout the supply chain. As we'll see, merchants must negotiate a variety of procedures,
including optimal pick and pack, refunds, replacement items, and delivery, to mention a few.
Each stage has its own set of obstacles that must be addressed if you are to provide the
experience that your customers expect.

2. E-COMMERCE

E-commerce business employs on online shopping websites for retail sales directly to
consumers, giving in online marketplaces, which process outsider business to consumer,
business-to-business purchasing and selling, gathering and utilizing demographic information
through web contact and web-based media, electronic information interchange, marketing to
prospective and established customers by web-based media stages, engaging in pretail for
dispatching new items and services. E-commerce is the use of Information and
Communication Technologies (ICT) to help every one of the activities of a business.
Commerce makes up the exchange of items and services between business, gatherings and
people and can be seen as one of the essential activities of any business. Electronic
Commerce focuses on the use of ICT to enable the external activities and relationship of the
business with people, gatherings and another business refers to business with help of internet.
The definition of e-commerce is the digitalization of business. It entails a complete use of
ICT not just within a corporate organization, but also through a more and more seamless
connecting and collaboration of all involved business partners' information and
communication systems. The widespread usage of ICT has been enabled by some globally
accepted technologies and technical standards. Concentrate on the business process. It
supports a business process, as well as a comprehensive process that spans many
organizations and crosses their boundaries. It no longer automates business processes within
a company, as was the original goal of ICT, but today it automates the entire process that runs
through all participating organizations, rather than just the subprocesses within the
organization.
M-Commerce is defined as the use of mobile devices for business purposes, particularly
phones and smartphones. M-Commerce is defined as (mobile) customers' location
independence, high availability of services via well-established mobile phone networks, the
rising processing capability of mobile devices, and mobile device interaction. Customers'
location independence, high availability of services through well-established mobile phone
networks, increasing computing power of mobile devices, interactivity of smartphones,
security, customer localization through a cell structure, accessibility of customers, and the
potential for personalised services/offers are the main features of m-commerce.

E-COMMERCE MODELS

518
International Journal of Aquatic Science
ISSN: 2008-8019
Vol 12, Issue 03, 2021

MATRIX OF BUSINESS CONSUMER GOVERNMENT

E-COMMERCE
B2B B2C B2G
BUSINESS BUSINESS TO BUSINESS TO BUSINESS TO
BUSINESS CONSUMER GOVERNMENT
C2B C2C C2G
CONSUMER CONSUMER TO CONSUMER TO CONSUMER TO
BUSINESS CONSUMER GOVERNMENT
G2B G2C G2G
GOVERNMENT GOVERNMENT GOVERNMENT GOVERNMENT
TO BUSINESS TO CONSUMER TO
GOVERNMENT

B2B-BUSINESS TO BUSINESS: B2B is one of the most common types of e-commerce.

This is when a transaction of goods or services occurs between two businesses.
Examples: Alibaba, Amazon Business, India Mart
B2C-BUSINESS TO CONSUMER:Here the company will sell their goods and/or services
directly to the consumer. The consumer can browse their websites and look at products,
pictures, read reviews. Then they place their order and the company ships the goods directly
to them.
Examples: Amazon, Flipkart, Jabong, paying and using Netflix at home.
B2G-BUSINESS TO GOVERNMENT: It is commerce between Companies and public
sector. it refers to the use of the Internet for Public Procurement, licensing procedure, and
other government-related Operation.
Example: Business pays taxes, file reports, or sell goods and services to Govt. agencies.
C2B-CONSUMER TO BUSINESS: This is the reverse of B2C, it is a consumer tobusiness.
So, the consumer provides a good or someservice to the company.A single individual sells his
or her services to businessFreelancing, Fiverr, True lancer. A single individualsells his or her
services to business, Amazon Affiliates.
C2C-CONSUMER TO CONSUMER:The customers are in direct communication with one
another. There is no corporation engaged. It enables people to sell their own belongings and
assets directly to a buyer.
Example: eBay, OIX, Quikr
C2G-CONSUMER TO GOVERNMENT:Consumers can send comments or requests for
information about public services directly to government administrations or authorities using
the consumer to administration or consumer to government e-commerce paradigm.
Example: when you pay electricity bill through the government website, payment of health
insurance, make payment of taxes, etc.
G2B-GOVERNMENT TO BUSINESS:E-commerce is a commercial paradigm in which
the government provides all of the information and services to the businesses. The data is
disseminated over a wide network of government websites. That information is used by the
business organisation to apply for different permissions required for launching a new
business, as well as other requirements. A business organisation can also download the
various forms and submit them to the appropriate authorities either online or offline.
Example: https://up.gov.in Welcome to the Official Web Site of Government of Uttar
Pradesh
G2C-GOVERNMENT TO CONSUMER: The electronic commerce activities performed
between the government and its citizens or consumers, including paying taxes, registering

519
International Journal of Aquatic Science
ISSN: 2008-8019
Vol 12, Issue 03, 2021

vehicles, registration for birth, marriage or death certificates and providing information and
services.
Example: http://www.indianrail.gov.in
G2G-GOVERNMENT TO GOVERNMENT:E-commerce transaction happening between
two or more governments or within departments of government. Electronic sharing of data
and/or information systems between government agencies, departments or organizations. The
goal of G2G is to support e-government initiatives by improving communication, data access
and data sharing.

