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Some might add that it’s too early to say grocery delivery in Pakistan is a workable business. Since it’s the case not just in Pakistan but in the whole Subcontinent, people believe in the traditional mode of grocery shopping. As they are used to that mode, they are sure of what kind of product they are taking back home with them. The idea of having food delivered has worked big time. However, with groceries people tend to be very picky as they believe that they might get a stale product or an expired one and the process of returning the product seems very exhausting to them. So they’d rather take the plunge of going out themselves and making the purchases.

Although we have quite a few options when it comes to grocery delivery. Companies like Mandi Express, FreshOP and now even Airlift is involved the business of grocery delivery in Pakistan but it doesn’t seem to be picking up as much as it should have, by now. In this article we discuss some of the reasons of why these companies haven’t been able to make it a success.

The current scenario:

Almost all the grocery delivery in Pakistan is conducted on a similar model. Let’s take Mandi Express for example, what it does is it acts as another subziwala, only difference being that it is selling sabzi online. You place an order today and you get the vegetable or fruits the next day. Now, firstly, why would people want to opt for another subziwala when they already have one in their area who actually sells to them at a slightly lower price due to their relationship. Secondly, the concept of thinking of what to cook the next day is not really the norm in desi households. It’s during the breakfast when the mothers decide what to cook for lunch. So the idea of ordering vegetables a day earlier is not followed here.

Similarly, if we take the example of Airlift, which sells not only vegetables and fruits but almost every fast moving consumer good. Airlift also follows the same model. You place an order on the app and it gets delivered it to you in a few hours. Sometimes even less than an hour. It still hasn’t been able to profit off as much as it should have considering the market is pretty huge. And with Airlift funds aren’t the problem too, as it has been raising capital from venture capitalists the most recent being an $85 million funding in Series B financing. Still, there isn’t the slightest of consumer shift. So, the question arises, what should they be doing then? Is online grocery delivery in Pakistan a failing business?

A model shift?

As far as online delivery in Pakistan is concerned Foodpanda is the pioneer. It has very smartly engulfed the restaurants of the major cities into its app and its working exceptionally well. Why did it not have the same fate as Mandi Express or other online delivery apps? The model that Foodpanda follows is slightly different then what others in the online delivery business are following. Foodpanda doesn’t have its own restaurants making food and getting it delivered. Instead, it brings the already established restaurants onto its platforms and provides them delivery service.

Although before Foodpanda took over the market, the restaurants had their own food delivery service which people had been using for years. However, there was always a problem with this. Every restaurant did not have enough financing to have multiple delivery riders. So, they would hire hardly 1 or 2 riders to make the deliveries and that would make the order delayed. This is the gap that Foodpanda filled and it worked big time.

Similarly, if online grocery delivery in Pakistan adopts this model, it just might click. Let’s say Airlift brings on board local vegetable and fruit sellers. It can also bring big super markets like Imtiaz and Carrefour to its platform and eliminate the competition from the market. Now if a person who had to go out every morning to buy the vegetables from the local seller but will the local seller deliver it to them. A person who had to visit Imtiaz at the end of every month to buy the groceries doesn’t has to go to the store anymore. As with the Airlift app, they can get anything delivered from Imtiaz to their doorstep. Imagine how much of a hassle they can avoid. We all know what the situation at Imtiaz is like at the end of the month. This is the kind of model that will holistically bring the consumer onto online grocery shopping.

Of course, it’s just an idea and more research is needed to find out if it will work or not. But it definitely looks more promising than the model that is currently followed when it comes to online grocery delivery in Pakistan.