{"id":6812,"date":"2025-11-18T17:34:00","date_gmt":"2025-11-18T12:04:00","guid":{"rendered":"https:\/\/www.thirdeyesight.in\/?p=6812"},"modified":"2025-11-26T17:44:39","modified_gmt":"2025-11-26T12:14:39","slug":"ft-article-mukesh-ambanis-reliance-battles-mom-and-pop-stores-for-indias-shoppers","status":"publish","type":"post","link":"https:\/\/myechoproject.com\/TES\/ft-article-mukesh-ambanis-reliance-battles-mom-and-pop-stores-for-indias-shoppers\/","title":{"rendered":"Mukesh Ambani\u2019s Reliance battles mom-and-pop stores for India\u2019s shoppers"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><em>Chris Kay, Krishn Kaushik and Andrea Rodrigues in Mumbai<\/em> <\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>Nov 18 2025<\/em> <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Just before dawn, Kashif Sameer joins dozens of couriers zipping across Mumbai to deliver items stocked in a basement of a shopping mall run by Reliance Industries.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cI make between 20 and 30 deliveries in a day,\u201d said the 25-year-old, who had just driven a mile across the chaotic roads of the Indian megacity to drop off groceries ordered 15 minutes earlier. \u201cIt is very popular with customers.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The buzzing activity at the so-called dark store, a mini-warehouse operated by Reliance\u2019s ecommerce platform JioMart, is part of a renewed push by the conglomerate\u2019s chair and Asia\u2019s richest man, Mukesh Ambani, to reassert his company\u2019s position in India\u2019s retail market.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">It has added hundreds of dark stores to operate a total of nearly 20,000 physical outlets this year \u2014 almost double its pre-pandemic size \u2014 as it battles for dominance against Blinkit, Swiggy and Zepto in the country\u2019s ballooning quick-commerce market.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cIt\u2019s a question of who runs out of money first,\u201d said Arvind Singhal, chair of retail consultancy The Knowledge Company. \u201cWe will see some kind of a shakeout.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Despite its large network of physical stores, Reliance has yet to corner the domestic consumer market like it did with telecoms a decade ago. It faces entrenched competition from established domestic and international rivals, as well as millions of kiranas, family-run convenience stores.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The sprawling Tata Group operates a wide range of consumer businesses, while global multinationals such as Unilever and Nestl\u00e9 are important players in India\u2019s household goods market.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Reliance Retail, the division that contains all of the conglomerate\u2019s consumer-facing units, had shed tens of thousands of employees and closed underperforming stores following a bloated build-out during the Covid-19 pandemic and slowing middle-class spending.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But India\u2019s most valuable company, which has a market value of more than $225bn and operates across oil refining, telecoms and entertainment, is expanding its retail reach again.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Reliance Retail\u2019s latest results point to a rebound. In the quarter ending September, the unit reported revenue of about $10bn and profit of $390mn, up 18 and 22 per cent respectively from the previous year.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>\u201cReliance\u2019s scale in retail now is unmatched in India,\u201d said Devangshu Dutta, chief executive of consumer advisory company Third Eyesight, in reference to the breadth of the conglomerate\u2019s business. \u201cThis scale is unique in India and rare in global retail.\u201d<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Ambani\u2019s retail ambitions are being led by his 34-year-old daughter, Isha. In August, she detailed plans for Reliance\u2019s consumer brands subsidiary, which has a portfolio including Lotus Chocolate and the recently revived nostalgic Indian soft drink Campa Cola, to reach $11.7bn in revenue within five years.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Ultimately, the goal was to \u201cbecome India\u2019s largest FMCG company with a global presence\u201d, said Isha Ambani during Reliance\u2019s annual meeting.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The company told the Financial Times that it continued to \u201creinforce its position as India\u2019s largest retailer, expanding its nationwide network\u201d.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" width=\"1024\" height=\"684\" data-src=\"https:\/\/www.thirdeyesight.in\/wp-content\/uploads\/2025\/11\/reliance-retail-steady-growth-1024x684.jpg\" alt=\"\" class=\"wp-image-6813 lazyload\" data-srcset=\"https:\/\/myechoproject.com\/TES\/wp-content\/uploads\/2025\/11\/reliance-retail-steady-growth-1024x684.jpg 1024w, https:\/\/myechoproject.com\/TES\/wp-content\/uploads\/2025\/11\/reliance-retail-steady-growth-300x200.jpg 300w, https:\/\/myechoproject.com\/TES\/wp-content\/uploads\/2025\/11\/reliance-retail-steady-growth-768x513.jpg 768w, https:\/\/myechoproject.com\/TES\/wp-content\/uploads\/2025\/11\/reliance-retail-steady-growth.jpg 1094w\" data-sizes=\"(max-width: 1024px) 100vw, 1024px\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 1024px; --smush-placeholder-aspect-ratio: 1024\/684;\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">While Ambani originally indicated that he wanted to list Reliance Jio Infocomm, the telecoms unit, and Reliance Retail by 2024, people familiar with the company said the retail unit was not ready to go public. The billionaire said the Jio listing could happen in the first half of next year.