Online business gaining foothold in eastern cities

Bibek Bibas Regmi 25 Aug 2023
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Online business gaining foothold in eastern cities

ITAHARI: During the COVID pandemic lockdown, when the country was grappling with restrictions and people were confined to their homes, a group of energetic youth in Itahari stepped up and launched an online business named ‘Itahari Home Delivery’ through social media platforms.

Initially, they began by offering free ‘home delivery services’ primarily focused on food and bakery items. Over a span of two years, they expanded their offerings and coverage, now catering to areas from Itahari to Biratchowk in Morang. The team behind Itahari Home Delivery, consisting of Deepen Thapa, Sandeep Sah, and Nirdiv Kafle, efficiently managed the delivery of various goods requested by customers.

Nirdiv recalled, “We initiated this venture in July, a few months into the lockdown which had started in March. Initially, we concentrated on food and bakery products, but gradually, we diversified our product range.” They harnessed the power of social media platforms like Facebook, WhatsApp, and Instagram to receive orders and facilitate deliveries to areas such as Ramdhuni in Sunsari, Duhabi, and Biratchowk in Morang, in addition to Itahari.

“We function as delivery partners, handling pickup and drop services. We initially operated between Inaruwa and Dharan. While the demand was high during the lockdown, it has slightly diminished now, yet the trend endures,” Nirdiv said, elaborating on their business.

Another promoter, Sandeep, said they cannot compete with businesses in the capital city, Kathmandu, which has had a more extended presence in the digital market compared to the nascent scene in the East. The team transitioned from solely delivering food, bakery items, and beverages to a broader array of products, meeting the diverse needs of customers, from gift items to essential household goods.

“We guarantee delivery of restaurant-grade items right to your doorstep,” Sandeep affirmed.

The team initially initiated free deliveries in the Itahari area in collaboration with restaurants, adapting this strategy for survival. Subsequently, they introduced nominal delivery charges, ranging from Rs 50-100 rupees within Itahari.

Deepen Thapa, an integral member of the team, said they have expanded their online food delivery not only to various events but also to banks. Thanks to growing urbanization in Itahari, there has been an uptick in orders for goods from abroad. “We charge 50% of the price of the product in advance for ordering goods from abroad,” Deepen said. “We’ve also seen a substantial increase in orders for celebratory cakes and other items,” Deepen said.

The team’s monthly business volume ranges from NPR 100,000 to NPR 150,000, with deliveries being executed from 8 am to 10 pm.

Approximately 40 percent of orders for Sasurali Restaurant in Itahari-20 are now placed online. Uttam Giri, the restaurant’s owner, explained that while they have recently embraced online services, over two-fifths of their restaurant business now originates from online orders. Customers can conveniently place orders through calls or text messages, and the restaurant staff handles deliveries, he added.

Challenges, however, exist, such as occasional delays due to restaurant congestion. Giri acknowledged, “Sometimes when the restaurant is busy, order deliveries might get delayed.”

Across Biratnagar, the capital of Koshi province, various establishments including Quikr Foods, Guruji, Bhoj, and others have ventured into online service provision, primarily focusing on food delivery. Additionally, businesses like Itahari Home Delivery, Foodnagar, Purbanchal Ice Cream Parlour/Cafe, Sasurali Restaurant, Bhok Laagyo.com, and Bhoj actively offer services through online platforms.

Though some entities remain unregistered, a few have adhered to legal regulations. While this absence of registration is causing revenue losses for the state, consumers don’t know where to complain in case of fraud.

Recently, larger online companies from Kathmandu have started expanding their services to Biratnagar. Bhoj started its operations in Dharan a few months ago, while it has been active in Biratnagar since September last year by acquiring Quikr. Likewise,  Thulo.com as opened a branch in Biratnagar, tapping into the burgeoning popularity of online businesses. Usha Bhattarai from Thulo.com’s Biratnagar branch highlighted the attraction of the younger generation towards online services.

Apart from delivering goods, Thulo.com has also been supporting small farmers. It procures vegetables from farmers and sells them through its platform. It has plans to expand across the Koshi province. Smaller businesses are also increasingly drawn to the online business realm in cities like Damak, Birtamod, and Bhadrapur in Jhapa.

The surge in online shopping gained momentum with the introduction of Daraz.com in Nepal. The COVID-19 pandemic and the subsequent lockdown expedited e-commerce adoption. Experts attribute the rise of digital payments, including mobile banking, to the boost in online business activities.

Published On: 25 Aug 2023

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