Just Dial Asset Light Local Commerce, Open to Partnership

Justdial Asset Light CommerceIn an era where JustDial – JD is competing with the PE-backed internet players that are flush with cash and have an appetite for cash burn, JD unveiled its strategy saying that it maintains belief that over the longer term, JD will be able to compete and emerge stronger vs. vertical / horizontal players who are gaining top-line market share by burning cash.

Just Dial has invested heavily in making a mobile app that can provide multiple touch points for the consumer. The single focus for technological evolution at the company is linked to make JD the preferred platform for all customer transactions. The company is on track for the Just Dial “Master App” to go live in April and the launch would be backed by Rs1bn marketing spend through FY16.

JD is open to tie-ups with existing vertical/horizontal platforms. A case in point being customer ability to book airline tickets on Make My Trip through Just Dial App. The management reiterated that it has no plans to burn cash and build out a nationwide logistics team or warehouses. JD believes that local market in India has enough local “mom and pop” stores with acute business sense that would be willing to tie-up with JD to go online. The differentiation for JD vs other players is the connection that JUST has with these stores given the penetration of its Search business.

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