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cCompetitive intensity in every category in the discretionary retail side has picked up very sharply,\u201d said Karan Taurani, executive vice-president at Elara Capital, who does not expect Reliance Retail to float for at least two years. \u201cNew competitors, new brands have come in and they are challenging the larger incumbents.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The Ambanis, who operate as gatekeepers for foreign companies seeking access to India\u2019s massive but challenging business landscape, have sought to cement their position through a spate of partnerships with western retail brands.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Foreign brands including West Elm, Pottery Barn and Superdry have stores in Reliance\u2019s shopping malls in upmarket Mumbai. However, those joint ventures have largely struggled to gain traction with shoppers in India, where the per capita income remains less than $3,000.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The conglomerate\u2019s foreign brands business housing these joint ventures lost Rs2.7bn ($30mn) in the financial year through March 2025, according to the latest available accounts. The Knowledge Company\u2019s Singhal called Reliance\u2019s push to bring international names to India \u201ca vanity project\u201d.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Reliance\u2019s high-profile partnership with fast-fashion retailer Shein has also been underwhelming. The company returned to India this year under Reliance\u2019s wing after being booted out in 2020 when relations between New Delhi and Beijing soured following military clashes along their disputed border.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Shein\u2019s app has been downloaded just 11mn times, according to market intelligence firm Sensor Tower. Its discount prices are largely matched, if not undercut, by many Indian ecommerce and fashion retailers, say analysts.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Reliance is investing heavily in quick commerce, where deliveries are promised in 30 minutes or less. Bank of America estimates the market could reach $128bn by 2030.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The field is at present dominated by Blinkit, Swiggy and Zepto, which together control more than 90 per cent of the quick commerce delivery market and compete with Amazon and Walmart-owned Flipkart. None of the companies are profitable.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The Ambanis are eager to catch up. Over the past six months, Reliance has built about 600 dark stores across cities to plug gaps in its vast store network. By contrast, market leader Blinkit operates about 1,800 dark stores.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In quick commerce, \u201cwe have to be there because everybody is\u201d, said a person close to the conglomerate. \u201cIt is a long-term strategy.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">On a call with analysts last month, Reliance Retail\u2019s finance chief Dinesh Taluja admitted to delays in entering quick commerce. But he insisted that Reliance offered better prices, more variety and wider reach across smaller Indian cities where it is often the only formal retailer.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThe competition today is mainly in the top 10, 20 cities,\u201d Taluja said. \u201cWe are present in almost a thousand cities. Competition will take many years to reach where we already have a head start there.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Still, Reliance was facing an uphill battle, warned Elara\u2019s Taurani. \u201cJioMart is making a late entry,\u201d he said, \u201cit will be very tough to disrupt players here.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>(Published in <a href=\"https:\/\/www.ft.com\/content\/b3a87155-9a89-4490-b627-74e95cb143a0\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Financial Times<\/a>, all copyrights owned by FT)<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Chris Kay, Krishn Kaushik and Andrea Rodrigues in Mumbai Nov 18 2025 Just before dawn, Kashif Sameer joins dozens of couriers zipping across Mumbai to deliver items stocked in a basement of a shopping mall run by Reliance Industries. \u201cI make between 20 and 30 deliveries in a day,\u201d said the 25-year-old, who had just [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":6814,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[25,708,212,249,746,215,33,625,668,60,36,235,37,3,43,44,46,47],"tags":[761,174,177,102,103,815,600,32,239,145,214,291,216,292,59,190,191,69,192,689,82,243,117,166,808,937,632,718,471,660,659,65,203,852,777,488,66,762,820,569,662,936,760],"class_list":["post-6812","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-apparel","category-beauty-personal-care","category-consumer","category-e-commerce","category-fmcg","category-food-grocery","category-footwear","category-health-wellness","category-home-products","category-india","category-lifestyle-fashion","category-luxury","category-marketing","category-press-quotes","category-retail","category-soft-goods","category-strategy","category-supply-chain","tag-blinkit","tag-consumer","tag-consumer-behaviour","tag-consumer-markets","tag-consumer-products","tag-dark-stores","tag-ecommerce","tag-fashion","tag-fashion-lifestyle","tag-fashion-brands","tag-food","tag-food-beverage","tag-food-grocery","tag-food-and-grocery","tag-india","tag-india-entry-strategy","tag-indian-market","tag-indian-retail-sector","tag-international-fashion-brands","tag-jiomart","tag-lifestyle-fashion","tag-luxury","tag-luxury-goods","tag-modern-retail","tag-nestle","tag-pottery-barn","tag-premium-brands","tag-quick-commerce","tag-reliance","tag-reliance-industries","tag-reliance-retail","tag-retail","tag-retail-productivity","tag-shein","tag-superdry","tag-supermarkets","tag-supply-chain","tag-swiggy","tag-swiggy-instamart","tag-tata","tag-tata-group","tag-west-elm","tag-zepto"],"yoast_head":"<!-- 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