Dunzo is stuck between a rock and a hard place

The quick commerce startup has to show a path to profit, dropping its dark store model for groceries, even as its relationship with Reliance cools.

Dunzo is changing its ways. The Reliance-backed hyperlocal delivery startup has been struggling to raise capital and is now reworking its business model again. 

We reported last week that the company would be shutting down most of its dark stores, or locations where it held inventory for grocery deliveries (the bulk of its business). According to two former executives of the company, who asked not to be named, the startup is planning on delivering its Dunzo Daily grocery orders through regional supermarkets.

The eight-year-old startup has seen multiple pivots and experimented with several ideas, but failed to generate revenue of …


Samiksha Goel

Samiksha covered all things startups at The Morning Context. She joined us from The New Indian Express, where she wrote stories on the retail and food sectors. Prior to that, she had covered startups and written various business features in the Deccan Herald.