New Delhi, Delhi Feb 5, 2021 (Issuewire.com) - Media Content
- What is your company solving?
The start-up says its 'Pick and Choose' model is what resonates with Indian customers. And in the process, it claims to have solved two problems.
Firstly, fruits and vegetables are a high repeat category, and they need to be available closer to the consumer who prefers to buy on a ‘Touch and Feel’ basis, rather than from ecommerce sites. The continued proliferation of Kirana and the ubiquitous pushcart operator reiterates these consumer needs. However, while they provide a retailing opportunity to the consumer, both of these channels are largely unorganized. Differential pricing, inconsistent quality, limited variety, poor procurement practices, and outdated consumer experience of the pushcart operator have not allowed them to cash in on the digital experience. This is what Veglly wants to change.
The second problem it is trying to solve is while organised retailing has proliferated over the last decade, the industry is grappling with high setup and capital costs, high manpower costs, and ever-increasing rental costs. "This makes the unit economics extremely challenging and daunting. Online/hyperlocal formats do not provide for touch and feel, and also have unviable last-mile delivery costs. Veglly marries the art of street vending with the science of modern retailing. We provide an organized retailing technology-enabled experience at the consumer's doorstep. Fruits and vegetables are not really an impulse purchase category and allow for committed, time-bound regular purchases. What we therefore do is service customers on scheduled routes/beat like a Permanent Journey Plan (PJP). This gives the customers the confidence that they will have regular access to a refined and superior quality retailing experience," says Kumaresh. He says, all this is being done through an innovative and economical model, addressing legacy issues of modern retail like high Capex, unreasonable rents, and high manpower costs.
- How does your product or solution work?
Veglly uses GPS-equipped carts and ensures the customers are served on time. The startup has culled out the traditional fixed POS environment, ported it onto an Paytm POS with a billing app, and provides a digitised bill for every transaction. The startup informs customers by way of SMS on time, variety, and price.
The second USP is the innovative display and product variety. The startup offers over 60 varieties of F&V on a touch-and-feel, pick-and-choose model to consumers.
The third USP is the professional and transparent way of reaching consumers. "We are committed to the route plans and serve all customers. All rates displayed are those that we directly sourced from the farms, with our margins added," says Kumaresh.
Veglly aims to become the ‘QSR’ format of retailing fruit and vegetables. Also, the startup says that it reduces one lakh kg of CO2 per year on account of not using diesel vehicles.
- How much have you invested in your company personally?
Abhishek Upadhyay
A farmer at heart with an arsenal of modern education, Abhishek is a B.Tech (CSE), graduate holding rich experience in Supply chain management with a demonstrated history of working in Backend operation and marketing in perishable and non-perishable commodities. A fitness enthusiast and an active sportsman, he values the crucial role of clean and healthy food choices, With a strong desire to work in the field of farming and a fair understanding of the intricacies and challenges of traditional agriculture business, he blends in perfectly with the veglly model which addresses the problems of both- farmer and consumer. Technology being the core medium of modern-day communication, he aims at bringing all veglly operational activities on a common mobile-based platform for the seamless end-user experience. He is passionate about picking up raw business ideas and shaping them into profitable organizations solving problems at grass root level. Has invested 20 lakhs personally and started operation 10 carts.
Sundeep Singh, Co-Founder
Over 8 years of hands-on experience in the start-up industry as a visionary and strategic planner in leading, directing, advancing, and evaluating. Passionate about building global start-ups my work goes to the core challenge of our times i.e. the gap between the common men, technologies, and their work. In a macro picture over the years, I have identified some basic needs outside the radar screen of the agriculture & education ecosystem. Entrepreneur at heart I love being involved in businesses in the early days. Born to a serial entrepreneur, I did college from University of Delhi with Physics as my major. I am a lead generating specialist through different modes. I am Google AdWords certified for search, display, shopping & video ads. I did campaigns for more than tens of companies with million rupee budgets on ads. Founded TryMyTutor.com , one India's largest marketplace for hiring interviewed and verified teachers for offline tutoring, scaled it to 12cr in annual sales. Won Employment Generation awards many times on national level for providing jobs to thousands of tutors. Good at introductory level foundations of UX design and research, building low-fidelity designs and wireframes, creating high-fidelity prototypes, and testing. Experienced with refining products and interfaces to make them useful, usable, and accessible to users.
