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Contents
Acknowledgement ......................................................................................................................3
Executive Summary: Blinkit - Revolutionizing Indian Grocery Delivery.....................................4
Introduction ................................................................................................................................5
Company Highlights ..................................................................................................................6
Blinkit: How it Started?...............................................................................................................6
Blinkit: Name, Tagline and Logo ................................................................................................7
Blinkit – Business Model ............................................................................................................8
Blinkit’s Revenue Model- How Does it Make Money?..............................................................10
Blinkit’s Inventory Model .......................................................................................................10
Blinkit’s Investment Rounds- Funding and Investors................................................................11
Blinkit’s Growth Stages ............................................................................................................13
Blinkit’s Competitiors ...............................................................................................................14
Blinkit’s Challenges and Controversies so far............................................................................15
Blinkit’s Future Prospects: ........................................................................................................17
Conclusion: Blinkit - Navigating the Future of Grocery Delivery ..............................................18
Bibliography and Webilography................................................................................................20
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Executive Summary: Blinkit - Revolutionizing Indian Grocery Delivery

In an era marked by the proliferation of e-commerce platforms, Blinkit (formerly Grofers) has
emerged as a prominent name in India's online grocery delivery landscape. Founded in 2013 and
headquartered in Gurugram, this Indian on-demand e-commerce startup has redefined the way
Indians shop for daily essentials. With a diverse product range encompassing groceries, bakery
items, baby care essentials, and more

Blinkit offers customers the convenience of ordering through its mobile application. Scheduled
doorstep deliveries by dedicated employees further enhance the shopping experience. Currently,
Blinkit operates across a staggering 28 cities in India and boasts an impressive valuation of $1.01
billion, with over 6.8 million visitors on its app.

Through this marketing case study, we try to delve more into the background, marketing
strategy,Business and revenue models, its customer segments and much more
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Introduction

Blink it (formerly Grofers) is an on-demand

grocery delivery service based in Gurugram, India.
The company provides a wide range of everyday
needs products to its customers, including
groceries, bakery, baby care, and more. Through
the Blink it mobile app, customers can purchase
and order products at a specific time, and Blink it
employees will deliver them to their location.
Currently, Blink it is available in more than 28
cities across India.

Blink it was founded in 2013 by two Indian

Institute of Technology (IIT) graduates, Albin
Dhindsa, and Suresh Kumar. At the time of the emergence of many startups, they both saw an
opportunity to fill the void in the unstructured hyperlocal space of the merchant-consummate
transaction. Their vision was to offer a single point of contact for the customers’ local delivery
needs through on-demand pick-up and drop-off services. This would make it easier for the
consumers to manage the logistics from their locality’s grocery, medical, and restaurant stores.

About the founders:

Albinder Dhindsa

Albinder is the CEO and co-founder of the company. He had completed his B.Tech from IIT,
Delhi and holds an MBA degree from the Columbia Business School.

Saurabh Kumar

Saurabh is the co-founder of Blinkit. He had completed his B.Tech degree in Civil Engineering
from IIT Bombay and an MS in
Transportation Engineering from The
University of Texas, Austin.
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Company Highlights

Startup Name Blinkit

Headquarters Gurugram, India
Sector Online Shopping/Ecommerce/Grocery Delivery
Founders Saurabh Kumar, Albinder Dhindsa
Founded December 2013
Valuation $1.01 billion (September 2021)
Revenue/Turnover $319.62million
Total Funding $1 billion
Area Served India
Parent Organization Zomato(June 2022)
Website https://blinkit.com/

Blinkit: How it Started?

Albinder started working as a transportation analyst for URS Company in USA after his
graduation. He kept in touch with Saurabh Kumar without any intention of starting a business.

Both of them realized that there was a big gap in the delivery sector. At that time, there were a
lot of startups coming up. Both of them thought that there was a need to sort out the unstructured
hyperlocal space of the transaction made between the merchants and the consumers.

This is when they started building a foundation for their startup.

