New Delhi/Bengaluru: Tata-owned e-grocer BigBasket, which opened its first physical store under the brand name: Fresho in Bengaluru, said it plans to open 200 physical outlets across the country by fiscal year 2023. The Bengaluru-based online grocer aims to increase that number to 800 stores by 2026, its cofounder and CEO Hari Menon said.
The Fresho stores will essentially sell fresh fruits and vegetables in the store. However, to access BigBasket’s wider range of 50,000 products, customers can place orders online through Fresho app and collect them at Fresho stores at their convenience, Menon told ET.
“We want to be everything in grocery (business). This is very strategic in nature as a large portion of customers still want offline shopping for groceries and fresh supplies. The total addressable market (TAM) is very big,” Menon told ET after the launch of the store on Wednesday. “There will be good chunks of users that remain physical.”
According to the company, this will help the company reach out to as many as 500 million new users over a period of time. Menon said this is a significant growth opportunity for the online grocer. Each Fresho store would be around 2,000 sq ft in size and requires an investment of anywhere between Rs 50-70 lakh.
The Fresho store launched in Bengaluru on Wednesday has self-billing counters integrated with video AI tools that enable customers to pick items of their choice and weigh them at the counter through automatic computer vision and generate bills accordingly.
Ecommerce major Amazon India is also enabling pickups from More retail outlets for its online grocery orders, ET had reported in August.
The US-based ecommerce firm is doing in India what it has done with Whole Foods in the US, where a consumer can order on Amazon Fresh online and pick it up from the nearest Whole Foods store in select cities. In 2017, Amazon had acquired Whole Foods for over $13 billion.