The Rise of Quick Commerce in India

Quick commerce, or q-commerce, is a faster version of online shopping designed to deliver products in just 10-30 minutes. It focuses on small, everyday items like groceries, snacks, and personal care products. Q-commerce works through a network of small warehouses called dark stores and delivery systems that operate within local areas to ensure speed and efficiency.

Unlike regular e-commerce, which takes a day or more to deliver large orders like electronics or clothes, q-commerce is all about small, quick deliveries for things you need immediately. It’s also different from traditional food delivery because it offers not just food but groceries and essentials too. Companies like Zepto, Blinkit, and Swiggy Instamart have made q-commerce popular in India, where busy urban lifestyles demand fast solutions for everyday needs.

Quick commerce, or q-commerce, is a faster version of online shopping designed to deliver products in just 10-30 minutes. It focuses on small, everyday items like groceries, snacks, and personal care products. Q-commerce works through a network of small warehouses called dark stores and delivery systems that operate within local areas to ensure speed and efficiency.

Unlike regular e-commerce, which takes a day or more to deliver large orders like electronics or clothes, q-commerce is all about small, quick deliveries for things you need immediately. It’s also different from traditional food delivery because it offers not just food but groceries and essentials too. Companies like Zepto, Blinkit, and Swiggy Instamart have made q-commerce popular in India, where busy urban lifestyles demand fast solutions for everyday needs.

(Credit: DataWeave)

To read more about how quick-commerce actually works and how is it different from traditional e-commerce, read our blog: https://sellersetu.in/blog/q-commerce-2024

Here are some major statistical milestones in the Quick Commerce industry in India:

The quick commerce market in India is expected to grow from $0.5 billion in FY 2021 to $5 billion by FY 2025.
By the end of 2025, it is projected that 25% of the online grocery market will be captured by q-commerce.
Quick commerce platforms have already attracted more than $3 billion in investments around the world.
As of 2024, the number of worldwide users for quick commerce platforms has crossed 50 million.
The average time taken for deliveries has reduced significantly, with many now offering delivery in as little as 7-8 minutes, from an initial average of 15-30 minutes.

(Source: RedSeer Consulting)

The COVID-19 pandemic in 2020 gave a big push to quick commerce in India. Lockdowns kept people indoors, leading to a huge demand for fast delivery of groceries and daily essentials. Companies set up small warehouses called dark stores to make deliveries quicker and used digital payment platforms like UPI to make transactions easier.

Quick Commerce and Consumer Behaviour

Busy and densely populated cities like Bangalore, Mumbai and Delhi, with many white-collor professionals and families, have driven the demand for time-saving services like Quick Commerce. In such densely packed cities, one building can provide more orders than an entire Tier 3 city, making it easier and cheaper for companies to operate.

Younger, tech-savvy consumers, particularly Millennials and Gen Z, are embracing fast, app-based shopping, as smartphone use continues to grow. Factors like affordable labor, low-cost electric bikes, and a generation that values convenience over effort make Q-commerce successful in India.

(Credit: DataWeave)

To read more about how quick-commerce actually works and how is it different from traditional e-commerce, read our blog: https://sellersetu.in/blog/q-commerce-2024

Here are some major statistical milestones in the Quick Commerce industry in India:

The quick commerce market in India is expected to grow from $0.5 billion in FY 2021 to $5 billion by FY 2025.
By the end of 2025, it is projected that 25% of the online grocery market will be captured by q-commerce.
Quick commerce platforms have already attracted more than $3 billion in investments around the world.
As of 2024, the number of worldwide users for quick commerce platforms has crossed 50 million.
The average time taken for deliveries has reduced significantly, with many now offering delivery in as little as 7-8 minutes, from an initial average of 15-30 minutes.

(Source: RedSeer Consulting)

The COVID-19 pandemic in 2020 gave a big push to quick commerce in India. Lockdowns kept people indoors, leading to a huge demand for fast delivery of groceries and daily essentials. Companies set up small warehouses called dark stores to make deliveries quicker and used digital payment platforms like UPI to make transactions easier.

Quick Commerce and Consumer Behaviour

Busy and densely populated cities like Bangalore, Mumbai and Delhi, with many white-collor professionals and families, have driven the demand for time-saving services like Quick Commerce. In such densely packed cities, one building can provide more orders than an entire Tier 3 city, making it easier and cheaper for companies to operate.

Younger, tech-savvy consumers, particularly Millennials and Gen Z, are embracing fast, app-based shopping, as smartphone use continues to grow. Factors like affordable labor, low-cost electric bikes, and a generation that values convenience over effort make Q-commerce successful in India.

Quick commerce is like ordering food from a food truck instead of waiting for a meal at a restaurant. Just as the food truck quickly serves your meal when you're hungry, quick commerce delivers what you need almost instantly, solving problems like missing ingredients or last-minute needs in a flash. Over time, it becomes a new habit, where people expect instant deliveries for everyday items, just like they’ve come to expect quick meals from a food truck.

While Q-commerce makes our life convenient, it also raises some important concerns. For example, companies like Zepto now deliver food even at 2 AM within 10 minutes.

But at what cost?

The food is often unhealthy, and binge-eating late at night can harm your health.
Delivery at odd hours can be unsafe or stressful for delivery workers.
There have been several reports of these q-commerce delivery personnel breaking traffic rules and driving recklessly to meet their “10-minute” targets

Does this convenience outweigh the risks and is this worth the increased employment opportunities?

