NewsVoir
Bengaluru (Karnataka) [India], March 4: India's Jumbotail Technologies Private Limited (Jumbotail), and Japan-based NEC Corporation (NEC; TSE: 6701) today announced a strategic collaboration aimed at advancing the digital transformation (DX) of India's mass market retail sector and its 19 million local neighbourhood stores, "Kirana" (*1). As part of this partnership, NEC will make a strategic investment in Jumbotail.
This collaboration brings together NEC's technology, cultivated alongside global retail customers, and its cutting-edge AI with Jumbotail's B2B marketplace and New Retail platform to strengthen and expand the Kirana retail ecosystem for India's mass market.
Market Context and Strategic Alignment
India's retail growth is fundamentally driven by the "India 2" segment - a massive, aspirational middle-class representing 42% of households and an $800 billion market opportunity. This demographic relies heavily on the nation's 19 million local neighbourhood Kirana stores for daily consumption. Jumbotail serves this vital Kirana network through its proprietary platform that provides Kirana store owners access to a wide selection of goods, including food, groceries, apparel and fashion, toys, sports, and consumer electronics. This is enabled through Jumbotail's B2B e-commerce marketplace platforms, integrated daily fulfilment and store front deliveries, embedded fintech, and GoldenEye retail operating system (*2) for entrepreneurs to own and operate J24-branded (*3) modern convenience retail stores.
NEC's partnership with Jumbotail will accelerate and expand access to advanced technology for millions of small-scale entrepreneurs in India. Moreover, it will provide access to enterprise-grade solutions, previously only available to large modern retail companies, to small Kirana owners and regional brands in India. These solutions will drive higher customer retention, improve operational efficiency and increase profitability, which, will enable Kirana owners to offer a modern, digitally enabled shopping experience that will transform India's mass market Kirana retail sector.
Collaboration Details
NEC has long contributed to the development of retail in various countries and regions.
Jumbotail is the market leader in Kirana retail and is the gateway for brands to access mass market retail consumption in India. This collaboration will combine NEC's global technology and expertise with Jumbotail's technology and platform built with deep local market insights in India. The companies aim to co-develop advanced technologies for India's high-density, unstructured retail environment, empowering local Kirana store owners to thrive in the modern economy.
1. Enhancing B2B Commerce with AI to Benefit Kiranas
NEC's advanced AI and retail technologies will be customized for Jumbotail's Kirana customers to discover and sell a wider variety of products, improve inventory management, optimize in-stock rates, and optimize working capital.
2. Strengthening Brand Connections and Consumer Engagement
Leveraging Jumbotail's marketplace and retail platform's deep market reach across Kiranas and brands, and NEC's AI driven data analytics and advanced in-store retail solutions, the companies will develop and deploy go-to-market retail solutions that connect brands and consumers by strengthening targeted promotions and consumer engagement.
3. Expansion of "J24" - Modern Convenience Stores owned and operated by local entrepreneurs
NEC and Jumbotail will collaborate to enhance the Jumbotail's New Retail platform and GoldenEye Retail Operating System, by integrating NEC's advanced in-store digital solutions to enable digitization of store operations and better consumer experience via real-time consumer insights.
Advancing a Shared Vision for Society
This collaboration realizes both NEC's purpose to promote a more sustainable world by creating social value through safety, security, fairness, and efficiency, and Jumbotail's mission to be the gateway to mass market consumption in India by digitizing and modernizing the retail value chain of India's Kirana store ecosystem. By providing India's Kiranas with advanced retail solutions and tools, NEC and Jumbotail are promoting a sustainable world where neighbourhood Kirana retailers have the chance to reach their full potential by large scale digital transformation, thus making Kirana store entrepreneurs an indispensable partner in India's growth story.
Acknowledgments
Merton Global Ventures Ltd. (*4), a strategic and business consultancy firm played an integral role in the conception and execution of the partnership between Jumbotail and NEC. Merton was founded by Mr. Prem Samtani, a leader in building durable cross border alliances, with deep expertise in the India-Japan business corridor.
(*1) Kirana are small, individually owned grocery and convenience stores found throughout India. Approximately 19 million such stores exist nationwide.
(*2) A retail store operating system including point of sale, customer relationship, loyalty, credit management, marketing solutions for kirana entrepreneurs to operate their stores.
(*3) J24 is the brand name of the modern convenience store owned and operated by retail entrepreneurs, powered by Jumbotail's New Retail platform.
(*4) Merton Global Ventures Ltd. www.mertonglobal.co
About Jumbotail
Founded in 2015 by S. Karthik Venkateswaran and Ashish Jhina, Jumbotail is India's leading B2B marketplace and New Retail platform. Serving as the digital and physical infrastructure for over 250,000 Kirana stores in India, Jumbotail's platform integrates a digital marketplace, logistics network, working capital fintech products, and the J24 modern convenience store network alongside GoldenEye Retail Operating System technology solutions. By empowering small retailers to modernize and thrive, Jumbotail provides the definitive gateway for brands to access India's mass-market consumption economy.
For more information, please visit www.jumbotail.com, and follow us on LinkedIn and YouTube.
About NEC
The NEC Group leverages technology to create social value and promote a more sustainable world where everyone has the chance to reach their full potential. NEC Corporation was established in 1899. Today, the NEC Group's approximately 110,000 employees utilize world-leading AI, security, and communications technologies to solve the most pressing needs of customers and society.
For more information, please visit www.nec.com, and follow us on LinkedIn and YouTube.
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