A quick snapshot of India’s quick commerce landscape highlighting key players, challenges and opportunities…
New Delhi: As Indian consumers increasingly prioritize speed and convenience in their shopping habits, quick commerce platforms such as Blinkit, Swiggy Instamart, Zepto, Flipkart Quick, and Flipkart Minutes are redefining the grocery delivery landscape.
These platforms, which deliver items within 10-30 minutes, are poised to disrupt the traditional grocery ecosystem, including neighbourhood Kirana stores, as per a report by Datum Intelligence.
The quick commerce ecosystem
Here’s a detailed snapshot of leading quick commerce players:
- Blinkit (formerly Grofers), launched in January 2022, operates in 40 cities with 791 dark stores. It processes around 1 million daily orders with an average order value (AOV) of Rs 660, showcasing its strong consumer base. Blinkit offers over 7,000 SKUs and relies on dark stores with areas between 2,000-3,000 sq. ft. The platform charges a modest Rs 4 for handling fees but does not have a loyalty program.
- Swiggy Instamart, which began operations in August 2020, has a broader reach, spanning 43 cities with 557 dark stores. With daily orders ranging between 800,000 and 1 million, it delivers a highly diverse SKU lineup of over 12,000 products. Its AOV stands at Rs 487, reflecting its appeal to budget-conscious shoppers. Swiggy’s loyalty program, “Swiggy One,” offers additional value to its customers.
- Zepto, the youngest among the leading players (launched April 2021), has established operations in 10+ cities with 350 dark stores. Processing 700,000 to 750,000 daily orders, it focuses on an AOV of ₹470, catering to the mid-range segment. Zepto Pass, its loyalty program, enhances customer retention.
- Flipkart Quick and Flipkart Minutes, both launched under Flipkart’s umbrella, have been slower to scale. Flipkart Quick operates in 35 cities with 400 dark stores, while Flipkart Minutes has only 40 dark stores across three cities. Their AOV ranges between Rs 300-Rs500, targeting price-sensitive consumers. Flipkart Quick features an expansive range of over 7,000 SKUs in compact dark stores of 1,800-2,000 sq. ft.
Market trends and consumer shifts
The Indian quick commerce market, valued at $6.1 billion in 2024, is projected to surge to $40 billion by 2030. This represents a 48% compound annual growth rate (CAGR) and positions quick commerce as the fastest-growing retail segment in the country.
The report notes a significant shift in consumer behaviour, with 46% of respondents reducing their spending at traditional Kirana stores in favour of quick commerce platforms. Speed, convenience, and competitive pricing have driven this transition. The elimination of intermediaries in the supply chain allows platforms to offer attractive pricing while maintaining high operational efficiency.
Additionally, 75% of online grocery buyers reported an increase in unplanned purchases in the past six months. These purchases, often triggered by the confidence of receiving items within minutes, have boosted platform revenues. The average order value on these platforms—ranging from Rs300 to Rs 660—far exceeds the typical spending at Kirana stores.
Challenges and Opportunities
While the quick commerce model is flourishing, its high dependency on dark store operations poses challenges. These compact warehouses, typically ranging between 1,800 and 4,000 sq. ft., require significant investments in logistics and inventory management. Furthermore, the model’s viability depends on balancing rapid delivery promises with operational costs.
Platforms such as Swiggy Instamart and Blinkit have sought to offset these challenges through loyalty programs and competitive handling fees. For instance, Blinkit charges just Rs4, while Flipkart Quick imposes a higher fee of Rs 6.
Future of quick commerce
The report underscores that quick commerce will capture approximately $1.28 billion of Kirana sales by 2024, accounting for 21% of total sales on these platforms. With expansion into categories beyond groceries—such as electronics, cosmetics, medicines, and pet supplies—the platforms are well-positioned to meet diverse consumer needs.
However, traditional Kirana stores still hold relevance, particularly in rural and semi-urban areas where quick commerce penetration remains limited. These stores may need to adapt by leveraging digital tools and partnerships to compete effectively.
