wordpress blog stats
Connect with us

Hi, what are you looking for?

Spencer’s Retail to enter ecommerce with Meragrocer acquisition

Spencer’s Retail, the supermarket chain owned by the Goenka Group, has acquired the online grocery store Meragrocer for an undisclosed amount, reports ET. Spencer’s will make Omnipresent Retail, Meragrocer’s parent company into a wholly owned subsidiary. The report cited Shashwat Goenka, ecommerce sales and sector head of Spencer’s as saying that the company was eyeing a gross merchandise value (GMV) of Rs 500 crore from e-commerce in the the next 5 years. Goenka added that apparently, the cost of acquiring Meragrocer was much lower than what would take to set up a greenfield operation for ecommerce. Meragrocer, which operates only in Delhi and Gurgaon, has a GMV of Rs 5 crore. Spencer’s Retail is running losses of Rs 2 crore every month, down from Rs 9.5 crore every month 5 years ago and with the acquisition, the company aims to break even sometime in the near future. The acquisition will allow the group to go omni-channel in Spencer’s present markets and may start selling on Flipkart and Amazon (and also hinted at in February) as indicated by another ET report. Spencer’s stores will become warehouses and servicing points. It is unclear if Spencer’s is looking to convert all of its stores into warehouses across cities. According to a Hindu report, Spencer’s’ online model will start operating on a full scale from April 2016, while DNA reports that Spencer’s will scale up Meragrocer by the first quarter of 2017. As of now, Spencer’s has 122 stores across 35 cities in India.…

Please subscribe/login to read the full story.
Written By

I'm a MediaNama alumna from 2015-16 (remember TinyOwl?) now back to cover e-services like food and grocery delivery, app based transport and policies, platforms and media in India.

Free Reads

News

TRAI first introduced the idea of displaying the caller's name in a consultation paper back in 2022.

News

As per reports, the Unmanned Aerial Vehicles (UAVs) will be enabled with 5G capability and will be built to function in extreme temperatures and...

News

One of the X posts on Krutrim that blew up was about the AI model claiming that it was created by OpenAI as opposed...

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

Notably, Indus Appstore will allow app developers to use third-party billing systems for in-app billing without having to pay any commission to Indus, a...

News

The existing commission-based model, which companies like Uber and Ola have used for a long time and still stick to, has received criticism from...

News

Factors like Indus not charging developers any commission for in-app payments and antitrust orders issued by India's competition regulator against Google could contribute to...

News

Is open-sourcing of AI, and the use cases that come with it, a good starting point to discuss the responsibility and liability of AI?...

News

RBI Deputy Governor Rabi Shankar called for self-regulation in the fintech sector, but here's why we disagree with his stance.

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