Flipkart preparing to start hyperlocal delivery services: Sources

Walmart-owned Flipkart will soon launch a new hyperlocal delivery service that will enable customers to receive items from nearby stores, according to sources.

Flipkart is looking to start testing the service in Bengaluru in the next few weeks, beginning with grocery deliveries, the sources close to the development said.

One of the sources said Flipkart will utilise the last-mile capabilities of logistics firm Shadowfax to facilitate the deliveries. Last year, Flipkart had led a USD 60-million funding round in Shadowfax, which offers an on-demand, last-mile logistics network.

Flipkart did not respond to e-mailed queries.

The service will be available via the Flipkart app, and initially, deliveries will be done from local warehouses and select shops.

Online grocery delivery has gained significant traction amid the COVID-19 pandemic. With the entry of Reliance-owned JioMart in the segment, the competition is set to intensify further. Offline retailers, who have taken a major hit on account of the lockdown, are also keen on partnering digital platforms to facilitate delivery of goods.

In the past few months, Flipkart has partnered with retail chains like Spencers and Vishal Mega Mart to enable hyperlocal deliveries of groceries and essentials in various cities.