Chennai: Would you believe it – if I say the vending machine background is more than 2000 years? Yes, Hero of Alexandria in Roman Egypt is said to have developed a mechanical lever that dispensed holy water after receiving a coin.
Ever since the prehistoric mankind settled from hunting to farming, retailers helped to add value to the villages they created. This was made possible by bulk breaking of capture or produce to be purchased by the people as per their requirements on land or overseas. That’s how and when markets evolved over the last 20 centuries, says prof Vijaykumar Jayaram (VKJ).
Elaborating on the 5 A’s of E-retailing, VKJ says, “Today we achieved unimaginable sophistication with the advent of power, logistics and a surge in internet users. IOT – the internet of things has brought in the possible of automatic home kitchen stock replenishment. With this the tricky job of preparing a shopping list is automated and does not tax the human memory. Automatic ordering and digital reminders make things get super easy! But wait a minute, not so fast as we have a 1.3+ billion population that needs to Adapt, Afford, Access and Accept these digital technologies.”
“The Accountability part gets tricky and embarrassing between global business groups and our government, considering the people’s per capita incomes and demographics. Obviously, these 5 A’s will take a long time to reach desired levels of throughput. Thesis, anti-thesis and synthesis The titans in this industry are Amazon and Google. Amazon has a head start in online Retailing and wholesaling and forms the thesis whereas Google creates the anti-thesis in their styles of doing business. GMB Google My Business tries to localize the business communities with absolutely free offers. Amazon is huge and did not begin with any such offers, they have a clear strict business agenda. Using Amazon you can order kitchen suds or even a bathtub.”
He adds, “Amazon product categories would challenge even the American supermarkets like Walmart or the French Hypermarkets like Carrefour. Both are similar in size and the only difference – the amorous French have a little more depth in product options when it comes to food or fashion. GMB in India has created a unique space for all time local business and takes the responsibility of even building one page free websites with call for action buttons. The robust web servers of Amazon or that of Google are immaculate and their advantage is unlimited.”
According to VKJ, “The pandemic times has brought in a set of synthesis to the above. First we noted Facebook purchasing a 9.99% in Reliance and the Jio-FB’s brilliant idea was to run digital kiranas using social media data. Now with acquiring a massive controlling stake in BigBasket, Tata & Sons have consolidated this synthesis by combining the best of an established strictly retailing agenda with that of local blending. Tata is already famous for its full range of retail outlets such as Tanishq, Croma, Westside and it’s never ending support for start-ups. Tata Digital is likely to buy out Alibaba, which holds 29.59% stake, and Actis LLP, which owns 16.53% in BigBasket. And all this comes after Star Bazaar – their venture with Tesco, it is now obvious that the Indian conglomerate wields a complete certainty in retailing business. One should not forget that the Tata house also holds a strong back end in the telecom industry too!.”
With all the above happenings, we can hopefully conclude that it would bring in more certainty and grow into an advantage for the general public doing shopping or business in India, he winds up.