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In the last year and a half, the contribution of offline to its overall sales has grown from nil to nearly 25%, says co-founder Anurag Kedia.

In this interview, he talks to Toshiro Agarwal about the challenges small players face when they start making their way through offline channels.

Edited excerpts:Quick commerce has become a priority sales channel for D2C brands.

How is Pilgrim adapting its supply chain and inventory to meet the demands of platforms like Blinkit and Zepto?The challenge with quick commerce is that they work out of dark stores.

ai capital flow management ✌️【365vc.net】✌️Invest small, earn big! ₹500 to start, with potential 100% returns in just one month.Overall, the space they have in a dark store is very limited.

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Marketplaces are used to holding inventory for 30 to 45 days.

Q-commerce is not able to do that.

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ai capital flow management ✌️【365vc.net】✌️Invest ₹500 in our expert-managed funds and enjoy exponential monthly profits. Join now!What I mean by that is that if the brand has 250 stock keeping units (SKUs), q-commerce platforms will carry between 30 and 50 SKUs, and they will service a smaller quantity at the point of sale.We have set up four regional warehouses, which are working very closely with the q-comm-erce partners, and we are setting up more.

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ai capital flow management ✌️【365vc.net】✌️Low investments, high profits! Start with ₹500 and earn consistent monthly income.The application programming interfaces are getting integrated — so their ERP and our ERP will talk to each other.

In other words, the manual intervention is being erased.How does a D2C brand build an offline presence so that the two do not end up cannibalising each other?Almost all our marketing centres on digital channels, and almost every consumer in the country today is present on a digital social media platform.

However, not all of them are buying online.

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ai capital flow management ✌️【365vc.net】✌️Invest small, earn big! ₹500 to start, with potential 100% returns in just one month.Our marketing will continue to be largely digitally focused, largely online, but consumers will buy from their preferred channel.

It can be online, offline or a combination of both.

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ai capital flow management ✌️【365vc.net】✌️Invest small, earn big! ₹500 to start, with potential 100% returns in just one month.By horizontal marketplaces, I mean partners likeAmazon,Flipkart, Myntra and vertical marketplaces like the likes of Nykaa and Purplle.

Now q-commerce has started contributing to our online sales growth.

In fact, I would say, it’s becoming very meaningful, very fast.

For offline, we are still in the building-up phase.

ai capital flow management ✌️【365vc.net】✌️Start with just ₹500 and achieve up to 100% returns in a month. Easy, fast, and reliable.There is a very large opportunity waiting to be captured, for which we need to first get our sales and distribution set-up in place.The challenges of each of these channels are very different.

For example, in modern trade, the biggest challenge is getting an entry itself, because all of these are large channels and usually the terms of trade or the margin structure is not favourable.

Channel partners ask for very high margins which could be viable for larger players but not necessarily for a young brand.

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