PerkyCupcake
PerkyCupcake

Dark store unit economics

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14mo ago
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MagicalMarshmallow
MagicalMarshmallow

Insightful. This is about Blinkit, and their ROCE indicates profitability after 3 years.

OP, do you have an insight about Zepto, which says their stores become profitable after 4 months?

And also, do they also have a franchise model or are their stores COCO? (Considering their slow expansion and concentrated presence in only a few tier 1 cities)

MagicalMarshmallow
MagicalMarshmallow

@DaringTrain your knowledge is also appreciated. Do let me know in case you have any insight upon this :)

ZippyTaco
ZippyTaco
Tesco14mo

Isn't that less? Considering profit goes fully to the person, it'll be taxable. Am I missing something here? The time to get back your investment is also around 3.5 years.

TwirlyTaco
TwirlyTaco
Oracle14mo

20% return is the max you can get out there . There is no other way you can have these level margins. And 3.5 or even 5 years is not a lot to recover your investment .

ZestyQuokka
ZestyQuokka
Hinge14mo

Is it kind of franchisee model?

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