The idea was to offer a single solution for the customers’ local delivery needs by providing on-
demand pickup & drop services. The idea was to make it easier for the customers to get their
groceries from the shops in their locality like grocery store, medical store, and restaurants.
Initially, they also provided groceries delivery for customers from their neighbourhood stores
and supermarkets.
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Blinkit: Name, Tagline and Logo

On December 13, 2021, Grofers officially changed its name to

“Blink it” after completing its rebranding campaign. The new
name for Grofers aligns with the company’s vision of delivering
groceries in an instant – literally, in the blink of your eye. The brand’s new tagline is “Lets Blink
it” or “#letsblinkit.”

Why did Grofers rebranded as Blinkit?

The online grocery delivery company Grofers,, has changed its name to
Blinkit to reflect its new emphasis on the "quick commerce" or "10-
minute grocery delivery" space.

The change comes a few months after Grofers announced its "10-
Minute Delivery" initiative.

“We were doing it [rebranding and focusing on faster delivery] out of

the mind that we either out-innovate [sic] ourselves, or we will become redundant,” founder and
chief executive-Albinder Dhindsa

Logo –
The company’s logo is very appealing . It is in orange colour which is a symbol of change,
success, happiness, and balance

.
Tagline –
The company’s tagline is – Let's Blink
it.
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Blinkit – Business Model

Blink it works on a market economy business model also called as hyper-local on demand
logistics system. The goal of the hyper-local logistics system is to eliminate the need for
consumers to travel to local shops to purchase consumer goods instead of ordering online. The
startup does not have any grocery store or warehouse. Instead, it partners with local grocery
stores in the city. The company sends its delivery boys to collect the products ordered by
consumers from the local grocery stores. The company accepts orders from its mobile
application or website. The tie-up arrangement helps local grocery store owners to get more
orders. Also, the Grofers makes money from these orders because the company charges a

commission.

Main components of Blinkit's Business model

Regional suppliers, regional clients, and delivery staff are the three main components of its
business model.

1. Regional Suppliers: Partnering with local retailers is an integral part of Blinkit’s

business model. This is especially true for mall businesses that don’t have the manpower
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to deliver door-to-door and have limited marketing budgets to reach a larger customer
base.
2. Regional Clients:

One of the driving forces behind the idea for Blinkit was the number of people who can’t find the
time to go to the market on a daily basis. This includes working people, senior citizens, students
and even patients.

3. Delivery Staff:

. A Blinkit team consisting of delivery workers is assigned to a particular location. They work
with retailers to deliver everyday essentials to customers’ doors as quickly as possible
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Blinkit’s Revenue Model- How Does it Make Money?

Blink It's revenue model is analogous to that of commission-based retailers. The company has
established partnerships with local store owners and merchants for the purchase of groceries and
other essential items in the local vicinity. Blink It incurs a commission on these orders from
these merchants. The commission rate is between 8% and 15% when the order is under 700
rupees, and between 12% and 15% if the order is under 1000 rupees. Additionally, Blink It
charges a delivery fee for orders under INR 250.
Furthermore, Blinkit also invests in private brands, which are already engaged in generating
significant income streams

Blinkit’s Revenue Record

 The company had earned a revenue of INR 1282.3 Cr. in the FY 2019 and total INR
2289.2 Cr. in the
FY 2020.

 In the 2021 FY,

Blinkit recorded a
revenue of INR
2725 Cr.

 In 2022 FY Blinkit
earned a revenue of
INR 26596.06 Cr
 In 2023 after
Zomato acquired
its shares it has seen recorded revenue of 363 Cr (till March 2023)

Blinkit’s Inventory Model

Blinkit’s inventory-based business model has helped build its brand’s credibility in India’s
grocery delivery market. Grofers’ original model was based on local shops and didn’t gain as
much traction as it should have.
As competitors entered the online grocery delivery space, Blinkit needed an hour to pivot from
its original model. With Grofers, customers’ groceries were delivered directly from the local
store, whereas with Blinkit, their groceries are first transported to the local warehouse. From
there, the inventory team checks if the food products meet standard quality standards. After that,
the groceries are packed and sent to the buyer once they are happy with the quality of the food.
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Blinkit’s Investment Rounds- Funding and Investors

Blink It has achieved considerable success in terms of investor and funding,

funding
Till now Blinkit has raised approximately $927 M in its total 19 rounds.
The latest round of funding was led by the Food Tech major Zomato which
infused $100 million into Blinkit on 11 March 2022. The fast commerce unicorn
also confirmed that this $100 million is the first installment of a $400 million
funding round and that more funds will be made available next week.

