Industry-agnostic, swift and convenient, the hyperlocal delivery model offers both cost optimization and efficiency to the seller and the buyer. The need for instant gratification when it comes to shopping, lightning-fast fulfilment and delivery and tech-savvy revolutions like Geolocation and contextual targeting tools are driving the e-Commerce sector into hyper localism, solving key challenges like optimum route planning, managing peak hours, order consolidation, multi-point pick up, time slots, fleet management etc. From E-commerce to Q-commerce the growth graph for online commerce has been steep owing to digitization. The pandemic has further given catapulted this model into abject growth. An increasing number of consumers both in metropolitan cities and small towns are making a paradigm shift in their shopping behaviour and adapting to digitisation. Directly proportional and compatible with the variable consumer behaviour, here’s why Hyperlocal is the new ‘IT’ business model –
Expansion of consumer and products segments:
The pandemic and life in a post-crisis world brought with them border restrictions, lockdowns, supply chain disruption etc which caused a declension in global connectivity pushing both retailers and consumers to rely on locally available products and resources.
This gave an impetus for growth to the small businesses and local vendors, who pivoted to online commerce giving the consumers the comfort of buying from their neighbourhood stores, thanks to hyperlocal. This in turn has helped the e-commerce and Q-commerce sector move beyond just essentials like groceries, medicines, and hygiene products, and bring non-essential items such as gym equipment, entertainment products, fashion and lifestyle products etc into its fold.
Real-time insights and Automated Product Delivery Solutions :
Hyperlocal has not only increased connectivity in both widespread and remote areas but also helped businesses, especially local vendors in logistics. AI-powered logistics solutions promise seamless last-mile delivery allowing businesses to focus on their core strength and not worry about logistics. The real-time insights, order tracking, delivery partner availability etc help businesses, especially local vendors in identifying the gaps in their supply chain and inventory and address those on priority.
Enhanced consumer-retailer relationship:
AI-backed Hyperlocal helps retailers in connecting with their consumers including their feedback for services and products. The digitization of shopping and payments has not taken away from the homeliness of the local vendor and consumer relations. Enabling a direct channel for consumers to put forth their expectations and feedback is a great asset for local vendors as it helps in exercising constant growth, better quality control and augmented trust in their business.
Online shopping is all about convenience. Consumers today choose convenience over cost and that extra monetary margin for rapid and on-demand delivery has helped the sellers drive sales with higher margins.
Augmented business reach:
The local vendors have the advantage of serving the customer base in their immediate area. Quick Commerce and hyperlocal specifically help consumers scout their neighbourhood for available vendors which makes them willing to try new brands and order from new stores thus giving an impetus for growth to the local sellers. Additionally, Q-Commerce also helps sellers reach not just their immediate surroundings but also a wider audience and compete with global brands, offering their own unique USP. While they may have only been able to serve a limited community from just a brick and mortar presence, by having a hyperlocal, online presence it has become very easier to serve customers from any location. The introduction of hyperlocal has emerged as a game-changer. To maximize and optimize operations, retailers are re-branding and re-inventing ways that help them stand out and reach a wider audience. The global hyperlocal services market is estimated to record groundbreaking growth in the coming years.
Author: Vishal Jain, Co Founder Roadcast