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Blinkit S Success Story Explained 1728374481

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122 views10 pages

Blinkit S Success Story Explained 1728374481

Uploaded by

nishantshekhar42
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Vikash Yadav

THE
SUCCESS
STORY
OF
Vikash Yadav
Blinkit: Bigger than
Zomato
Blinkit ahead of Zomato

Blinkit, more valuable than


Zomato, with a market share of
46%, has become a leader in the
quick commerce industry.

Its revenue jumped from ₹800


Crore to ₹2,300 Crore after
Zomato acquired it in 2022.
Vikash Yadav
Understanding Blinkit’s
Revenue Model
Where does Blinkit’s money
come from?
Blinkit’s revenue is split into three
main sources:
Warehousing & Marketplace
Commissions: 11-13% of each
order.

Advertising: Brands pay 2.3-3.5%


to promote their products.

Customer Fees: Delivery and


packaging fees contribute 3%.
Vikash Yadav
The Take Rate: Blinkit’s
Earnings per Order
How much does Blinkit earn on
a ₹600 order?

For an average order value of


₹600, Blinkit earns ₹110.

This ₹110 is called the Take Rate,


representing Blinkit’s share of
revenue from the order.
Vikash Yadav
Breaking Down Blinkit’s
Costs
Where does Blinkit spend
money?
There are four main cost components:
Last Mile Delivery: 7% (~₹42)

Dark Stores & Warehousing: 6.5%


(~₹39)

Variable Costs (packaging,


support): 2% (~₹12)

Customer Acquisition Costs: 0.2-


0.3% (~₹1.8)
Vikash Yadav
Contribution Margin:
Blinkit’s Profit
Is Blinkit making a profit?

Blinkit’s contribution margin is ₹15


per order after subtracting costs
from the ₹110 earned.

However, this is not net profit, as


fixed costs like salaries and rent
are excluded.
Vikash Yadav
The Power of Dark
Stores
How Blinkit delivers orders
within 15-20 minutes.

Blinkit operates dark stores within


1.5-3 km of customers. These
stores are huge, with 4x the
inventory of a typical shop,
enabling fast delivery.

They are strategically located


based on population density and
infrastructure.
Vikash Yadav
Scale and Efficiency:
Blinkit’s Advantage
Blinkit vs. competitors in dark
store operations.

With 451 dark stores across 27


cities, Blinkit leads the quick
commerce space.

Its dark stores can generate more


value per square foot than
organized supermarkets,
contributing to its rapid growth.
Vikash Yadav

The Future of Blinkit

Blinkit is set to break even


soon.
Blinkit is expected to break even
by FY 2025, thanks to its efficient
revenue model and strategic
scaling through dark stores.

It has disrupted the ₹23,000 Crore


quick commerce industry, setting
the stage for future growth.

2025
Vikash Yadav

Vikash Yadav
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