Meesho shuts down its grocery business – Local social commerce platforms Meesho has reportedly closed its grocery business called Super store in more than 90 percent of cities in India except Nagpur & Mysuru, leading to several job losses.
Meesho shuts down its grocery business
According to a report, almost 300 employees have lost their jobs following the closure of Meesho Super store. When contacted, the company did not comment on the developments.
In April, changed its name from Farmiso to Superstore, to highlights its continued focus on meeting consumers demand for everyday staples in Tier 2 markets and beyond.
The same months, the company laid off more than 150 employees, mostly from Farmiso, as it aimed to integrate its grocery business within the main apps.
The social trading platform previously laid off more than 200 employees in the first wave of the pandemic.
According to report, low income and high cash consumption were the reason behind the startup’s decision to shut down its operations in most cities this time.
Meesho Superstore was operating in six states Karnataka, Telangana, Andhra Pradesh, Gujarat, Madhya Pradesh and Maharashtra.
The reports mentioned that Meesho offered two months salary as a severance package to those laid off.
Vidit Aatrey, founder and CEO of Meesho, said that the company hopes to integrate Mesho Superstore with its main application.
What started as a pilot project in Karnataka is now seeing positive traction in six states. Driven by our user-first mindset, the integration will provide millions of users with a unified shopping experience, while giving us the opportunity to drive stronger synergies in areas such as customer acquisition, technology and product and talent, it said in a statement.
Meesho launched a pilot in Karnataka to make online grocery shopping affordable, with the company targeting Superstore to be available in 12 states by the end of 2022.
The Meesho marketplace provides small businesses including small and medium enterprises SME, micro, small and medium enterprises MSME & individual entrepreneurs with access to millions of customers, from over 700 categories, pan-India logistics, payment services and customer service. support capabilities.
Recently reached 100 million transacting users. Since March 2021, the user base transacting on the platform has increased 5.5 times, while the variety has grown 9X to 72 million during the same period, the company stated.