Saturday, September 22, 2018

Big Basket: The Concepts Underneath.

"Big Basket"

Economies of scale:- Big Basket has acquired Delyver in 2015. They also partnered with SnapBizz to manage their inventory for local markets so that their production cost comes down.

Economies of scope:- The company provides an array of products and to store it, the company uses the same inventory.

Product differentiation:- The term online grocery store itself creates a sense of differentiation. There are about 6 million users who prefer to buy fresh groceries and want them to be delivered at their doorstep.

People respond to incentives:- They  offer Flat 20% OFF for first time users using Mastercard (Credit/Debit cards) on all products. The offer is valid on Home & Kitchen Essentials, Food Supplements including Fruits, Vegetables, Groceries, Staples and more.

Price discrimination by self selection:- The company does price discrimination by self selection to attract regular customers. It provides certain offers to those who use their service frequently.

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