The online grocery delivery service was approved by the Indian food delivery giant
Zomato on 16 August 2021. The online grocery delivery major has achieved a
valuation of over $1 billion and joined

A brief record of Blinkit’s Investment has been given below:

Date Amount Round Lead Investors

March 16, $150 Debt Financing Zomato

2022 Million

March 11, $100 - Zomato

2022 Million

September $16.7 - KTB Ventures

29, 2021 Million

August 17, $100 - Zomato

2021 Million

November $55 Venture Round SoftBank Vision Fund (SVF) and

13, 2020 Million other existing investors
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December 31, - - -
2019

November $43.04 Corporate Grofers International Pte Ltd

18, 2019 Million Round

October 29, $18.83 Series F Bennett Coleman and Co Ltd

2019 Million

August 19, $70 Series F Softbank Vision Fund

2019 Million

July 15, 2019 $10 Series F Abu Dhabi Capital Group

Million

May 15, 2019 $220 Series F Softbank Vision Fund

Million

May 16, 2018 $53.81 Series E Softbank Vision Fund

Million

October 25, $12.91 Series D Grofers International

2017 Million

September 1, $839K Debt Financing Trifecta Capital Advisors

2017

November $120 Series D Cyriac Roeding – Roeding

2015 Million Ventures, Softbank, Sequoia
Capital and Tiger Global
April 2015 $35 Series C Sequoia Capital
Million

February $10 Series B Sequoia Capital and Tiger Global

2015 Million

December $500k Seed Sequoia Capital, Deepinder Goya

2014 Round/Series A
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Blinkit’s Growth Stages

 In India, The number of orders on Blinkit increased 21 per cent to 3.16 crore till now
across 12 to 13 cities.
 Its platform contains more than 5k+ different products prepared for delivery in 10
minutes.
 Till March 2023 Company’s revenue is recorded .up to 363 Cr.
 It is India's third-largest platform for grocery delivery
 Every year, Blinkit is seeing a enormous increase in its customers

"Blinkit's Share-Swap Merger with Zomato"

On 24 June 2022, Zomato announced that it had acquired Blinkit for a total
consideration of Rs 4.447 crores.

According to a letter to BSE from

Zomato, the board of directors of the
company has approved the purchase by
Zomato for a total of Rs 4.485 crores
from its shareholders up to Rs 33,018.

The letter also stated that Zomato's

Hyperpure, a subsidiary of B2B
company Zomato, had purchased
HOTPL, a company that supplies warehousing and related services, for Rs 60,7
crores from Blinkit.

In the Blinkit deal, Zomato's shareholders will get one share for every 10 shares of
Blinkit held by Zomato.

Zomato had invested $100 million in Blinkit in March 2022 for a shareholding of
more than 10%.

This acquisition will give Zomato access to Blinkit’s 400+ dark stores. It’s worth
noting that Blinkit had previously reduced its dark store count from 450 to 400 as
a cost-saving measure. Dark stores are a key component of the fast commerce
space.
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Blinkit’s Competitiors

Even though Blinkit has been the go-to for investors, there's still a lot of competition out there.
Big companies and supermarkets are starting to focus more on online sales, which makes it
easier for e-commerce platforms to compete with each other.

Blinkit's main competitors include

 Amazon,

 BigBasket

 Swiggy

 Zopnow

 JioMart

 Dunzo

 Nature's Basket

 Amazon

 BigBasket

 Zepto

 Pepper Tap

 Swiggy Instamart
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Blinkit’s Challenges and Controversies so far

Blinkit has faced a series of setbacks in recent months, including the closure of its operations in
several major cities. The company's strategy of offering large discounts to its customers has

backfired, as it has already invested over INR 600 Cr in the past 3-4 months to grow its business.

1. Quality and Freshness Concerns: There have been occasional customer complaints
about the quality and freshness of products delivered by Blinkit. This is a common issue

in the online grocery delivery industry, and Blinkit has been working to address it

through improved quality control measures.

2. Delivery Delays: Like many online delivery services,

Blinkit has faced criticism for delivery delays, especially

during peak demand times or due to logistical challenges.

These delays have sometimes resulted in customer dissatisfaction.