GROCERY SECTOR
The supermarket sector has evolved dramatically in recent years. Traditional supermarket
shopping methods are being phased out in favour of technology-driven alternatives. All of
this is due to advancements in technology and evolving customer tastes.Previously, some
customers avoided purchasing groceries online to avoid paying delivery fees. Another reason
was that they wanted to inspect the items' quality before making a purchase. However, the
impact of Coronavirus on the food sector was so severe that demand for online shopping
services skyrocketed. People's priorities and purchasing habits were forced to shift as a result
of the epidemic.
Business Models for an Online Grocery Store are following:
Inventory Based Business Model
This business strategy is reliant on an inventory management system, as the name implies.
The eCommerce platform owner is responsible for acquiring and maintaining merchandise in
an inventory-based business model. The proprietor of an eCommerce firm buys merchandise
from several vendors and keeps it in a self-managed warehouse. The e-Commerce company
is in charge of keeping track of inventories, interacting with customers, and ensuring that
purchases are delivered on time.
Multi-vendor Marketplace Business Model
A single platform for numerous consumers and sellers is provided by multi-vendor e-
Commerce groceries. Vendors and customers both register and trade through a specialized
online grocery website.The ‘Zero Inventory Business Model' is another name for this
strategy. Unlike the Inventory-Based Business Model, the eCommerce platform is not
responsible for inventory management in this situation.When it comes to packaging and
distribution, either the sellers handle it themselves or the e-Commerce site does. The sellers
are charged a percentage of sales as a commission by the online grocery shopping service.
Hyperlocal Grocery Business Model
The objective of the hyperlocal grocery business model is to:The hyperlocal grocery business
model seeks to achieve the following goals:
1- Respond to consumer demand within a restricted geographic area
2- Lightning-quick delivery
3- Giving local grocers more authority
This business strategy aids in the optimization of numerous supply alternatives in order to
meet customer demand in a certain location. For inventory availability, the entrepreneur must
ensure that he or she interacts with as many local suppliers as possible. Similarly, to the
Multi-vendor business model, the entrepreneur in this scenario does not own any food stores.
Rather, they give a platform for grocery merchants to sell their items on.
The Online-Selling Model
Depending on your desired company strategy, the specialty offers a number of ways to
generate money. The existing food supply and e-commerce multi-seller platforms accounted

520
International Journal of Aquatic Science
ISSN: 2008-8019
Vol 12, Issue 03, 2021

for the majority of company revenues. You should combine the following channels to
improve sales:
Merchandising- One of the most well-known methods for businesses using this business
model to make money is by selling their own products online.
Commissions- Another method to monetize your business is to charge the seller/store fees
for each sale they make via your websites.
Subscriptions- Allow customers to pay for such products without having to place a separate
order for everyday delivery. On a daily basis, items purchased by customers will fit into the
model.
Services Charges- They can charge an extra fee to shops/partners who do not subscribe to
your membership for each sale they make. They would have to join the subscription package
in order to avoid paying the subscription charge.
Promotions- Allow stores to pay a fee in order to increase views on the homepage or specific
searches. Advertisement banners will also be seen by sellers in this source.
Memberships- Provide customers with important benefits such as spike charges, early
delivery, faster arrival, and no need to subscribe to shipping rates.