Kumaresh Das, Co-Founder
I have Corporate Expertise of 4 years in Business growth, Partnership & Alliances, customer requirements analysis, and Product Manager Strategically partnership expert. Generate revenue through partnership and making App marketing strategies. He has done(MCA), Computer Programming, Specific applications from NITK,SURATHKAL.
- Have you raised money or angel round or seed round for your clients in the USA?
The startup has raised an undisclosed amount of angel Seed round. Its key investors are Raaj Kumar Sharma ( Founder Of Ogata Motors) , Vidya Bhushan Sinha ( Co-founder of Daalchini Technologies).
- What have been the difficulties in building this business
However, the startup's journey wasn’t without its problems. “Firstly, we needed to get vendors to accept this model. Secondly, we need people to see this as a viable model for buying fruits and vegetables. the EV ecosystem was not yet mature a couple of years ago. They were not efficient as they would run only forty kilometres, and that gave us a difficult time in reaching customers. We are changing the plan and it’s running 140Km per day" says Kumaresh .
- What is your business model and how do you make your revenues.
Since the startup buys from farmers and retails it to customers at their doorstep, its gross margins are 45 percent. Having built a ‘Made in India’ focussed business model over the last two years, Veglly is now very keen to leverage the model and build value.
“We have just launched a customer app model, which will help us achieve better unit economics and facilitate higher revenue through the existing carts, solving the issue of ‘scale’," says Kumaresh.
- What is your plan for the next 18 months?
Veglly aims to expand to Lucknow, Bangalore with close to 500 carts being added & The technologies driven innovation in the supply chain at farm-side. We are building a 'mobility farm2market supply chain' through a network of smart route mapped MPS (s) in rural areas.
- Anything else that you want to add.
Job Creation:
Each cart captain can earn up to 30k per month by just selling our fruits and vegetables with carts provided by the company. We provide you a steady income and anybody can join us, with just authentication and an account with us.
Operational Model:
- FOFO: Franchise Owned Franchise Operated Model. We are providing a franchise of our model at Just 5lakh Rs. By this amount company provides modified 10 e- carts to owner and all required cart accessories. Where franchise owners can earn Monthly 1lakh Rs. Net Profit.
- FOCO : Franchise owned Company operated model is the most exciting model till date. Where any person can invest in this model by just paying 2lakh Rs. where cart owner will get return of 8000Rs/ Month for next 3 years. Company will return his cart after end of 3 years.
- COCO: Company-owned Company Operated model is another exciting model for start new city. Where making heavy assets and running the business.
- Talk about your clients and how many clients do you have in total.
Across Delhi NCR currently we are having 25000 regular customer.
- What is the USP/value proposition?
Because we promise:
- Free Delivery.
- No minimum order.
- Delivery within 1 hour.
- Instant picks and choices.
- Hassle-Free Payment. (UPI, Card, Cash, Net banking)
- Lowest price guarantee, with sealed freshness.
- Subscribe to everyday food.
- What are your revenues like today and how much do you expect to make by the end of this year.
Currently, Company is generating 90 Lakh GMV per Month, Company is targeting 160 Cr. GMV by end Of this year by launching 300 Carts across Delhi NCR, Lucknow & Bangalore.
get more information about our online delivery business, do get in touch with us.
Media Contact
Crozeal Agritech Private Limited kumaresh@veglly.com 9831350363 250B, 4th floor, Nelson Mandela Marg, New Delhi, Delhi 110067 http://veglly.com
