Glovo was the primary startup to can help you order something – not simply meals, tremendous merchandise or pharmacy – and it is going to be delivered to your own home in lower than an hour. However the startup is not alone. Different corporations start to delve into this rising enterprise. Sergio del Río Anidjar is co-founder and CEO of Fastti, an organization that has simply launched its app and whose ambition is to suppose an alternative choice to Oscar Pierre's firm. The entrepreneur explains for Applicants how the venture has arisen and what variations they’ve with respect to the good referent of this market.
– How did Fastti come about? What’s your story?
– The 2 founding companions have been neighbors in Bogotá, the place we labored as consultants. We each had a date again to Spain and the identical considered beginning our personal enterprise. We have been clear that we needed to arrange a technological, shopper and free platform.
It was throughout one of many many dinners that we requested for at residence, once we realized that in all these conversations we had it in entrance of us, on the desk, We began analyzing the professionals and cons and created Fastti.
– There’s a Colombian app referred to as Rappi that additionally takes you all house. Has any sort of inspiration been for you?
– Sure, completely. Rappi was constantly requested for all types of favors at residence throughout our keep in Colombia. We have been fascinated by the service and its enterprise mannequin. The reality that we thought was not but carried out in Spain, was after the evaluation once we realized that sure, so we started to review the potential for mounting Fastti in Spain. It was viable.
– Understanding what you’re doing, I feel this query is nearly compulsory. How do you propose to compete with Glovo? What’s your differential worth?
– First, we’ve got to offer Glovo numerous credit score, he’s doing very nicely. Nonetheless, we expect that markets are naturally made to compete. As we speak we discover options for all providers / merchandise that exist, and shoppers wish to have a selection. With out going any additional, we have now Uber and Cabify, LetGo and Wallapop, Burger King and McDonald's and we might proceed with many different examples. We consider that the “last mile” multi-class delivery market, during which Glovo solely operates, could be very broad and rising, which is why Fastti may be “the alternative” for a lot of customers. We all know that we now have to offer a great service and being small we will supply a extra personalised remedy, focus quite a bit on our customer support.
With the assistance of the design studio Mendesaltaren we get a product that’s visually very engaging, with a navigation optimum and creating an expertise of use that characterizes us. In our grocery store, we provide a variety of merchandise at a really aggressive worth. We’ve greater than 1500 references in our retailer, within the parapharmacy there are greater than 400 merchandise, and for the class of eating places, we’ve got free delivery on orders over € 18, with out subscription.
All of the design of the app is designed across the concept of producing the purchasing expertise of a grocery store and velocity up the time of buy. We add visible areas for manufacturers that need to collaborate with us, which, in the long run, will permit us to concentrate on enhancements and advantages for our customers.
As well as, we’re the primary app in Spain that implements 100% “Hero Images” “, A new format of images that allows you at first sight to know exactly what product you are in (size, description, characteristics …) speeding up the purchase process.
We are now in Beta phase. We want to go little by little, but we know that in this market we can diversify in many areas by introducing products and / or services that the competition does not offer. We are already studying alternatives for new updates.
– You also have a branch that would rival all those platforms to order in supermarkets. Do you consider competition to services like Delsuper.es?
– That's when this business becomes more complex. Each of the Fastti categories has competitors that act in each market independently. In supermarket, or as we call it, “FasttiMarket”, there are other established companies like DelSuper, LolaMarket or Deliberry. We really do not compete so directly with them, since our service is convenience and express. We have limitations in the number of products we carry, but we offer an immediate delivery service, between 40 minutes and one hour. Other supermarket shopping platforms, in general, have a higher ticket average, reaching € 100. In them, the shipment is scheduled in slots.
There is room for everyone, the online food buying market has a very low penetration. In Spain it was 1.2% in 2017. In other neighboring countries, such as France and England, it is already exceeding 5%, an indication of the path towards where the Spanish market is heading. It is expected that by 2025 it will reach 10%, so there will be opportunities for all.
We also offer parapharmacy, which is another market with very attractive data and online sales metrics that point to strong growth in the coming years.
