Last Updated on 22/11/2021 by Sanskriti
According to sources familiar with the situation, online pharmacy 1mg, which is now majority controlled by Tata Group, is intending to provide clients rapid delivery of medicines—typically within an hour.
It has already begun delivering medications in areas of New Delhi and Gurugram within 4-5 hours of making an order and will expand the service into a rapid delivery vertical around the country, according to the individuals.
Due to higher operating costs and generally smaller ticket amounts of orders, on-demand delivery of medications within an hour or two has been a difficult area to operate in. This would be one of the first major product launches from 1mg following the Tata acquisition.
e-pharmacy provides Rs 1,200-1,500 on average order size whereas for the exact same would cost Rs 600 for rapid delivery. If the firm does not have a minimum purchase size filter, it may be much lower.
“They (1mg) are keen to bring the one-hour delivery to consumers. There is a lot of demand for it, which has only increased after the pandemic as people need various medicines and healthcare-related products in a quick time. They are working on expediting the launch,” a person aware of the matter said.
1mg cofounder and CEO Prashant Tandon declined to make any comment.
An entrepreneur who ran a firm in space said. “Express delivery can bring volumes over a period of time but its biggest challenge is lower average selling price. Delivery costs are roughly around the same for an order but while factoring in returns or exchanges, the smaller order value hits your margins.” It’s difficult to manage in the quick delivery sector, yet there are benefits and drawbacks.
Based on local lockdown laws, this may take up to 72 hours on various platforms. Some intend to provide delivery within 24-48 hours of order placed.