Paytm Enters Into Grocery Segment; Launches ‘Paytm Zip’

Paytm has entered into the grocery delivery market space with the launch of Paytm Zip, an on demand mobile local-ecommerce platform for ordering groceries from the stores.


The company has started the service in selected areas of Bangalore (Bellandur, Iblur, Sarjapur Road, Kadubeesanahalli, Marathahalli, Kundalahalli). Paytm Zip is also planning to expand its services to the National Capital region by May this year.
Paytm has partnered with retailers and third party logistics partner in Bengaluru.
Grocery delivery has become a hot cake for the ecommerce giants with Flipkart announcing its plan to launch an in-house online grocery service earlier this month,  Amazon’s ‘Kirana Now’– an express delivery platform partnered with mom-and-pop stores, Snapdeal has tied up with food retailer Godrej Nature’s Basket in January to sell about 400 of its products online, with one day delivery option.
Question: Why is Paytm unbundling the grocery app when the ecommerce play is tightly integrated with its recharge app?

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