RedSeer and Shadowfax join forces to launch Logistics Index

15 December 2020 Consultancy.in

Logistics platform Shadowfax has teamed up with Redseer to create the Logistics Index – a quarterly roundup of supply chain and logistics performance in the ecommerce sector.

The Redseer Shadowfax Leadership Index (RSLI) aims to portray the state of ecommerce in India against the backdrop of high demand and disrupted supply chains. According to co-founder and CEO at RedSeer Anil Kumar, logistics forms the heart of survival and recovery during a crisis, and the index hopes to highlight best practices.

“This study will help the ecosystem get a more nuanced understanding of the key success levers for ecommerce logistics and how it varies across various ecommerce sectors.” The detailed index breaks down the supply chain performance of an ecommerce company into four pillars – growth, performance & efficiency, merchant experience and customer experience.

RedSeer and Shadowfax join forces to launch Logistics Index

A combination of expert interviews, surveys and expertise from within RedSeer and Shadowfax are used to screen companies against these pillars, which held a combined total of 15 criteria. “This is the first time that such a comprehensive study has been undertaken and so many fragments have been looked upon to give an overview of the logistics sector,” noted Kumar.

He also pointed out that both firms brought crucial expertise to the table – a sentiment echoed by Shadowfax co-founder & CEO Abhishek Bansal. “We are excited to partner with RedSeer for the launch of the index as they bring unmatched experience and expertise in the domain. Through our association, we aim to unlock new opportunities in the Indian e-commerce logistics market and provide a comprehensive analysis of sector defining trends.”

By 2025, Bain & Company and Flipkart expect there to be 350 million online shoppers in India – a level of demand that already required unprecedented logistical efficiency and flexibility before the pandemic hit. Covid-19 has only served to intensify this need, and the RSLI will serve as a quarterly benchmark of progress in this space.

First edition

The inaugural edition of RSLI comes with several notable findings. The study identified various types of retailers: horizontal ecommerce players that offer products across categories; vertical players that focus on a single category; omnichannel retailers that have an online and offline presence; direct to customer (D2C) brands; as well as egrocery, FoodTech and eB2B players.

Amazon dominated the horizontal players when it comes to performance and customer experience, although Flipkart pulled ahead in terms of growth. Ajio led the vertical space, while Myntra and Nykaa were also big names in this segment. D-Mart was top of the list in omnichannel retail, with Shoppers Stop and Cromá also near the top.

Chinese electronics firm Xiaomi put its stamp on the D2C segment across pillars. Big Basket took the lead in egroceries, while Supermart and Grofers were other strong players. In Foodtech, Zomato emerged as the clear leader, although Swiggy led the performance and customer experience pillars. Lastly, Udaan emerged atop the eB2B segment, with Jio and Jumbotail also featuring near the helm.