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What is Reliance Smart Point Business Model Full Details
Reliance Smart Point stores are the new babies in the grocery supermarket business. Recently their smart point stores are the discussion point in all the business meeting & eCommerce groups. The online grocery business has seen a tremendous boom in recent days as the demand has increased for online rapidly. Their pharmacy retail business is creating a buzz that was launched recently. Read on for What is Reliance Smart Point Business Model?
Reliance Smart point’s business model is very unique & new in the market. A successful business model is the key element of any business to grow & beat all competitors. Smart point’s business has made the company grow rapidly & become the most growing supermarket in India. They have an aggressive plan, through which they will cater to the tier 2 & tier 3 cities in India. Their main focus will be the rural & town area where big players like Amazon & flipkart are unable to serve.
Reliance Smart Point Business Model Full Details
Let’s discuss the Business model of Reliance Smart point stores.
Main characteristics of Reliance Smart Point business model is described below;
Unique Product Mix
Reliance smart point comprises a unique product mix plan for its consumers, which are categorized as Pharmacy, Foods, Fashion & General merchandise. They operated in business to consumer model. Where goods are directly sold from their store to the end-user. Demand for the grocery & pharmacy business has seen tremendous growth in the past few years. This eliminates the risk of high demand fluctuations & provides stability in the business. Grocery & medicines are the most common expense which an Indian spend on their monthly expense.
Read More: Reliance Smart Point Pharmacy Details
Reduce Extra Expense;
A low-cost business model having high profits is one of the main attractive & successful forms of running a business. Reliance smart point operates on a low-cost-interior concept by reducing the operating expense for the stores. By serving high margin products & providing online delivery leads to low expense on their balance sheet.
High Volume of Sales;
Their high volume of sales from the entire group is their main feature. Being a low-priced store it gives an edge, which leads to high footfall & high sales volume. They attract to mass, thereby all the national brands ensure their visibility of products on their shelves. So manufacturers also extend a volume discount, reducing the purchasing price. This supports the low-cost business model & makes smart point stores stronger.
Read More; Reliance Smart Point Online shopping app
Space for Regional Goods;
They store local & regional brands in their store. They have grabbed this opportunity by stocking regional & local area-specific products. Consumers across the cities tend to shop for local brands & products as per their lifestyle. Storing popular local brands of a particular city in one place, making it more convenient for the customer to avoid going to local shops. This key feature cut the competition from the general grocery store gaining more footfall to the store. Their stores serve readymade paratha in North Indian stores. A strong product mix as per the locality is the unique USP for smart point stores.
Reliance Smart Point stores are self-owned;
Most of the stores of reliance smart point are self-owned. Which allows them to be a low-cost opex on store expenditures. Although the expansion & growth in self-owned stores are slow, this has its own advantages. The % of stores that are self-owned by them are not in the public domain yet.
Private Lables Brands;
Reliance smart point stores have a good mix of their self-owned products. This gives them an edge on a higher profit margin as compared to National Brands. The consumer also enjoys the low-cost private label brands product range. Their range of own brands includes home & personal care products, juices & milk products.
Eliminating middlemen for cost effective pricing;
Their strong presence across the states ensures high bargain while purchasing directly from the National brands. They directly procure products from national brands manufacture which gives an edge over their competitors. Direct buying from the manufactures eliminates the middlemen, which overall increases their profit margin.
Strong Online presence of Reliance Smart Online
Their strong online presence ensures that each customer’s need is served well. The online product mix is very unique. you get pharmacy & grocery products delivered from one app only. Free home delivery & same-day delivery are their key features when it comes to attracting more customers online.
Final words on Reliance Smart Point Business Model
Strong presence offline & online, private brands product mix & unique product mix are the main key features of Reliance smart points business model.