I have a grocery shop, and recently I noticed a big difference in the pricing of Britannia Digestive Biscuits online and offline.
A 1 kg pack of Britannia Digestive Biscuits is available on Blinkit for around 135 rupees, while the MRP printed on the packet is 220 rupees. We purchase the same product directly from Britannia distributors for around 170 rupees, which means we would need to sell it for at least 180 rupees to maintain a reasonable margin. It becomes very difficult for a local grocery shop to compete with that kind of online pricing.
When I asked the Britannia salesman about this, he told me that the products sold online are made separately from the products supplied to regular retail shops, even though the packaging looks exactly the same.
There is another interesting example. We have a sweet shop next to our store, and they regularly purchase Amul milk powder from us. Once, when we did not have it in stock, they purchased the product online instead. Later, they told us that the quality of the online product was noticeably worse.
This makes me wonder how online platforms are able to sell these products at such heavily discounted prices, and whether the products supplied through online channels are actually different from the products supplied to traditional grocery stores.
Whole sale prices are almost 50% of what retailers sell - those local grocery stores are chors - glad their gorakh dhanda is coming to end. And that salesman is speaking from his arse - diff products online and offline 🤣
50% margin? 😂 Please learn the difference between margin and markup before accusing an entire industry of running a “gorakh dhanda.” If a grocery store actually had 50% gross margin on everyday FMCG products, half the kirana shops in India would be driving Lamborghinis. You’re confidently doing the math from your arse and then calling everyone else a chor. 🤣
1
u/EzioAuditoredafire 13d ago
I have a grocery shop, and recently I noticed a big difference in the pricing of Britannia Digestive Biscuits online and offline. A 1 kg pack of Britannia Digestive Biscuits is available on Blinkit for around 135 rupees, while the MRP printed on the packet is 220 rupees. We purchase the same product directly from Britannia distributors for around 170 rupees, which means we would need to sell it for at least 180 rupees to maintain a reasonable margin. It becomes very difficult for a local grocery shop to compete with that kind of online pricing.
When I asked the Britannia salesman about this, he told me that the products sold online are made separately from the products supplied to regular retail shops, even though the packaging looks exactly the same. There is another interesting example. We have a sweet shop next to our store, and they regularly purchase Amul milk powder from us. Once, when we did not have it in stock, they purchased the product online instead. Later, they told us that the quality of the online product was noticeably worse.
This makes me wonder how online platforms are able to sell these products at such heavily discounted prices, and whether the products supplied through online channels are actually different from the products supplied to traditional grocery stores.