Online Groceries Coming to India via Reliance Retail

Reliance Retail is planning to launch online groceries in India. They are calling it an e-commerce portal where people can buy groceries which will be then delivered to their homes. Mukesh Ambani announced it yesterday on his 50th birthday. They plan to target both B2B and B2C markets.

Unlike USA - where the biggest challenge is the cost of delivery - India's biggest challenge is penetration of credit cards with the common man. As is well understood, reliance' strategy has always been to target the large middle class base and not just the top 1% that have always had access to cellphone, credit cards and internet.

Perhaps, Reliance will allow a CoD (cash on delivery) service to offset this issue. (just like delivery services from Domino's and McDonalds)

Anil Ambani group has already launched a Reliance Credit Card (in collaboration with Citigroup) to target common man.