BigBasket Business Model – Explained!

BigBasket is one of the most popular brands that has established a place for itself in the list of top companies in India. In this article, we study BigBasket's Business Model

Let’s start this article with an absolutely easy question- ‘Have you ever heard the name ‘BigBasket”?


To all those who haven’t heard it, are you guys for real?

If you don’t know this, then your mother definitely will realize it.

BigBasket is such a big household now that almost everyone knows it.

Just like Groffers, BigBasket is also an online platform from where you can order your grocery.

But do you know how BigBasket earns its revenue/make money?

If not, then don’t worry. We have got it all covered for you guys int this article. You will get a simple answer to this when we discuss BigBasket Business Model.

This article is all about how BigBasket makes money. 

Why waste any more time, let us get started!


BigBasket Overview

  • Trade name/Company Name: BigBasket
  • Type of Company: Private
  • Industry Type: Retail
  • Founded (in which year): 2011
  • Founders: Hari Menon, V.S. Sudhakar, Vipul Parekh, Abhinay Choudhari, and V.S. Ramesh
  • Headquarters (location): Bangalore
  • Area served: India(PAN India)
  • Services they provide: Grocery Delivery
  • Parent: Supermarket Grocery Supplies Pvt Ltd
  • Official Website: -> Visit here.


BigBasket Introduction

BigBasket is an extremely popular Indian online grocery shopping app or delivery service. 

This colossal company essentially delivers grocery goods available in shopping/grocery stores, household essentials, and food supplies to its customers. 

BigBasket was founded back in December 2011.

This top-rated company had its headquarters in Bangalore, India.


#How do people use BigBasket?

Shoppers use a mobile application/ BigBasket mobile app to order online groceries.

After you place the order on BigBasket, the BigBasket employees acquire the items from their warehouse/storehouse and send it out for delivery.

BigBasket has joined hands with the Bayer CropScience project.

This project has more than 8k local farmers all across our country.

Thus, if you ever feel lazy enough to go out for grocery shopping, then BigBasket is the perfect place to go.

Especially during this COVID-19 pandemic, grocery shopping is one of the hardest tasks to complete. Because going out is such a big struggle

Thus, simply open up the BigBasket app on your phone and select the items you want to shop.

Please put them in your cart and place the order.

BigBasket is so popular that it ranks on the 6,679 positions in the list of popular websites.


#How did BigBasket become so popular?

All the credit for BigBasket’s success goes to BigBasket Business Model.

In last few years, BigBasket has made significant changes in its system that has strengthened the BigBasket Business Model.

BigBasket is changing the way people shop for groceries these days.


#How did they do so?

Tell me one thing, why do your moms prefer to shop with your daily grocery seller?

The main reason is that buyer & seller bond.

Once you develop a bond with your seller, you get to trust for the material they are providing and even get a chance to do some bargaining (get the items at desired prices).

If you have ever shopped/ purchased anything online, then you must have noticed the reason why some people do not trust online items-because they doubt the quality.

Thus, this is the area where BigBasket stepped in and made changes in the BigBasket Business Model.

They have standardized the prices of all the items on their site so that customers can get fair deals and offers.


#Understanding the BigBasket Business Model 

BigBasket was a normal startup in the starting, but it paved its way to the list of top companies in India.

Despite the fierce competition from several successful brands like Amazon, Grofers, Flipkart, the BigBasket managed to establish a position for itself in the list of Top-rated companies in India.

And guess what made helped it to become this famous?

The BigBasket Business Model!

This famous Bengaluru-based startup company recently sealed a $150 Million Series F funding round from the Chinese E-Commerce dominant Alibaba, South Korea’s Mirae Asset Global Investments, and the UK govt-backed CDC Group.


Basic BigBasket Business Model!

The basic Bigbasket Business Model includes the following things!


# Primary Activities of BigBasket Business Model

Some of the primary activities that are included in its business model are as follows:

  1. AWS Subscription
  2. Data Analytics
  3. Product Development (Both web and app)
  4. Warehouse Maintenance
  5. Timely Deliveries


#Customer Relationships in BigBasket Business Model

BigBasket provides the following options to its customers to eep int touch with the company officials:

  1. Customer cares Support
  2. Blogs
  3. Discount and Offers
  4. Newsletters


# BigBasket Revenue Sources

The popular brand earns revenues from the following sources:

  1. Merchandise Sales
  2. Store Sales
  3. Delivery Charges
  4. Sales Commissions from retailers
  5. Sponsors/sponsored content
  6. Feature Listings


#BigBasket Value Propositions

Some of the most valuable Value propositions of Bigbasket are as follows:

  1. Constreductions
  2. Easy Management
  3. Easy Scalability
  4. Improvement in Speed and Performance
  5. Negligible Downtime
  6. Fast Customer Service
  7. On-demand supplies


#BigBasket Business Model Customer Segments

The exceptionally designed and beautifully implemented business model of this famous company has several customer segments to provide the best possible services to their customers/buyers.

Below is a complete/entire list of all the customer segments of the company:

  1. The mass market
  2. The local vendors of the country
  3. Tech-savvy people
  4. Students 
  5. Diversified individuals
  6. Young professionals/workers


#BigBasket Business Model-Cost Structure

Here is a complete/entire breakdown of the cost structure of one of the most popular startups of India- BigBasket. 

1) Salaries of the following employees

  • AWS Developers
  • Mobile app developers
  • UX Developers
  • Hardware and Software expenses
  • Storage cost
  • Cost of Logistics
  • The cost of Product procurement


#Significant Resources of the BigBasket Business Model

Here is a complete/entire list of all the primary essential resources that help BigBasket satisfy their customers’ needs and demands in the best possible way:

  1. Employees of the company
  2. The AWS Developers
  3. A reliable source of network
  4. the brand of the company
  5. The working culture of the company
  6. The outstanding office space


#The conflicts of BigBasket Business Model

Here is a complete breakdown of the conflicts of Business Model of the famous brand BigBasket.

  1. Social media platforms
  2. Their official website
  3. Other mobile apps
  4. Words of mouth
  5. Multiple product sales


The Final Word

BigBasket is one of the most popular brands that has established a place for itself in the list of top companies in India.

If you are planning or thinking of starting a startup company related to online deliveries and grocery stuff, then you can, without a doubt, take the notes from this exceptionally designed Business Model of BigBasket.

BigBasket is a perfect example of how proper planning, fantastic business plans, determination, patience, and willingness to work can take you from bottom to top.

BigBasket tried its best, did all the right things in the right place, and established itself as a household name.

From a vast customer base to on-time deliveries and fulfilling all the demands of its customers, this Bengaluru-based startup has come a long way to the top.

If you want to take inspiration from the existing successful startups, the BigBasket is the perfect example to look upon.

Ensure that you take notes of all the vital pointer from this list and prepare the best possible business model for your own business startup.

All the best!

+ posts

Alongside her graduation, she is pursuing her passion for content writing. She is young, raw, and continuously thriving for the best. Her hobbies include debates and travelling. Despite these nerdy things, she also likes to netflix and chill.

Disclaimer: The views, thoughts, and opinions expressed in the article have been curated for our audience and does not warrant a 100% accuracy. All the information mentioned in the article is subject to change according to the changing viewpoints. Feel free to reach us at [email protected] for any change or copyright issues.

Note: If you buy something via a link on this page, we might earn a small commission on it.

Devanshi Singh
Devanshi Singh
Alongside her graduation, she is pursuing her passion for content writing. She is young, raw, and continuously thriving for the best. Her hobbies include debates and travelling. Despite these nerdy things, she also likes to netflix and chill.

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