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How is Delhivery able to sustain competitive advantage

Ans:

In the initial stages Delhivery used to be as logistic partner for Delhi – NCR based
restaurants. When Flipkart introduced cash on delivery (COD) the demand for
e-commerce has increased in India. The e-commerce companies then gave priority to
delivery time to gain the competitive advantage. Delhivery then decided to shift
e-commerce logistics to sustain the competition in logistics industry. It first started with
Gurgoan based Urbantouch and Healthkart and expanded its services

To understand the skills and infrastructure needed for the ecommerce logistics, the
founders themselves worked on ground with delivery partners. The delivery boys’
number has been increased to meet the demand.

To increase the end – to – end visibility and tracking consignments Delhivery founders
felt the need of a website. They gave up working on Microsoft excel and moved on to
in-house software. After launching the software the founders expanded Delhivery to
tier1 cities. Their strategy of stabilising at each stage before moving on the next stage is a
key point in their growth and expansion. This helped them to maintain quality instead of
expanding at a rapid pace.

To aid E-commerce firms Delhivery launched many e-commerce technologies like Vendor
panel5, GODAM6 and FALCON7 . These technologies helped its clients in building new
channels for sales, management of sales orders, effective engagement of customers and
data analytics that facilitated designing marketing campaigns and deciding product
listing on various portals.

Delhivery worked backward too by taking the responsibility of packaging and


warehousing, which are usually done by E-commerce. This acted as a differentiating
factor for the company and gained competitive advantage.

Its growth strategies attracted more investors into the firm increasing the firm valuation.
It expanded its services internationally and attracted foreign investors into the firm with
its growth and service offerings in India. Delhivery started investing in different firms to
its business line.

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