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By 2022, Dunzo had mastered hyperlocal delivery, and it was expanding into quick commerce or 10-minute delivery as well.

So seeing Dunzo’s meteoric rise, #Reliance invested 200 million dollars and picked up a majority stake. And that also gave Reliance a crucial veto power over all future decisions.

However, by 2023, just one year after the investment, #Dunzo looked like a completely different company.

Its experiment with quick commerce was a huge failure, it was not even able to pay salaries, and it urgently needed more funding if it were to survive.

Many speculated that Mukesh #Ambani was letting it happen on purpose, so he could acquire Dunzo at a much lower valuation.

However, it wasn’t just Reliance - Dunzo held talks for acquisitions with Zomato, Tata, and Flipkart, but all of them refused. Because by 2023, Dunzo was an extremely troubled company, with extremely bad unit economics - they spent 9 rupees to earn every single rupee in FY 2023.

So how did Dunzo go from the king of hyperlocal delivery to one of the most spectacular startup failure stories in India, in just one year?

Find out the answer to these questions in this video!


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Chapters:
00:00 - Reliance & Dunzo
02:09 - Dunzo's Humble Beginnings
02:49 - Rise of Dunzo
04:27 - Reliance Enters
05:40 - Quick Commerce Gamble
10:06 - Fall of Dunzo