Recent Developments in Indian Q-Commerce

In November 2024, Zepto, an Indian quick commerce startup, raised $350 million in its third funding round of the year, maintaining a valuation of $5 billion. This brought its total funding to over $1.9 billion, reflecting the growing demand for fast grocery delivery in India.

Quick commerce is like ordering food from a food truck instead of waiting for a meal at a restaurant. Just as the food truck quickly serves your meal when you're hungry, quick commerce delivers what you need almost instantly, solving problems like missing ingredients or last-minute needs in a flash. Over time, it becomes a new habit, where people expect instant deliveries for everyday items, just like they’ve come to expect quick meals from a food truck.

While Q-commerce makes our life convenient, it also raises some important concerns. For example, companies like Zepto now deliver food even at 2 AM within 10 minutes.

But at what cost?

The food is often unhealthy, and binge-eating late at night can harm your health.
Delivery at odd hours can be unsafe or stressful for delivery workers.
There have been several reports of these q-commerce delivery personnel breaking traffic rules and driving recklessly to meet their “10-minute” targets

Does this convenience outweigh the risks and is this worth the increased employment opportunities?

Recent Developments in Indian Q-Commerce

In November 2024, Zepto, an Indian quick commerce startup, raised $350 million in its third funding round of the year, maintaining a valuation of $5 billion. This brought its total funding to over $1.9 billion, reflecting the growing demand for fast grocery delivery in India.

(Credit: The Arc)

Later in the same month, Swiggy, a major food delivery platform, launched a $1.3 billion IPO, achieving a valuation of $11.2 billion. The company plans to use part of the funds to expand its network of dark stores and warehouses, aiming to reduce delivery times and strengthen its position in the quick commerce market.

In December 2024, Amazon entered the race by launching trials for a 15-minute grocery delivery service in India. This move has now positioned Amazon against established players like Blinkit and Swiggy Instamart, with Amazon taking advantage of its vast logistics network to meet the growing demand for ultra-fast deliveries in the region.

Global leaders in quick commerce are Getir, Gopuff, Deliveroo, Gorillas, and DoorDash. Getir, started in Turkey in 2015, now delivers groceries in minutes in many countries. Gopuff, based in the US, delivers food and essentials quickly in the US and UK from local centers. Deliveroo, from the UK, connects people with restaurants and stores, offering fast delivery in 10 countries. Gorillas, started in Berlin in 2020, focuses on quick and eco-friendly grocery delivery, while DoorDash, originally for food, now delivers from many types of stores across several countries.

(Credit: The Arc)

Later in the same month, Swiggy, a major food delivery platform, launched a $1.3 billion IPO, achieving a valuation of $11.2 billion. The company plans to use part of the funds to expand its network of dark stores and warehouses, aiming to reduce delivery times and strengthen its position in the quick commerce market.

In December 2024, Amazon entered the race by launching trials for a 15-minute grocery delivery service in India. This move has now positioned Amazon against established players like Blinkit and Swiggy Instamart, with Amazon taking advantage of its vast logistics network to meet the growing demand for ultra-fast deliveries in the region.

Global leaders in quick commerce are Getir, Gopuff, Deliveroo, Gorillas, and DoorDash. Getir, started in Turkey in 2015, now delivers groceries in minutes in many countries. Gopuff, based in the US, delivers food and essentials quickly in the US and UK from local centers. Deliveroo, from the UK, connects people with restaurants and stores, offering fast delivery in 10 countries. Gorillas, started in Berlin in 2020, focuses on quick and eco-friendly grocery delivery, while DoorDash, originally for food, now delivers from many types of stores across several countries.

(Credit: Vecteezy)

However, Q-commerce hasn’t grown as fast worldwide as it has in India. The main reasons are the lack of densely populated areas and the high cost of labor. For example, in countries with scattered populations (longer distances), relatively higher delivery times, q-commerce isn’t really that quick or efficient. Expensive wages, stricter labor rules, and cultural differences—like planning purchases instead of relying on instant deliveries—also make it tough for such companies to thrive in Europe or North America.

Quick commerce is transforming shopping in India by offering faster access to essential items. ONDC can boost Q-commerce by connecting local kirana shops to delivery platforms. By partnering with these shops, Q-commerce companies can deliver faster and at lower costs while also helping kiranas grow their business. This partnership could make Q-commerce more efficient and sustainable.

To get listed on a quick commerce platform, visit our website sellersetu.in or reach out to us and begin the seller registration process.

This involves registering your business, filling out an application form with your details, agreeing to terms, and submitting your application for review.

(Credit: Vecteezy)

However, Q-commerce hasn’t grown as fast worldwide as it has in India. The main reasons are the lack of densely populated areas and the high cost of labor. For example, in countries with scattered populations (longer distances), relatively higher delivery times, q-commerce isn’t really that quick or efficient. Expensive wages, stricter labor rules, and cultural differences—like planning purchases instead of relying on instant deliveries—also make it tough for such companies to thrive in Europe or North America.

Quick commerce is transforming shopping in India by offering faster access to essential items. ONDC can boost Q-commerce by connecting local kirana shops to delivery platforms. By partnering with these shops, Q-commerce companies can deliver faster and at lower costs while also helping kiranas grow their business. This partnership could make Q-commerce more efficient and sustainable.

To get listed on a quick commerce platform, visit our website sellersetu.in or reach out to us and begin the seller registration process.

This involves registering your business, filling out an application form with your details, agreeing to terms, and submitting your application for review.

The Rise of Quick Commerce in India

The Rise of Quick Commerce in India