Meesho lays off staff “to boost efficiencies” amid grocery business rejig
Ecommerce company Meesho has reportedly laid off 150 employees from its grocery business, Meesho Superstore.
Last week, the Bengaluru-headquartered firm announced that it was integrating the grocery business within the core app to provide Meesho users a unified shopping experience, while driving stronger synergies across areas like customer acquisition, technology, product and talent.
“As we look to boost efficiencies in the light of the integration, a small number of full-time roles and certain third-party positions on six-month contracts at Meesho Superstore were reassessed to remove redundancies with the core business,” the company said in a blog post without sharing the details on the number of employees impacted by the decision.
“To support those impacted by this restructuring, Meesho is offering severance packages and outplacement assistance to help them secure new opportunities outside the company. The redundancies do not impact any positions at the core Meesho marketplace business, where we continue to hire and grow talent,” it added.
Meesho launched online grocery services, Meesho Superstore, as a pilot in Karnataka less than nine months ago. With this foray, the idea was to meet consumer demand for affordable daily essentials in Tier 2+ markets as we aspire to become the single shopping destination for the next billion Indians.
The company said as it continues to scale its efforts to make online grocery affordable for users across Tier 2+ markets, these changes will ensure that it has the right framework in place to meet the growing needs of its customers.
“In a short span of time, we have scaled the offering to six states – Maharashtra, Karnataka, Telangana, Andhra Pradesh, Gujarat and Madhya Pradesh – and we now plan to make it available in 12 states by the end of 2022,” it said in the post.
In September 2021, the company raised $570 million in its Series F financing round co-led by Fidelity Management and B Capital Group taking the valuation to $4.9 billion.