Morgan Stanley said “We have been defending DMart’s business model for a while. However, we now believe the company’s slow response to steadfast market changes toward convenience is starting to hurt the business" It added, “We note DMart management didn’t view this (growth of quick commerce) as much of an issue a couple of months ago. We believe aggressive scaling strategies from quick commerce players are hurting brick and mortar businesses, implying further deterioration in operational metrics could be coming up."
Its a short term blip. Dmart's main USP is pricing and quality. Its business focuses on low margin but high volume products . This makes Dmart more affordable and its customer base is lower middle class and Middle class. E commerce sells convenience. But it comes at a high cost. Mostly upper middle class and higher class will continue with eCommerce.
ig dmart would eventually have to pull out of the metros cause folks in metros simply aren't going to go back
Now that is interesting af. Wonder if it is a short term blip or a fundamental shift
DMart doesn't have any stores in South Bombay.
Why the hell do people think Quick Commerce has an impact on DMart?
They have been ahead of their time and always focused on the Location of every particular store. 🫡
Insane Execution ♥️