Grofers eyes fashion segment for higher margins, to stick to private labels

Grofers, which has a strong play in the private labels segment across categories, is likely to follow this strategy in the fashion segment

Online grocer Grofers started selling apparel and footwear for better margins. Grocery forms the largest chunk of consumer spending and highly competitive but fashion offers better profits, according to ecommerce experts.

“From a scale and stickiness perspective grocery as a segment is very attractive but from a margin perspective, it is quite competitive. In all of food and grocery sales across the country, even in large cities where internet penetration is high, grocery still remains focussed largely on offline. This segment also requires deep pockets,” said Devangshu Dutta, Chief Executive Officer of Third Eyesight.

The SoftBank and Tiger Global-funded company has