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The Idea

Mr. Anuj Bishnoi and Mr. Satish
Shetty, the founders of morningcart saw a pain point in the ecommerce market.
They were well aware of the players in the market, but hardly any one cared
about the pain point these two budding entrepreneurs identified. Let us see
where is the pain point from a ecommerce company side till the last mile
delivery. Here are the steps for any ecommerce order cycle in brief:

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Ø  Customer goes to the site and looks
for the product he/she wants.

o  
He/she
has to fulfill the minimum order amount for free delivery by adding product
forcefully. OR

o  
Pay
a delivery charge for a single product.

Ø  He/she finalizes a product and
proceeds to checkout.

Ø  He/she pays for it and the delivery
process is initiated.

Ø  Here on either of the things happen :

o  
Delivery
boy comes at a particular time and you are not there.

o  
Delivery
boy skips your delivery, just because there are more deliveries to come
tomorrow.

The pain points are depicted by “o”
sign in the above process of ordering a product online. These pain points were
identified by the founders and decided to act upon it.

Despite of the inconvenience caused
due to the points identified above, ecommerce companies also had to bear the
cost because of such problems.

Ø  If the delivery was not successful,
the operational cost would increase. That means the product comes back and goes
again for the delivery, which incurred costs.

Ø  If the delivery boy postpones the
delivery, the customer perception goes down effecting the chances of future
business.

 

 

 

 

 

Ø  Even if the customer is charged a fee
for delivery if minimum order is not met, that fee is not enough for the
delivery of the product. Which in turn the company has to bear half of the
cost.

These pain points can be solved
easily with 2 questions:

1.     
At
what time of the day is the customer available to take the delivery?

2.     
Who
are the people who visit your home or society every day?

The solution was in the answer of
these questions. The idea was very simple. Customers need whatever they want at
fast speed and with no extra costs involved.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The Execution

 

The answer to the two questions were simple:

1.     
At
the morning 5 A.M. to 8 A.M.

2.     
Milkman
and newspaper boys.

The operational requirements for delivery between 5 A.M to 8
A.M are different from the traditional time. You have to make the order ready
in the previous day till night time to be ready for delivery. There should be
proper stocks of high selling products to avoid the “Out of Stock” label.

Now, they had tie ups with milkmen and newspaper boys for
their business to start. This ensured some extra income to their pocket. The
challenge was that these people were not digitally literate. To manage the day
to day deliveries of products, they had to learn how to use the app which had
the information about the products. They also had to learn complaints handling
skills which came handy while interacting with customers.

The listing in the MIS is done society wise i.e. the
management of the societies had to agree for the service to run smoothly. The
permission was required because of high volume of products coming inside the
society at the doorstep of the consumers, which raised security concerns.

The milkmen and newspaper boys were also trained on the right
product identification i.e. they had some difficult times to identify products
like broccolis, different types of yoghurts etc.

As the milkmen and newspaper boys visit your house or society
every day, the concept of minimum order value is not there. You can order even
a Rs. 10 product without giving any delivery charge.

There are many products listed across all categories like
fruits, vegetables, organic fruits and veggies, groceries like atta, pulses,
honey etc. which are everyday use. Personal care products, baby products etc.
are also listed.

 

 

Customer has to follow only one rule to get the delivery the
very next morning i.e. you have to finalize your order till 10 P.M. everyday.
After that the next cycle starts.

Customers can also take the advantage of cashless payment, as
they have digital wallets integrated with the application.

The milkmen and newspaper boys have to list their business in
the platform. This allows the customers to customize the services, for example,
if you are going for an outing for 3 days, you can pause the supply of any/all
products for 3 days and go hassle-free just with a click of a button.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The Team

 

 

(L-R) Satish Shetty & Anuj Bishnoi

 

Satish Shetty

Co-founder of morningcart

Alma matter:

Ø  University of Strathclyde, MBA (2002
– 2003)

Ø  Marine Engineering And Research
Institute, Post Graduate Marine Engineering Training Course (1996 – 1997)

Ø  M.S. Ramaiah Institute Of Technology,
BE – Mechanical (1990 – 1994)

 

 

 

 

Experience:

Ø  Head 4G & Broadband Acquisition,Bharti
Airtel Limited

Mar 2010 – Mar 2016 Employment (6 yrs
1 m)

Bengaluru Area, India.

Ø  Head Business Solutions, Future Group
India

Sep 2006 – Mar 2010 (3 yrs 7 m)

Bengaluru Area, India

Ø  Director Operations, Guiding
Solutions Ltd

Oct 2003 – Sep 2006 (3 yrs)

UK & India

Ø  Marine engineer, Anglo Eastern Ship
Management Ltd

Apr 1997 – Nov 2001 (4 yrs 8 m)

 

Anuj Bishnoi

Co-founder of morningcart

Alma Matter:

Ø  Ramaiah Institute of Management
Studies/Sciences, MBA- HR (2003-2005)

Ø  B.E Mechanical – Bangalore University.

Experience:

Ø  Associate Vice President, Anakin
Management Consultants Pvt Ltd

Dec 2009 – Nov 2011 (2 yrs)

Ø  Unit Head, Planman Consulting India
pvt Ltd

Feb 2006 – Oct 2009 (3 yrs 9 m)

Bengaluru Area, India

Ø  Human Resource Specialist, Infosys

Apr 2005 – Feb 2006 (11 m)

 

 

 

 

The Funding

Morningcart.in started its operations
in early 2017.

Bootstrapping: They both had some
savings and didn’t seek for funding initially.

It got a funding from Axilor Venture:
A startup accelerator and seed fund of around 10 Cr.

They have applied for “Summer ’18
accelerator program” for further round of funding for this year.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Success or Failure?

IIIT Bangalore has incubated
morningcart.in and given them an office space inside their campus. They believe
in this startup and encourage their student to do projects with them. They
started with electronic city Phase 1 as their pilot. Now they serve the
following areas in such short duration:

Ø  Electronic City phase 2

Ø  Kormangala

Ø  Whitefield

Ø  HSR layout

Ø  BTM layout

They are planning to expand more in
Bangalore by end of this year and set foot in Chennai in the coming years. They
have a customer base of 25,000. Their average order size is Rs. 400 as compared
to Rs. 200 in last year. During my internship, I have attended calls from
customers who want their building/societies listed in our platform so as to
take advantage of such service.

The startup is definitely growing and
moving towards success. They are giving tough competition to Grofers,
Bigbasket, Zopnow etc.

There are articles posted in Times of
India and YourStory about their unique concept of ecommerce platform and this
is raising the visibly to the investors.

 

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