Bengaluru: E-commerce unicorn Meesho on Wednesday unveiled details about its logistics platform- Valmo - which has onboarded over 3,000 micro-entrepreneurs since 2022 to trim delivery costs.
Given their local knowledge, these micro-entrepreneurs can make more efficient deliveries and account for fewer failed deliveries, Sourabh Pandey, Chief Experience Officer (CXO) at Meesho, explained.
Valmo, which currently services 6,000 pin codes across 20-plus states, has helped the online shopping player bring down its logistics costs by 5-7%. The platform manages 9 lakh-plus deliveries per day, which account for nearly 18% of third party e-commerce shipments in India, the company said.
Pandey said that the company is passing on this benefit to Meesho’s sellers, with expectations to see an increase in business volume over time. He also sees the platform’s partnership expanding to include 1 lakh micro-entrepreneurs in the next 3 years. Pandey anticipates a further 5-7% fall in logistics costs in the medium-to-long term.
The SoftBank-backed online shopping player has collaborated with four logistics firms - ElasticRun, FarEye, LoadShare and Shipsy - to build the technology stack behind Valmo.
According to the India Brand Equity Foundation, the logistics sector in India, which was valued at $250 billion in 2021, is expected to grow 10-12% year-on-year to reach $380 billion by 2025.
Meesho is touted to be the fastest growing e-commerce platform in India in terms of user base, and ranks amongst the top-10 players overall.
Published 08 February 2024, 00:46 IST