India’s Flipkart said on Tuesday it plans to offer 90-minute deliveries for groceries and home accessories, as the Walmart-owned (WMT.N) online retailer goes head to head with Amazon.com Inc (AMZN.O) in a key growth market for e-commerce.
Flipkart said its hyperlocal service, dubbed Flipkart Quick, will also sell mobile phones and stationery items, taking it a step further than existing quick-delivery services which mainly offer just groceries.
Flipkart Quick will debut in select locations in Bengaluru, the company said, without specifying a launch date.
The new service puts Flipkart more directly in competition with Amazon and Alibaba-backed (BABA.N) BigBasket, both of which offer quick deliveries of groceries. Bengaluru-based Flipkart will also go up against grocery delivery upstart JioMart, backed by Asia’s richest man, Mukesh Ambani.
Google-backed Dunzo and Naspers-backed (NPNJn.J) Swiggy also offer grocery deliveries in India, and the service could be lucrative for companies during the COVID-19 pandemic, which is making more Indians order essential items such as groceries online.
“Halfway through the year of the pandemic, supply chains have transformed drastically,” Flipkart said in a statement. “The hyperlocal category, known for being a convenience for many, has now emerged to be a long-term essential service for the country.”
Last week, Flipkart said it had acquired Walmart’s local cash-and-carry business in an effort to strengthen its wholesale offerings to mom-and-pop-stores.