Big Basket Supply Chain Management

        Hello Readers, This is Muhammad Jassim from Amrita School of Business Coimbatore. Welcome to my interesting and insightful Blog on Supply Chain. This week blog is all about Bigbasket Supply Chain Management.

Bigbasket :

        Bigbasket was established in the year 2012 as a Online supermarket which has increased its customers by 1 lakh in the next year. They set up their first market in Bangalore and then moved on to major cities of India. Bigbasket mainly targets on Tech savvy men, Working women, Weekly party or essential commodities purchase can be easily made with them. The issues that were faced by online shopping industry were as follows, 

        They possess Capital Intensive

        They follow city specific model.

        To gain more investments from the investors to look on establishing Warehouses and Distribution centres in the area where Logistic can be improved. To ensure that managing Technology happens in the right part in order to ensure in terms of serving the people of the country.

Bigbasket's Supply Chain Model:

        In the start Bigbasket started with, inventory based Supply chain model where the company has its own inventory management in order to know what its customer needs on their every day demand. Bigbasket also follows hyperlocal business pattern where it delivers customers who are located within the areas of the shops that delivers the customer their product in very short span of time. Bigbasket categorize their customers as Trial one, Trial two, Trial three, Gold, Silver and Platinum. When Bigbasket delivers first time to a customer it categories them as trial one and follows the same till their third order as trial three after that Bigbasket consider them as their Silver customers who become their frequent customers by availing Bigbasket's services. 

Bigbasket's Supply Chain Strategy :

        Bigbasket minimizes the risk of perishability for the items like fruits and vegetables which are to be procured only on orders basis. Bigbasket has its own logistics and warehouses giving them better control and margins. They mostly focuses on weekly purchases rather than impulse buyers to carry on minimal order level. 

        Gradual elimination of intermediaries, Bigbasket followed farm to home principal where it delivers fresh grown vegetables to the nearby places. They also follow Hubs and Spoke model for efficient and fast delivery of products to customers with warehouses in each city of operation. 

        These are the various Supply chain related activities followed by Bigbasket and hope I find it informative to my readers.