Zop­per Reaches Out to More Cities, Dou­bles Gross Sales

Hyper­local ecomm startup to record gross sales of $250 m this yr

The Economic Times - - Disruption: Startups & Tech - Aditi.Shri­vas­tava1 @times­group.com

Ben­galuru: Hyper­local ecom­merce startup Zop­per said it is set to more than dou­ble its gross sales to $250 mil­lion this year as it ex­pands its city reach and at the same time, keeps its port­fo­lio fo­cussed on elec­tron­ics. Zop­per, which al­lows users to shop from the near­est re­tail store, said it plans to ex­pand be­yond cap­i­tals to 45-50 cities in the next three or four months, and in­crease depth in its elec­tron­ics cat­e­gory, which cov­ers mo­bile phones to air con­di­tion­ers.

Un­like its com­peti­tors in­clud­ing Paytm, Gro­fers and Flip­kart, the com­pany is also lever­ag­ing its tieups with off­line stores to cross-sell its ex­panded war­ranty scheme ‘Zop­per As­sure’ to brick-and-mor­tar stores, where a cus­tomer pays an ad­di­tional 8-10% of the prod­uct value to get an ad­di­tional year of war­ranty be­yond the brand's com­mit­ment. “We are try­ing to own dis­cov­ery, ful­fill­ment and post-buy­ing own­er­ship,” said Neeraj Jain, co­founder of Zop­per. “Our war­ran- ty prod­uct gets us in a hugely profit-mak­ing po­si­tion with gross mar­gins as high as 80%,” he added. At the back­end, the com­pany is work­ing with in­sur­ance providers and ser­vices re­tail­ers to ful­fil re­quests. Ac­cord­ing to Jain, al­most 20% cus­tomers go for war­ranty pro­gramme, pri­mar­ily the off­line pur­chasers. “Our in-app war­ranty con­ver­sion rates are 3-4% and the rest is off­line,” he said.

Zop­per cur­rently has15,000 stores live on its plat­form in­clud­ing the Mo­bile Store, and lo­cal ki­rana re- tail­ers within a five-km ra­dius.

“In the fu­ture too, we will ex­pand to cat­e­gories where the av­er­age sell­ing price is high and con­sumers don't trust tra­di­tional ecom­merce chan­nels or look into bulky prod­ucts and prod­ucts that re­quire spe­cialised in­stal­la­tion and af­ter-sale sup­port,” said Jain.

Ac­cord­ing to him, In­dia’s model of ecom­merce will be unique, and not a copy-paste Alibaba or Ama­zon busi­ness. “Our off­line re­tail struc­ture is well-pen­e­trated, and yet, highly-frag­mented,” he said.

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