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15-Minute Grocery Delivery Startup Tiggy Rapidly Expanding into New Markets in Canada: Interview

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The ultrafast delivery startup Tiggy was an idea that came to Eugene Bisovka while he was living in Russia.

Eugene Bisovka

With four dark stores in Vancouver with a mission to deliver grocery orders within 15 minutes, the brand has a vision to expand into other major Canadian markets with Toronto a key target.

The first store was launched in September.

Bisovka, who is CEO, said the company has raised $6.35 million in seed funding to grow the brand.

“We have our own stores, our own delivery team, picker team, store managers, own inventory. We deliver groceries within a 1.5 mile radius within one store and all orders are placed through an easy-to-use mobile app both for iOS and Android,” he said.

Image: Tiggy App

“It’s a new way of shopping for groceries online. So instead of going to a store you just open the app, place an order and it gets delivered in 15 minutes and it’s super easy to use compared to most of the experience customers get with other services.”

The company, in a news release, said global consumer trends are shifting towards quicker shipments, no delivery fees, and the possibility of ordering as little as a couple of bagels without an obligatory minimum purchase.

“Customers in many markets, from the UK to Japan, buy food using rapid grocery delivery apps. The request for on-demand product delivery is increasing in Canada, too. Since the pandemic broke out, 66 per cent of Canadians cook at home more often, while 75 per cent are already engaged in online grocery shopping,” said Tiggy.

The founders of Tiggy include Bisovka, Razmik Sukyasov, and Oskar Hartmann.

Image: Tiggy in Vancouver

“Previously I lived in Russia and Russia has I guess one of the most developed markets in terms of this business model,” said Bisovka. “Everyone is now ordering in this way because it’s so easy, it’s so convenient, especially for the younger generation that gets used to companies like Uber. When you have instant taxi, you want to have instant groceries as well.

“I had two different ventures in Russia. One of them was also like delivering meals and it was growing really fast. I was a customer myself (for delivery services of groceries). I probably placed like 1,500 orders previously. I simply stopped going to grocery stores.

“I was really wondering if there were some places in the world that this model didn’t happen to launch for any reason. Canada looked really interesting in terms of this. I thought what if we brought the expertise of this business model, knowing exactly how one should do it in terms of operations, how to build stores and the customer experience, and bring it to Canada. As soon as we launched we got so much positive feedback, traction and eventually it worked out. People really love it and we’re growing a lot.”

Image: Tiggy App

Bisovka said the company wants to be available in most major cities within two to three years.

“We are expanding into Toronto. We want to cover Vancouver really fast. Within a couple of months we’ll cover 80 per cent plus in Vancouver. In Vancouver, at least eight (stores). In Toronto, at least 50 locations,” he said.

Bisovka said a typical store has 1,500 SKUs which will be increased to 2,000 SKUs. It’s designed this way so orders can be picked up quickly to deliver in 15 minutes.

“Quick-commerce will take 20 per cent of all grocery retail in around 10 years,” said Oskar Hartmann, a co-founder and an investor. “It’s not a game where one corporation can easily monopolize the market. I invest in local teams with big potential that are set on turning into leading players in the confines of one country.”

Article Author

Mario Toneguzzi
Mario Toneguzzi, based in Calgary, has more than 40 years experience as a daily newspaper writer, columnist, and editor. He worked for 35 years at the Calgary Herald covering sports, crime, politics, health, faith, city and breaking news, and business. He is the Senior National Business Journalist with Retail Insider in addition to working on his own as a freelance writer and consultant in communications and media relations/training.

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