Reliance to digitise 5 million Indian kirana stores by 2023

Today's Latest

Big Friday for India Inc, GST Council cuts rates on various items

Panaji, Sep 20 (IANS) Friday proved to be a big day for India Inc. After a slew of tax concessions...

India will be seen as a global leader at this US Visit: Modi

New Delhi, Sep 20 (IANS) As he embarks on a week-long visit to the US, Prime Minister Narendra Modi on...

Govt will invest Rs 25,000cr to enhance infrastructure and boost fish production

New Delhi , Sept 19 (ANI): The Centre will invest Rs 25,000 crore in the next five years to...

Popular Today

IAF ‘accepts’ Rafale, formal hand-over on Dussehra

New Delhi, Sep 20 (IANS) The Indian Air Force (IAF) received the first multi-role combat aircraft Rafale from its manufacturer...

Meet R.K.S. Bhadauria, The next Indian Air Force Chief

New Delhi, Sep 19 (IANS) Air Marshal Rakesh Kumar Singh Bhadauria, who was extensively involved in the flights of the...

After Rajnath’s Tejas sortie, all eyes on Naval LCA

New Delhi, Sep 19 (IANS) With Indian Air Force set to place orders for 83 Tejas LCA jets after pricing...
India Updates
India Updates is an independent news & Information website. Follow us for regular updates on News and Information.

Reliance to digitise 5 million Indian kirana stores by 2023As more and more neighbourhood kirana stores aim to modernise their tech infrastructure, the entry of Reliance Industries Limited (RIL) would help expand the current 15,000 digitized store base to over five million stores by 2023, a Bank of America Merrill Lynch research said on Tuesday.

One of the most interesting trends in retail sector in India is that kirana stores are keen to upgrade their merchant point-of-sale (MPoS) technology, which is driving a wave of modernisation (90 per cent of the $700 billion retail market is still unorganized).

- Advertisement -

“The current one-time price point of Rs 50,000 limits the market to Class A/B stores (turnover of Rs 900K+/month).

“We believe that with the RIL’s entry, we could see an increase in merchant adoptability, as the price points will likely come down (RIL’s current one-time deposit is Rs 3,000) and reach should expand,” the research noted.

As a big player, RIL is entering an otherwise scattered market. Some of the key players in the fragmented merchant point-of-sale (MPoS) today are SnapBizz, Nukkad Shops and GoFrugal.

Overall, we expect RIL to help expand the current 15,000 digitized store base to over 5 million stores by 2023,” said Sachin Salgaonkar and Sukriti Bansal, Research Analysts at DSP Merrill Lynch (India).

For the research, the team met with the SnapBizz management which has over 4,500 devices installed in more than seven cities in India (or over 30 per cent of the digitized store base).

For a one-time payment of Rs 50,000, the merchant gets a PoS device with Snapbizz software, a screen space to display ads and a personal app to interact with users.

On back of these products, the retailers’ revenue is estimated to increase by Rs 8,250 month each, thus recovering the investment in six months.

“Kirana stores liked the ease of billing/generating GST complaint bills the best. The PoS system provides an option of adding in-built discounts and also push offers to entire customer database via SMS,” the research noted.

Reliance, with a deep footprint in over 10,000 Reliance Retail outlets pan-India, is working on to create the world’s largest online-to-offline new ecommerce platform.

IANS

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Must Read

‘Shyam Ramsay carried horror film torch in B’wood’: Vikram Bhatt

Mumbai, Sep 18 (IANS) Filmmaker Vikram Bhatt, who has carved a name as a horror filmmaker in recent times, is...

India will be seen as a global leader at this US Visit: Modi

New Delhi, Sep 20 (IANS) As he embarks on a week-long visit to the US, Prime Minister Narendra Modi on Friday voiced confidence that his...

Swara Bhasker still feels a student at heart

Mumbai, Sep 20 (IANS) Actress Swara Bhasker, who has carved a niche in Bollywood with her acting skills, has said that she still feels like...

Modi’s Houston visit may seal major energy deal

New Delhi, Sep 20 (IANS) Prime Minister Narendra Modi's upcoming agenda-heavy US visit may start a new phase of corporate relations between major energy companies...

24 special courts in Odisha to deal with POCSO cases

Bhubaneswar, Sep 20 (IANS) The Odisha government on Friday said it would establish 24 Fast Track Special Courts (FTSCs) for disposal of cases of rape...

More Articles Like This