3. Price Discrepancies: Some customers have reported

discrepancies between the prices listed on the Blinkit app or

website and the prices charged during checkout. Such

pricing issues can lead to disputes and dissatisfaction.

4. Worker and Delivery Partner Concerns: In the gig economy, issues related to worker
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wages, safety, and benefits have been widely discussed. Blinkit, like other delivery

platforms, has faced questions about the treatment and compensation of its delivery

partners.

5. Blinkhit Vs Blinkit: Blinkhit, a startup in Bengaluru, has filed a petition with the city

civil court to stop Blinkit from using their trademark. The court has already ruled in favor

of Blinkhit twice and issued injunctions against them. The Karnataka HC is currently

staying the injunctions, but it's causing a lot of trouble for Blinkit and Zomato. On

August 4, the Supreme Court said it won't

interfere with a Karnataka HC order that

removed a stay against Blinkit because it

was similar to a trademark. The court said

it's still in the trial of the trademark infringement suit, so the city civil court gave Blinkit

a temporary order to not use the trademark until the trial was finished.
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Blinkit’s Future Prospects:

It's evident that Blinkit has ambitious plans for the future, aiming to solidify its position in the

Indian market for grocery delivery services. Here's a summary of their exciting plans:

1. Market Share Growth: Blinkit has set its sights on becoming a major player in the
online grocery delivery space. With the claim of having captured 13% of the market,

it aspires to position itself as the third-largest platform for grocery delivery in India,

following in the footsteps of Amazon and Bigbasket.

2. Expansion: Blinkit is planning to expand its operations into new locations. This

expansion strategy suggests a commitment to reaching a broader customer base and

serving consumers in more regions across India.

3. Market Domination: The primary objective of Blinkit is clear: to dominate the Indian
market for grocery delivery services. This ambition reflects the company's determination

to lead the industry and become a household name for online grocery shopping.

4. Diverse Product Range: Blinkit intends to diversify its product offerings. In addition to
groceries, they plan to offer a broader variety of items, including products for babies,

fresh fruits, baked goods, pet supplies, flowers, and more. This expansion aims to cater to

a wider range of customer needs.

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Conclusion: Blinkit - Navigating the Future of Grocery Delivery

The marketing case study of Blinkit, formerly known as Grofers, provides a fascinating glimpse
into the evolution and aspirations of this Indian e-commerce powerhouse. From its humble

beginnings in 2013 as a localized grocery delivery service, Blinkit has transformed into a

dynamic force in the online grocery delivery sector.

Key takeaways from this case study are as follows:

1. Evolution and Adaptation: Blinkit's journey showcases its adaptability and evolution in

response to market dynamics. The company's transformation from Grofers to Blinkit

reflects a commitment to diversification and expanding its product offerings to cater to a

wider customer base.

2. Competing with Giants: Blinkit's ability to challenge industry giants like Amazon and
Big Basket underscores its determination to be a significant player in the Indian e-

commerce landscape. With a market share claim of 13%, it's positioning itself as a

formidable third contender in online grocery delivery.

3. Customer-Centric Approach: Throughout its growth, Blinkit has maintained a strong

focus on customer satisfaction, emphasizing convenience, quality, and affordability. This

customer-centric approach has been instrumental in building a loyal user base.

4. . Expansion and Ambition: Blinkit's expansion plans, both in terms of locations served
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and the diversity of products offered, reflect its ambition to dominate the Indian grocery

delivery market. The goal of multiplying its size by 100 over the next five years is an

audacious but indicative of the company's long-term vision.

5. Challenges and Controversies: Like any rapidly growing enterprise, Blinkit has faced
its share of challenges and controversies, including issues related to product quality,

delivery delays, and pricing discrepancies. Addressing these concerns will be crucial in

maintaining and growing its customer base.

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Bibliography and Webilography

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blinkit/https://thedigitalyug.com/startup/blinkit-success-story-india-s-fastest-growing-e-

commerce-platform

2. https://www.similarweb.com/website/blinkit.com/#ranking

3. https://www.bqprime.com/markets/how-zomatos-quick-commerce-unit-blinkit-has-fared-

since-buyout

4. https://www.moneycontrol.com/news/business/sc-rules-in-favour-of-zomatos-blinkit-in-

trademark-dispute-with-blinkhit-11098051.html

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