InvestorQ : Why are Reliance and Facebook so interested in the Kirana (grocers) of India? How do these small grocery shops make business sense for them?
Anjana Aiyar made post

Why are Reliance and Facebook so interested in the Kirana (grocers) of India? How do these small grocery shops make business sense for them?

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Arya Nanda answered.
2 years ago
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In a way, the one segment that both Reliance and Facebook are trying to target is the Kirana shops. Yes we are talking about the small time grocer in every street corner. For Reliance, the Kirana story has two implications. It allows them to migrate millions of individual customers and shop keepers to the Jio Mart platform. In addition, Reliance will also be able to manage inventory on behalf of the 30 million Kirana stores across India using their M-Pos platform. That way, the Kirana shop owners can handle inventory through a central interface and avoid too much or too little inventory at any point of time. Let us also look at the Facebook perspective. Facebook sees the Kirana story as a means to reach out to paying customers and become part of the shopping experience allowing Facebook a better shot at monetizing their social platforms. For Facebook and WhatsApp, the monetization is the lowest in Asia and is nearly 1/10 of what it makes in North America.

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