Bennett, Coleman & Co Ltd (BCCL) has picked up a stake in Omnipresent Retail India Pvt Ltd which operates the portal edabba.com, a hybrid model of ecommerce that leverages the best of both offline and online models of retail and at the same time plugging the gap between them.
edabba’s operating model
Despite growing penetration of smartphones as well as higher net connectivity, population transacting online in India (other than ticket booking) is very minuscule at ~ 1% vis-à-vis 60%+ in countries like USA. Multiple issues are attributed to lower online buyer penetrations like lack of connectivity, lower penetration of debit/credit cards, insistence on touch & feel, etc, but one of the major reasons in lack of trust.
Incorporated in 2011, edabba’s operating model is based on the underlying concept of ‘Assisted Internet Buying’ which removes any trust and payment concerns of the customers by using the entity known to the end customer like neighborhood retailer for taking orders, payments and delivery.Currently, network of 700 plus such retail outlets, named Trust Points, spread across 175 plus cities/towns in India are used by the company,through which it sells about 250+ brands under Electronics, Jewellery, Apparels, Sunglasses, etc, including Diamond Jewellery under private label brand Saashi.
Both the principal promoters are former CXOs at Future Group with experience in retail, consumer electronics, sales & distribution. They have headed businesses like eZone, Electronic Bazaar, Fairprice, Aadhar, Food Bazaar Retail.
We plan to have 5000 plus Trust Points across India with a sales turnover of over Rs. 500 crores in next 3 years time. With BCCL coming in as an investor, brand eDabba and the business will get a big boost.” [Manoj Kumar, edabba Cofounder]