How Singapore’s largest grocer is taking on RedMart and Grab

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Hello readers,

I’m a victim of consumerism. Online shopping is my temporary salve whenever I’m stressed: I get a thrill from putting unnecessary items in my cart and “carrying” them through to checkout. But this still doesn’t beat the experience of physically wandering through a store to inhale the scent of freshly printed books or trying on clothes I don’t actually need. The same is true of online grocery shopping: It’s practical and efficient, but it doesn’t carry the same (sensorial) thrill of exploring the aisles of a supermarket.

Today we look at:

• Why Singapore’s largest grocer is betting big on online grocery shopping
• A Singapore-developed device that communicates with plants
• Other newsy highlights such as Baidu’s big plans and blockchain firm Zilliqa debuting an investment fund

PREMIUM SUMMARY

Here’s another contender in the online grocery arena

It’s no secret that the ecommerce marketplace has boomed since the pandemic. RedMart and Grab are the two prominent pure-tech players offering online grocery services. And Singapore’s largest traditional supermarket chain NTUC FairPrice is attempting to capture a slice of the pie, too.

• FairPrice’s edge: While pure-tech players still struggle with profitability, FairPrice’s omnichannel approach allows it to leverage its offline stores to improve delivery efficiency. Its recent experimentation with “dark stores” is one such initiative: Physical shops are converted into fulfillment centers for online orders, allowing the supermarket to cope with a larger volume of orders more easily.
• Slow and steady: Still, FairPrice has made slow strides. Its online platform first launched in early 2000, but underwent a revamp only in 2018. The following year, the company doubled down on its hiring push to fill scores of tech and digital roles.
• More work ahead: Last year, FairPrice supposedly grew its online market share to 25%, up from 18% in 2018. But in a small market like Singapore, reaching economies of scale remains a challenge. The company will first have to boost its online sales volume, which it aims to do by opening up its online platform to third-party sellers.

Read more: Singapore’s largest grocer is betting big on online groceries

STARTUP SPOTLIGHT

A device that talks to plants