App-etite for delivery: Guwahati's app addiction puts local stores at risk

The delivery app craze has firmly taken root in Guwahati — and no one’s complaining. Why would they? With just a few taps on a phone, daily essentials arrive at your doorstep in minutes.

It’s no wonder these apps have become wildly popular. Gig workers in red, yellow, and green uniforms — the new foot soldiers of convenience — are now a familiar sight at traffic junctions across the city.

Boasting inventories that rival even the fanciest department stores, these platforms offer everything from fresh produce to household staples — often at competitive prices and with more variety than you'd find in most neighbourhood shops.

While they promise speed and selection, their rapid growth is also fuelling fears about the fate of our neighbourhood gelamaal’or dukaan. Are these apps really “killing” our next-door grocery stores, or is the truth more nuanced?

Digital disrupts local

The convenience of ordering groceries from home — often with same-day or even under-30-minute delivery — has drawn many away from traditional stores. Large delivery platforms offer competitive pricing, discounts, and loyalty programmes that small neighbourhood shops struggle to match.

According to a latest report by the All India Consumer Products Distributors Federation (AICPDF), over 2 lakh neighbourhood grocery stores have shut down in India in the past one year.

Neighbourhood grocery stores face a shutdown due to coming of delivery apps (AT Photo)

“I often purchase from these apps, keeping in mind the discounts, the convenience of delivery, and the availability of even rare products. Grocery store visits are definitely reducing — I would say that. In case of an emergency, when we need something quickly, only then do we visit the local stores,” said Moitreyee Saikia, a resident of Zoo Road.

As a result, spending on rapid grocery delivery apps has soared. Local shops — especially those reliant on walk-in customers — are witnessing a sharp drop in footfall as more people opt for doorstep delivery.

Speaking to The Assam Tribune, Deepak Barman, a grocery store owner in Nabin Nagar, said, “These delivery apps are killing us with their competitive prices, stock, and everything. They purchase inventory in bulk and can therefore offer discounts we simply can’t match. Take mustard oil, for example — I buy it in small quantities, but they purchase entire cases. That lets them offer customers a discount of ₹4 to ₹5 on average.”

While delivery apps do create jobs in logistics, warehousing, and customer service, their growing dominance could threaten the livelihoods of small shop owners and their staff — especially if local businesses are forced to shut down.

The consolidation of the market by a few large platforms may also reduce consumer choice and potentially lead to price hikes in the long term.

Delivery apps can indeed reach underserved or remote areas, bringing essential goods where local shops are scarce. However, in urban centres, the decline of neighbourhood stores risks eroding community ties and weakening the vibrancy of local economies. Which brings us to the crucial question - how can local shops survive?

Going hyper-local

The modus operandi of most delivery apps is simple - they source items from local retail and wholesale grocery stores they consider suitable, partnering with these outlets to list their products on the platform.

Some platforms go a step further by partnering directly with small stores, allowing them to access a wider customer base without having to invest in complex technology.

Hyperlocal delivery fosters stronger ties between shops and customers through transparency in sourcing and pricing—factors that help build trust and loyalty. Local stores, in turn, can leverage freshness, unique or specialty products, and personalised service to stand out in a competitive market.

Speaking to The Assam Tribune, the CEO of a local delivery app said, “We’re trying to foster a unique model—partnering with neighbourhood stores and farmers' markets to deliver groceries and essentials. I believe this approach is helping the entire business and market ecosystem thrive.”

Retail’s make-or-break moment

For many local shops, however, the challenge is existential - adapt or risk being left behind. While digital disruption is real, not all hope is lost. Some platforms and strategies are helping small businesses survive—and even flourish—by embracing digital tools while retaining their core strengths.

To stay competitive, retailers must invest in delivery infrastructure, digital payment systems, and inventory management—often a costly and complex transition.

A blend of technology with a touch of community connection may be the way forward for grocery shops (AT Photo)

“It’s true that small retailers like us are facing the brunt of rapid technological change. But the only way forward is a blend of tradition and innovation. Just last week, I hired someone who markets our products through creative social media reels and personalised digital outreach,” said Manik Das, a garment retailer in Lakhtokia.

“Our facilities and products must be top-notch if we want these platforms to collaborate with us. We need that extra zing for them to see value in tying up with us,” he added.

The future, many believe, will belong to those who can blend the best of both worlds—the convenience and reach of technology with the trust, warmth, and community connection of local retail.

The responsibility lies not only with local businesses to evolve, but also with policymakers to ensure that digital convenience does not come at the cost of neighbourhood commerce.