Value of India’s quick commerce market rises fivefold to $6-$7 billion since 2022: Report
The market value of India's quick commerce sector has increased fivefold to $6-$7 billion since 2022 with the sector currently handling over two-thirds of all online retail orders, says a new report from Bain & Company and Flipkart..
Led by companies like Zomato's Blinkit, these rapid delivery platforms currently represent a significant chunk of the e-retail pie, accounting for one-tenth of all online spending in 2024.
The report predicts, this growth trajectory will continue with the market expanding by over 40 per cent annually through 2030. This growth is likely to be fueled by companies expanding their product ranges, reaching new geographic locations, and attracting a wider customer base.
As Bain and Flipkart's report, this dramatic rise of quick commerce has been one of the most defining hallmarks of India's e-retail market over the last two years. The quick commerce sector today, boasts over 20 million regular online shoppers and provides employment to more than 400,000 people.
However, the sector faces potential roadblocks, the report points out. Companies in this sector may have to struggle to earn a profit as they expand beyond major metropolitan areas. They may also face intense competition from established e-commerce giants like Flipkart.
To ensure long-term, profitable growth, these companies need to adapt their business models for markets beyond major metros, manage rising competition, and optimize supply chains, the report advises. In essence, they need to find ways to make their operations financially viable in smaller cities and towns, while also effectively competing with larger, more established players, it adds.
