Reliance trials its WhatsApp-based online platform in India following Facebook deal

JioMart, an e-commerce venture of Reliance Retail, went live in three neighbourhoods near Mumbai days after Facebook rolled out an investment in the company

Reliance started testing its e-commerce portal on WhatsApp just days after Facebook announced a $5.7 billion investment in the company. Bloomberg
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Reliance Industries started testing its online shopping portal three days after Facebook said it will invest $5.7 billion (Dh20.92bn) in digital assets controlled by billionaire Mukesh Ambani.

JioMart, an e-commerce venture of Reliance Retail, went live in three neighbourhoods surrounding Mumbai, leveraging a deal that gives it access to WhatsApp’s 400 million users in India which is currently under the world’s most expansive lockdown.

The portal takes Asia’s richest man a step closer to his goal of setting up a digital platform to take on Amazon.com and Walmart’s Flipkart Online Services for a slice of India’s e-commerce market that KPMG says is set to grow to $200bn by 2027. Facebook hopes a partnership with JioMart will help make WhatsApp the primary way small businesses connect with customers.

“The roll out is happening during the toughest of times considering the supply chain constraints,” said Vikraman PN, founder of Finnoviti Consulting. “But Reliance will spread the pilot run in various states following its deal with Facebook. And WhatsApp will play a critical role in JioMart’s expansion.”

Customers need to add JioMart’s WhatsApp number 8850008000 on their phones. JioMart provides a link to place the order. Once the order is placed, it is shared with a grocery store on WhatsApp. The customer is notified with the order and the store details on his number, according to JioMartLite’s website.

A Reliance spokesperson declined to comment.

In a statement delivered by video on April 22, Mr Ambani said the tie-up with WhatsApp will help almost 30 million Indian small store owners to take digital payments from customers in their neighbourhoods.

“This means all of you can order and get faster delivery of day-to-day items from nearby local shops,” he said.