72 Networks: Providing an alternate sales channel to OEM’s for their primary sales reaching out to a population of 150 million!

OEM’s like Samsung, Xiaomi, Nokia, etc have entered a steep competition in a billion-dollar Indian market where the average middle-class consumer is growing day by day. They are investing a lot of money in their distribution channels as they want to reach out to the remotest corners of India.

Creating a distribution channel along with an integrated logistics network for urban India is a very expensive affair and will take a long time. But the fact also cannot be denied that a majority of Indian population living in tier-3,4 cities and urban areas are still untapped by these huge OEM players. It can be a game-changer to them if somehow their products have access to this huge market.

The complexity of the situation can be judged by the fact that e-commerce giants like Amazon, Flipkart, etc are spending millions to enhance their last-mile delivery process but still are far away from it. While these giants are battling it out to reach to the remotest corners of the country, we have a player named 72 Networks which is a PAN India distribution house specializing in last-mile delivery with special focus on rural areas. Unlike traditional distribution, 72 Networks relies on cutting edge technology to be the cornerstone for driving businesses. Their primary competitive advantage is their extensive network set up with a ”No ODA Concept” to deliver to over 12,000 pin codes in the 14 states across 46 warehouses.

72 Networks have access to a consumer base of around 150 million Through Microfinance Companies like BFIL, Spandana, Fusion, etc and to date, they have made over 2,00,000 individual rural deliveries across the country and have closed the FY 2018-19 with a positive top line of INR 70 crores. They have also tied-up with OEM’s like Samsung, MI, Nokia, Singer, Delight, etc and are providing alternate sales channels for their primary sales. This is not only providing the OEM’s with an extensive reach to rural India but is also opening up multiple avenues for market growth.

72 Networks is excited to get into their next business growth phase which is to use technology – primarily AI as a tool to drive the businesses thereby achieving higher profitability and reach 300 Crores of business in FY 2019-20.

The author is CEO & Co-founder of 72 Networks

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