E-COMMERCE IN GROCERY SECTOR

Under the same retail name, grocery retail firms may include a mix of a corporate, franchise,
and independent locations. Because of local differences in product assortments, sales pricing,
and promotions, this approach adds complexity to implementing a supermarket e-commerce
solution with in-store selection. Loyalty programmes, such as bonus points, earn and burn,
and customized offers, have a long history in grocery retail. When buying online, customers
want the same loyalty features. Consumers also anticipate recommendations based on
previous online and in-store purchases, related recommendations, and recently purchased
items. Pure players and conventional grocery merchants who start with in-store picking have
typically had little profitability. Home delivery and in-store selection are the two major cost
drivers with the most potential for efficiency gains.
Certain items must be kept in proper storage until grocers are delivered to the client. More
product characteristics, expiration dates, and minimum order quantities are added by food and
beverage merchants who sell fresh, produced, and food-to-go goods hand packaged in the
store. Perishable foods are frequently ordered by weight, and there are a number of
techniques for presenting, purchasing, and picking them. A change in weight necessitates a
pre-authorization of the card amount to reflect the permitted change. With thousands of
orders, the entire price must still be computed depending on the delivered weight, which
might be complicated. A grocery shop may just sell food and beverages. If grocer added a
variety of non-food goods to the mix. If e-commerce adds in apparel, gadgets, and do-it-by-
self projects. There are a few items that create the majority of revenue, and then there are
long-tail products that are infrequently sold yet contribute significantly to profit, like in many
businesses.
Food has a short shelf life and a high turnover rate. Furthermore, warehouse and storeroom
space are restricted. As a result, regular replacement is required, although supplies are not
always assured. Customers will be wandering throughout the store with some merchandise in
their shopping baskets for groceries e-commerce with in-store selection. The stock level in
the IT system is never entirely correct, adding to the complexity. The consumer wants to
choose, pack, and send products as quickly as possible in most e-commerce cases. In the case
of groceries e-commerce, however, the order is chosen as late as possible—just before store
pick-up or home delivery departure time. The time it takes for an order to be placed and then

521
International Journal of Aquatic Science
ISSN: 2008-8019
Vol 12, Issue 03, 2021

sent might be several days. Knowing the product supply at the moment of choosing is nearly
impossible when an order is received.Grocery stores have total control over the supply chain,
from the time a product is received at the warehouse or store until the time it is delivered.
The most difficult aspect of storage is that specific conditions must be met at all times
(picking, packaging, delivery, and travel) and for all product kinds (frozen, cool, alcohol,
chemicals). It's critical to maintain storage efficiency in buffer storage spaces before route
departure or pick up in high-volume in-store e-Grocery. There are even tougher criteria to
ensure freshness till custom pick up with self-service 24/7 grocery lockers with temperature
zones.Organizing operations, balancing the burden (order load), and providing the greatest
service to clients are all aided by managing available order delivery timeframes. Picking is a
time-consuming and time-critical procedure. The weight of products, products requiring
special treatment, replacement products, cancellation of products, and the need to
communicate with the customer.

3. CONCLUSION

Online grocery shops are e-commerce-based online and mobile applications that allow users
to buy food and other essential home items over the internet. Customers may place orders
online and schedule deliveries to their homes straight from the local business or third-party e-
retailers. Customers benefit from convenience and ease of purchasing, as well as access to a
broad selection of items at any time. Users may also submit pre-paid orders and arrange
delivery times and intervals according to their preferences.Rapid urbanisation and
considerable expansion in the e-commerce industry are driving the Indian online grocery
business. As a result of expanding customer awareness of the related convenience, as well as
increased digital literacy and enhanced internet accessibility across the country, online
grocery platforms are gaining popularity in India.E-Commerce improves the speed of
eGrocery processes and unlock new opportunities by linking processes from multiple
organizations. Additionally, by linking Grocery business processes at the boundaries of
business partners, it improves the economic efficiency of business processes. Demographic
boundaries do not exist in e-commerce. However, depending on the location of the fulfilment
centre and the product selection sold, the service area for groceries e-commerce is typically
confined to location and even a smaller geographic area. Grocery stores can expand their
coverage by opening numerous service centres, but there will always be gaps. One of the
keys to a successful online grocery company is optimizing the service area.In order to
optimize delivery and courier management, integration with best-of-breed software is critical.
When order quantities rise, this connection improves productivity and profitability for
grocery e-commerce.

4. REFERENCES

[1] Eelants, M. A. A., &Deleersnyder, B. (2018). E-Commerce in the Grocery Retail Sector
(Issue October). https://doi.org/10.13140/RG.2.2.20275.78889
[2] KashyapG. (2021)eGrocery business models: To launch a grocery business. Fatbit.
Online Grocery Business Models | Different Business Models of Online Grocery
delivery business (fatbit.com)
[3] Kutz, M. (2016). Introduction to E-Commerce. In Bookboon,the eBook Company.

522
International Journal of Aquatic Science
ISSN: 2008-8019
Vol 12, Issue 03, 2021

[4] Renaldi, M. (2021). 10 THINGS TO KEEP IN MIND FOR GROCERY ECOMMERCE

SUCCESS. VAIMO. https://news.vaimo.com/10-things-to-keep-in-mind-grocery-
ecommerce
[5] Shakur, M. B. M. A. (2013). Understanding the determinants of e-commerce uptake, e-
service quality and e-commerce success, in the UK on-line retail sector (Vol. 24, Issue
3).
[6] Turban, E., Whiteside, J., King, D., & Outland, J. (2017). Introduction to Electronic
Commerce and Social Commerce. In Springer.

523