The strategic tie-up will empower small merchants with an e-shopping product offering. It will also build a nationwide footprint, marrying retail to online
BestMediaInfo Bureau | Mumbai |Â February 17, 2016
Big Bazaar Direct, the assisted ecommerce arm of Future Group, announced a tie-up with Oxigen Services, Indiaâs largest payment service provider, on Wednesday. The association will empower Oxigenâs retailers to sell a wide assortment of Big Bazaar Direct products through its network to consumers. The partnership aims to bring convenience to end consumers by offering a large variety of products and services at their neighbourhood store.
Oxigen Services has an existing network of two lakh retailers with a continuous flow of 150 million customers transacting for mobile and DTH recharges, money transfers through banks and Oxigen Wallet app, etc. These retailers can now leverage on the association with Big Bazaar Direct to offer customers an extensive range of electronics, general merchandise, fashion and home fashion products.
Oxigen Services are currently present in most states. The association intends to reach a million retailers in the next five to ten years.
Kishore Biyani, Group CEO, Future Group, said, âOur partnership with Oxigen helps us to further penetrate deeper in the market by expanding our reach and network through Oxigen retailers. These retailers will now have a dual advantage to not only sell the payment related various products and services but also sell the wide range of Big Bazaar products.â
Biyani further said, âWe are very excited to work with Oxigen Wallet. We met about six to eight months back and we had a lot of common goals. We wanted to do a business where the customer wins, the retailer wins and the supplier wins. Weâve worked for the last six months building on technology and building the franchisee model. We want to build a whole new ecosystem in the country. We currently have 1,000 franchises and with this association we intend to have 10,000 franchises across the country.â
Elaborating on the partnership, Pramod Saxena, Chairman and Managing Director, Oxigen Services, said, âThis partnership is one of its kind and is aimed to disrupt the assisted ecommerce segment in retailing. We believe Big Bazaar Direct and Oxigen together will add a whole new dimension to the entire retail ecosystem and increase the existing portfolio of services our retailers offer.â
Saxena further said, âOur retailers donât need to invest in stock nor do they need to have shelf space as products will be delivered by BBD to customersâ homes or at retail points. Oxigen customers will now be able to shop online and yet pay cash over the counter for booking orders and get the delivery as per their convenience.â
âWe have tied up with a lot of retailers,â Saxena went on to say. âSome of them are earning as much as Rs 1 lakh with our association. Hence, with this medium we want to help the retailer make maximum profit and have a long term association with them. Our objective is called triple bottom line. This is a new concept in India. It not only benefits the shareholders, but all stakeholders including shareholders, customers and retailers.â
Retailers can use the service by following three easy steps - selecting the product, making payment and delivering. The process asks retailers for one-time login details, for which retailers have to enter their retail Id and password. Consumers can pay through three methods, the Big Bazaar wallet, Oxigen wallet or cash to the retailer, enabling the small retailer to use ecommerce.
The Oxigen Services retailers are provided with a co-branded website login and a range of listed products. Customers can select the products from the Website, place the order and Oxigen Services retailers can receive the payment in cash or Oxigen Wallet and their work is done.
The goods will be delivered to the customersâ doorstep by Big Bazaar Direct, the distribution network of which reaches the remotest parts of India. While ecommerce has a reach of about 6,500 PIN codes, Big Bazaar Direct has tapped more than 20,000 PIN code zones, where they deliver their products. The number is expected to grow with time.
Retailers will earn commission on every product they sell through this association, along with additional rewards and a recognition programme. Customers will also receive rewards programmes in the form of Big Bazaar Direct Wallet for promotions.
âSmall retailers today form a major part of our retail business. Retail contributes almost 75 per cent of business,â said Saxena to emphasize the boost the model will give small retailers.
Biyani threw light on the promotions planned for the venture. He said, âWe are doing a lot of activities and will be doing ad retail to make the retailers and customers aware of the benefits of Big Bazaar products and facilitate them to make payments in cash or through Oxigenâs wallet or Big Bazaar wallet.â