Case Study: Bigbasket’s Transition to Electric Vehicle Delivery

Akshay Sharma

CEO's Office @ZEVO

Background

Bigbasket, a leading online grocery service in India, recognized the urgent need to enhance its delivery efficiency while minimizing its environmental impact. With increasing consumer demand for quick and sustainable delivery options, the company decided to transition its fleet from traditional petrol-powered vehicles to electric vehicles (EVs). To facilitate this transition, Bigbasket partnered with ZEVO, a provider of Electric Vehicles as a Service (EVaaS), which offered a comprehensive solution for fleet electrification.

Objectives

Reduce Delivery Costs: Lower operational expenses associated with fuel and maintenance.
Increase Delivery Efficiency: Improve the speed and reliability of deliveries.
Enhance Customer Satisfaction: Meet consumer demand for eco-friendly services.
Promote Sustainability: Position Bigbasket as a leader in sustainable delivery practices.

Implementation

Bigbasket collaborated with ZEVO to streamline the transition process, which involved several key steps:

Fleet Acquisition: Bigbasket acquired 150 electric vans and 50 electric bikes through ZEVO’s flexible leasing model, with plans to expand this to 1,000 vans and 2,000 bikes within a yea
Charging Infrastructure: ZEVO assisted in installing charging stations at Bigbasket’s main hub and facilitated partnerships with local charging networks, ensuring that the fleet was always ready for operation.
Route Optimization Technology: Implementing ZEVO’s AI-driven software for route optimization allowed Bigbasket to reduce travel time and distance, enhancing overall delivery efficiency.
Driver Training: ZEVO provided training for Bigbasket’s drivers on the unique features and benefits of operating electric vehicles, ensuring a smooth transition and maximizing the efficiency of the new fleet.

Metrics and Results

Cost Savings

Fuel Costs: The cost per kilometer for electric scooters was reduced by 64% compared to traditional petrol scooters, translating to an annual savings of approximately 50,000 in fuel expenses alone.
Maintenance Costs: Electric vehicles have fewer moving parts, resulting in a 30% reduction in maintenance costs. Over the first year, Bigbasket saved an additional 20,000, allowing for reinvestment in other areas of the business.

Delivery Efficiency

Delivery Speed: The average delivery time decreased from 30 minutes to 20 minutes due to optimized routing and the agility of electric scooters in urban environments, significantly enhancing customer experience.
Delivery Capacity: The number of deliveries per hour increased by 25%, allowing Bigbasket to handle a higher volume of orders without additional staffing costs, thus improving overall productivity.

Customer Satisfaction

Customer Feedback: Post-implementation surveys indicated a 40% increase in customer satisfaction ratings, with many customers expressing appreciation for the company’s commitment to sustainability and faster delivery times.
Repeat Orders: The rate of repeat orders increased by 15%, attributed to improved delivery times and the eco-friendly image of the company, which resonated well with environmentally conscious consumers.

Environmental Impact

Bigbasket’s electric delivery fleet has made significant strides in sustainability, avoiding over 10,429 tonnes of CO2 emissions, equivalent to the carbon absorption capacity of approximately 4.74 lakh fully grown trees. This commitment to sustainability aligns with the growing awareness of climate change and the need for eco-friendly practices in the logistics sector.

Conclusion

Bigbasket’s successful transition to an electric vehicle fleet, facilitated by ZEVO’s EVaaS offerings, resulted in significant cost savings, enhanced delivery efficiency, and improved customer satisfaction. The partnership not only allowed Bigbasket to streamline its operations but also positioned the company as a leader in eco-friendly grocery delivery.

This case study illustrates the potential for food delivery services to leverage electric vehicles as a means of reducing operational costs while aligning with consumer preferences for sustainable practices.

As a result, Bigbasket is not only prepared for future growth but also plays a pivotal role in promoting a greener, more sustainable urban environment. The success of this initiative serves as a model for other businesses looking to innovate and adapt in a rapidly changing market.

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