Business

Reliance Retail's success in JioMart could change industry dynamics: Jefferies

Reliance Retail’s success in new commerce platform, JioMart could alter the industry dynamics,

Sentinel Digital Desk

NEW DELHI: Reliance Retail's success in new commerce platform, JioMart could alter the industry dynamics, but execution holds the key and there are challenges, according to brokerage firm, Jefferies.

"We see the grocery opportunity as huge and own-label introduction as the next logical step. RRL's success could alter the industry dynamics structurally, but execution holds the key and there are challenges", it said in a research.

Reliance Retail's partnership with Whatsapp holds promise for RRL's new commerce platform, JioMart. The pilot, launched in some geographies last year, now extends to Mumbai. "Our interactions with retailers suggest the model is still evolving", the research said.

"Execution holds the key and RRL would require significant efforts like micromarket strategy, feet on ground, customer & consumer-centric approach", the research said. "While we view the opportunity as immense, we believe RRL will take considerable time to gain scale", it said.

There is no JioMart app as of now and there is no link to JioMart on Whatsapp — these should be available in the coming months, it added. (IANS)