Mukesh Ambani, Asia’s richest man, tests WhatsApp-backed online store in locked down India

JioMart, an e-commerce venture of Reliance Retail, is serving users in three neighbourhoods surrounding Mumbai, according to the JioMartLite website. The shopping app is available via Facebook’s WhatsApp in India, which is under the world’s most expansive lockdown. The popular messaging app has about 400 million users in the country.

The portal’s operation takes Ambani, Asia’s richest man, a step closer to his goal of setting up a digital platform to take on Amazon.com and Walmart’s Flipkart Online Services in an e-commerce market that KPMG said is likely to grow to US$200 billion by 2027. Facebook has said it expects the partnership with JioMart will help make WhatsApp the primary way small businesses connect with customers.

“The roll-out is happening during the toughest of times considering the supply chain constraints,” said Vikraman P N, senior consulting partner of Finnoviti Consulting. “But Reliance will spread the pilot run in various states following its deal with Facebook. And WhatsApp will play a critical role in JioMart’s expansion.”

By adding JioMart’s WhatsApp number 8850008000, customers can get a JioMart link to place an order that will be shared with a local grocer. The customer is then notified via WhatsApp when and where to pick up the items, according to JioMartLite’s website.

The platform intends to deploy the tiny family-run retail outlets, known as kirana, as delivery points. Amid restrictions on movements aimed at containing the spread of the new coronavirus, these stores have been thriving, according to consultant McKinsey & Co.

Grocery purchase frequency at such shops has jumped 39 per cent since the outbreak began earlier this year, the most among India’s food retailers, McKinsey said.