With increasing demand and efficiency, some brands have started witnessing significant revenue growth from quick commerce
New Delhi: For a 25-year-old corporate employee (who wished not to be named), quick commerce has been a saviour for her snacking needs. She emphasizes that snacking brands like GoZero, Open Secret, and Famley, which sell products in the average price range of Rs 80-Rs 200 have been convenient.
Another video journalist (who wished not to be named), adds that quick commerce is a real lifesaver. Disha regularly purchases fast-moving consumer goods (FMCG) products via quick commerce, spending an average of Rs 200 per day, and she is delighted.
Today, FMCG companies in India are highly optimistic about their performance in quick commerce sales, with many reporting multifold revenue, up to four times growth, and a good return on investment (ROI).
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 country’s fastest-growing retail segment as per a Datum Intelligence report.
Different brand representatives that IndiaRetailing spoke to agreed that this channel has become a key avenue for reaching consumers who need quick and last-minute purchases.
“The decision-making processes on these platforms take only 90–120 seconds, and the ticket size is relatively low compared to traditional marketplaces. While marketplaces focus on planned purchases, quick commerce addresses the instant needs of consumers, from last-minute grocery runs to quick essentials needed for surprise guests,” said Vikram Marwaha, Joint Managing Director (JMD) of DRRK Foods, an Amritsar-based food and beverage manufacturing company that sells basmati rice. “This shift illustrates how consumers are moving toward speed and convenience as preferences in their shopping behaviour.”
The brand recently expanded onto quick commerce platforms, and the response has been very promising.
Popularity Across Categories
For The Gourmet Jar, a Noida-based food and beverage brand that sells products like infused honey, ketchup, sauces, dips, and spreads, about 60% of its revenue comes from quick commerce.
“This has increased from about a year ago when it was about 45%. The quick commerce channel overall has seen almost 100% year-on-year growth for us,” said Apeksha Jain, founder of The Gourmet Jar.
However, she also notes that the approach to marketplaces and quick commerce is always different.
“The dynamics of quick commerce are very different from marketplaces, as the fulfilment isn’t direct. We have to ensure that the pipeline is well-stocked to avoid running out of inventory. One of the challenges in quick commerce is that it’s highly discount-driven. It’s easy for brands to undercut each other by offering higher discounts. So, you have to constantly monitor the competition and tweak your offers,” she added.
For Zoff, a Raipur-based spice brand, 30% of online sales come from quick commerce. “Since last year, we have grown by 400% in the quick-commerce space,” said Akash Agrawalla, Co-founder, of Zoff.
Similarly, Plush, a Tamil Nadu-based personal care brand, has clocked 50% of sales from quick commerce platforms, representing a significant growth of 200% over the past year.
“This surge reflects the rising demand for instant access to personal care products and our efforts to prioritize convenience and speed for our customers. Quick commerce has become a key driver of our expansion and customer reach,” said Prince Kapoor, Co-founder, of Plush.
Growing Relevance Over Marketplaces
With increasing demand and efficiency, some brands have also started witnessing significant revenue growth from quick commerce.
“The revenue generated from quick commerce is multifold compared to marketplaces. Even in terms of return on ad spends (ROAS), quick commerce is better than marketplaces,” added Apeksha of The Gourmet Jar. “There’s a higher emphasis on quick commerce currently, and I foresee that being the case for at least the next couple of years. We aim to be wherever our consumer is shopping.”
Selling through quick commerce platforms differs from traditional marketplaces in terms of speed, purchase intent, and inventory management. Quick commerce thrives on impulse purchases and immediate needs, requiring efficient supply chain operations and precise inventory placement to ensure instant availability. Traditional marketplaces, on the other hand, cater to more considered buying decisions with a broader product catalogue and longer discovery cycles.
“In categories like FMCG, larger and premium products are still predominantly sold on traditional marketplaces, as consumers have more time to browse and make informed decisions,” said Marwaha of DRRK Foods. “However, with major players like Amazon and Flipkart expanding their quick commerce ventures, we believe this channel will evolve. We expect to see more significant revenue growth in the future as the market matures.”
For Zoff, while a major portion of its business currently comes through e-commerce, the company is optimistic and believes that quick commerce will surpass other channels in the next two years.
As the industry evolves, these FMCG brands foresee a hybrid strategy as the best approach. Quick commerce excels in providing faster purchases, which is crucial for certain categories. On the other hand, traditional marketplaces remain valuable for premium products and more considered purchases.
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.
The report by Datum 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
