Amazon is preparing to compete with Swiggy and Blinkit, may launch ‘Tez’
Amazon, one of the largest e-commerce companies, has been facing tough competition from companies in the quick commerce segment for the past few years. To deal with this, Amazon can enter this segment. For this, the company plans to launch a new service ‘Tez’. This can help Amazon to expand its business.
According to a media report, the new service is set to be launched next year. Amazon is preparing stores for this. Companies like Blinkit, Swiggy Instamart and Zepto have a large stake in the quick commerce segment. This service of Amazon may initially include grocery and daily necessities. This report quoted a person aware of the company’s plans as saying, “Amazon can launch it in the first quarter of next year. The quick commerce segment is growing rapidly.”
It has been reported that Amazon is looking for workers for the new service. Apart from this, the company is also working on tie-ups with logistics providers for quick delivery. However, this report states that the title for the new service has not been decided. Recently, Blinkit, Swiggy and Zomato were accused of increasing business by allegedly reducing prices. Companies associated with quick commerce promise to deliver everything from grocery to electronics in as little as 10 minutes.
The All India Consumer Products Distributors Federation (AICPDF) had said in a letter to the Competition Commission of India (CCI) that companies associated with quick commerce are trying to attract customers by giving low pricing or heavy discounts. In this, CCI was requested to implement measures to protect the interests of general distributors and retailers. AICPDF, representing about four lakh retail distributors of big companies, had said in this letter that it is very difficult for general distributors and retailers to compete with such methods. This year, annual sales of companies related to quick commerce are expected to exceed six billion dollars. According to market research firm Datum Intelligence, Zomato-controlled Blinkit has a share of about 40 percent in this market.