– You have included the sale of alcoholic beverages until 12 at night. How have you prepared this feature to avoid possible problems? (sale until 10 o'clock at night, orders from minors, etc.)
– Very few people know that the law changed and that there are certain shops that, in compliance with certain characteristics, can sell alcohol 24 hours a day. It must be emphasized that we are not merchants, only a company that manages a supply that a user requires, with a delivery person, whether independent or not, who wants to take over the transport. In FasttiMarket, we close the Alcohol category at 21:30 but there is a mini-market where you can buy alcoholic beverages and other products 24 hours a day. Although for the moment we do not open 24h it is a very close plan for when we have the web and iOS.
For us it is very important to comply with the law and to register in the application you must be over 18 years. The terms and conditions specify that we reserve the right to ask our users for a means of identification if they buy alcohol. In case the user is a minor, the account is automatically canceled, as it is in violation of our policy of terms and conditions.
– I imagine that one of the problems that you are facing as a platform now that you start is the so-called 'chicken-and-egg-problem', where it costs to get suppliers and riders when there are almost no users and users as there are almost no suppliers and riders. How are you doing to overcome it?
– This is our daily battle. One of the reasons why we went to Madrid is because it is our city and the truth is that the support from users and suppliers is being exceptional. It is difficult to achieve this balance point, only time and experience will help us achieve it. We just went on Android recently, and at the moment many of the orders are made personally, this is a very rewarding experience, which helps us understand all the elements of the business and be in direct contact with customers and users. For now we have the collaboration of 25 autonomous dispatchers who can connect and help us with orders when they can.
– Much has been said about the gloomy conditions of the Glovo or Deliveroo riders. How do you plan to take care of your messengers?
– We have introduced a “free selection of orders” system for self-employed workers who want to collaborate with Fastti. This system allows dispatchers or “Fasttiers” to collaborate with a total autonomy. We do not assign orders, they are not imposed schedules or penalties for points, which result in not being able to take the hours they would like the following days. The platform that Fastti provides them with is a complete list of real-time orders, to which the distributors can freely access at any time of the day and choose the order that is most attractive to them.
In this way, we are totally compatible so that the distributors can always be active during the time they collaborate with other platforms and decide what order or order they want to make. In Fastti, they can access the information of each order before choosing it (distance, type of order, estimated time, payment for the service …) and it is they who decide which one they want to accept.
We know that this has certain risks (for example, that some order is not accepted by any “fasttier”), but we believe that it is the fairest thing. For this, we have a hybrid model of distribution, which will grow little by little. We refer to a group of distributors on staff, we call “emergency group”, which will complement the independent delivery in the following three cases: days of high demand, orders not accepted or possible emergencies that arise during the orders
Finally we have explored third companies that offer delivery services under a demand model
– Will there be an application for iOS?
– Of course, the website and the iOS application will be available before the end of February. If everything goes well we could go to the market before this date. We decided to start with Android, since the percentage of people who have this type of device surpasses those who have iOS. In addition, we wanted to launch the beta version as soon as possible to test the product.
– Fastti has started in Madrid. What expansion plans do you have?
– The most important thing for us now is to be able to validate the market and the business in Madrid. We have a certain special feeling to be from here. So our focus at the moment is to win over the Madrid public. Now we operate only within the M-30 but we want to be able to cover other areas in the not too distant future.
After that, we would like to expand to other cities in Spain and, if all goes well, go abroad. Our expansion plans for 2019 is Madrid, by 2020 it is possible to go to five Spanish cities and two international cities, in 2021 it is another five cities in Spain and three international cities and by 2022 we will try to consolidate markets. We know that to reach these objectives we need to have users, help and funding.
This is why we are analyzing the idea of entering an accelerator in mid-2019 that gives us the momentum we will need.
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About the Author: Alberto Payo
Journalist and blogger specialized in technology and culture. Co-founder and editorial manager of Applicants . Former editor of Itespresso and collaborator of El Mundo (Fcinco), Muy Interesante, Merca2 and Dipcom Corporate. Lover of photography, cinema, comics, travel and good humor. Follow @albertopayo
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