Project report for Online supermarket

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Introduction

In the new normal situation around the world, online grocery is getting huge attention as it helps people to get the essentials without stepping outside and also helps in social distancing. The online grocery business is now a hot fire among Indians as the demand is so huge . Acceptance of online grocery platforms in India has increased in recent years, owing to the rising awareness about the convenience of the process, digital literacy, and internet penetration across the country. Also, investors have shown the tendency to spend large amounts on customer retention, because grocery is an essential commodity for households. Therefore, customer acceptance and high investment on customer retention is expected to lead to further growth of the online grocery market in India. The central government of India has designed and developed smart cities with a state-of-the-art infrastructure for setting up different models of e-commerce and online transactions. Owing to these reasons, the online grocery retail market is witnessing a growth rate of ~25-30% in the Indian metropolitans, and other emerging smart cities. Online food and grocery retail, which currently accounts for just 0.2% of the overall market, is expected to touch $10.5 billion or 1.2% of the overall market by 2023, driven by an increased assortment of products and efforts like express delivery operations.

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Market potential & Strategy

The changing behavioural patterns in consumers purchasing habits is one of the most influential factors that has encouraged the ‘Online Grocery Market’.India's shopping pattern is shifting from traditional format to digital format. Online retail is rapidly gaining popularity in the country owing to the rise in the e-commerce industry. The key reasons for this growth would include- growing mobile internet penetration, increasing usage of smart devices, time convenience, and increasing purchasing power.In India's online grocery market, staple and FMCG online sales have fueled the market. India retail market is a very fragmented market with over 12 million “mom and pop” stores, which is one of the major challenges for the growth of online retailing. However, the online grocery market has started registering healthy growth rate on account of growing urbanization, changing lifestyle of the consumers, and tech-savvy young generation who prefers to buy products online.Also the post covid period will fuel the migration from normal brick and mortar shop to the online grocery shops. Marketing can be possible through social media and SEO at the same time watsapp based promotion and order recieval would be an added advantage to acquire the customers.

 

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