Key Metrics
- 129,000 MSMEs onboarded within 4 years
- 276+ brands are under our radar
- 28 hubs to cater to the nearest retailers
- 1176 area coverage
- 1-day delivery to the MSMEs
- 1 Million MSMEs are expected to onboard
About
In our early stage, we were not a B2B marketplace; rather, the company was once an emerging E-commerce platform serving the end consumers. With our B2C marketplace, we offered several products and handled thousands of transactions every single day. To make the B2C business more organized, we invested in a warehouse and logistics, which was ahead of its time. Because they were investing in in-house logistics, whereas the other B2C companies were relying on third-party delivery. Another strategy was that they aggressively expanded in the rural areas through various partnerships.
So, in 2021, when the Founder and Co-Founder wanted to shed the skin of the B2C marketplace to turn the business model to B2B, our hands-on experience regarding logistics, brand connectivity, and warehouse management came in handy during the metamorphosis period.
What Resonated with Us to Switch?
Although the B2C sector experienced massive growth, the founder identified a pain point for MSMEs, as they were also part of our network, aiming to enhance the consumer experience. The retailer was acting as an offline distribution channel for our online e-commerce platform to reach offline customers who are hard to reach online. So, when he thought about changing the business model, the prime objective was to allow the MSMEs to get everything from one platform, and also, the end consumers would not have to go further and easily get access to the mom-and-pop shops.
Right after COVID hit the people hard, a handful of retailers had to close shop because collecting supplies from different places was hard for them. Meanwhile, many of them were asking to supply the inventory for them. So that is when we started to take the initiative for them.
Managing the fulfillment of the MSMEs with the FMCG Brands
Since the company was working with B2C e-commerce, we had an extensive connection with the top FMCG brands, distributors, and suppliers. The start was small. Soon enough, we shifted our focus 100% to operating a B2B marketplace. As we have 5 million mom-and-pop shops, and every year, 70,000 retailers come to the retail marketplace. It is not likely that the retail system doesn’t have an inventory platform, but it was scattered. So when PriyoShop built a platform with high-performing technology, top brands, fair pricing, all product accessibility, 1-day delivery, and many more benefits. So it became the one-stop solution for the MSMEs.
This doorstep delivery helped the MSMEs not to run from one wholesale market to another, and with a few taps on the phone, the products are just arriving at their shop, minimizing the costs and amplifying the profit.
What were the opportunities for PriyoShop?
As Priyoshop was working with B2C, we were also working with the corner stores partially. And while working with them, we saw that e-commerce serves only 1% of the end consumers, and 2-5% of superstores serve the consumers. So 97% MSMEs caters to the vast end-to-end consumers. Now that is the big opportunity to leap! Because if these fragmented shops can be connected with the right suppliers, then something massive can happen. We had a calculation in our hands that this market is gigantic, with close to $191 billion. And the retailers are suffering from a lack of connectivity, whereas we already had a strong network with the distributors. We had both the opportunity and the strengths. Also, serving the retail market is untouched, whereas e-commerce is being saturated.
A short insight into the business model:
Supplier-Brands-Hubs-MSMEs.
The business model is simple. We use our logistics and people to ensure the smooth distribution to the MSMEs. The process is quite easy to use: the retailers place their order, our brand suppliers get notification and confirm availability, and we reach the supplies with our logistic support.
So…
PriyoShop’s success story illustrates that sometimes the most significant opportunities lie not in creating entirely new markets, but in bringing efficiency, technology, and scale to existing, underserved segments. By empowering MSMEs with better access to inventory, fair pricing, and reliable delivery, we have not only built a profitable business but also strengthened the entire retail ecosystem that millions of consumers depend on daily.
As we continue expanding toward their 2025 targets, PriyoShop stands as a testament to the power of understanding market pain points, leveraging existing strengths, and having the courage to completely reimagine your business model when the opportunity presents itself.