Ekart Logistics has taken the next big step to establish itself as a separate, independent and profitable entity. Flipkart’s subsidiary firm is all geared up to launch ‘Ekart Courier’, a customer-to-customer (C2C) delivery service.
The service will be first launched in Bengaluru next week and then gradually 50 more cities will join the list by September.
Amitesh Jha, VP – Ekart explained how customers’ requests prompted this move. Jha said,
“Customers have been requesting us informally to provide the same service for C2C couriers for a long time. There is a latent need for this system in the market, as our customer research shows that many current players do not address the customers’ need for reliability in terms of time and convenience.”
Ekart is going to rely on mapping technology to meet the inherent challenges of C2C courier industry. Some of the key elements of this new service are:
Door-to-door package pick-up service in under 4 hours of placing request
Delivery promise -2 days
Customers can book service online and pick a convenient time-slot
Real-time tracking and SMS updates
Packaging material like envelopes, bubble-wrap will be offered free of cost
The ecommerce giant is using its logistics arm Ekart in two ways – to strengthen the marketplace’s order fulfillment process and as a vital revenue source for the parent company.
On one hand, Ekart is helping Flipkart to overcome last mile delivery challenges and support alternate delivery models. On the other hand, the logistics company entered the B2C delivery space by offering its services to other ecommerce companies.
By venturing into C2C delivery industry, Flipkart’s Ekart is looking to challenge existing traditional players like DTDC Express, Fedex, First Flight, and Blue Dart. Surprisingly, the etailer is very positive about its courier service and isn’t too concerned about other players.
“We expect this service will be as disruptive as Flipkart’s entry into the ecommerce space. The industry is still very unorganised. No one provides an end-to-end proposition that consumers want,” said Jha.
Ekart is eyeing 5-10% share of the Rs 2,200 crore C2C courier market. Its revenue target is to earn Rs 200 crore in just one year.
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