Insight certainty 4/5 debate potential 3/5

Process inherently conflicts with innovation because true innovation requires breaking established procedures

Hari Menon · How He Built India’s Largest Online Grocery Store? Ft. Hari Menon, Ceo & Co-Founder, BigBasket · Jun 21, 2022 · at 51:16

BigBasket co-founder and CEO Hari Menon explains the operational tension between enforcing strict processes and encouraging innovation.

0:00 / 0:09exact quote · 9.7s
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“Process and innovation don't necessarily go together. Those people who innovate don't necessarily follow process because you have to break stuff.”

quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →

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Insight
Menon: Delivering every grocery order in 10 minutes is structurally unprofitable
“Nobody can profitably deliver every order in 10 minutes. It's not possible. The network of dark stores you'll have to set up to do that is not profitable. So you will never be able to build a good unit economics based on only 10 minutes, which means all orders…”
Hari Menon Jun 21, 2022 ▶ 30:00 How He Built India’s Largest Online Grocery Store? Ft. Hari Menon, Ceo & Co-Founder, BigBasket
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Quick commerce will cap out at 25 percent of total grocery purchasing
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Hari Menon Jun 21, 2022 ▶ 32:32 How He Built India’s Largest Online Grocery Store? Ft. Hari Menon, Ceo & Co-Founder, BigBasket
Prediction Didn’t hold up
Menon claims BigBasket will be the only profitable quick-commerce grocery player
“The only one that's going to build a profitable model today is of us because it's not for us. It's an extension of our business, right? I've got the same DC, same supplier, same everything. My supply chain is just getting more and more loaded, which helps me g…”
Hari Menon Jun 21, 2022 ▶ 34:11 How He Built India’s Largest Online Grocery Store? Ft. Hari Menon, Ceo & Co-Founder, BigBasket
Insight
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“Grocery, you can't do without owning inventory, right? That's the model that, that runs. People have tried different models. None of them have worked.”
Hari Menon Jun 21, 2022 ▶ 7:51 How He Built India’s Largest Online Grocery Store? Ft. Hari Menon, Ceo & Co-Founder, BigBasket
Insight
Startups outgrow traditional venture capital upon reaching one billion dollars in sales
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Hari Menon Jun 21, 2022 ▶ 24:59 How He Built India’s Largest Online Grocery Store? Ft. Hari Menon, Ceo & Co-Founder, BigBasket
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Viable quick commerce delivery windows will settle between 30 and 90 minutes
“So you will build a model which is within 30 minutes, right? Less than 30 minutes. There'll be some which will go up to 90 minutes. So 30 to 90 is the range you'll find. Less than 30, less than 90.”
Hari Menon Jun 21, 2022 ▶ 30:18 How He Built India’s Largest Online Grocery Store? Ft. Hari Menon, Ceo & Co-Founder, BigBasket
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