- Blinkit’s valuation soars to $13 billion, surpassing Zomato’s core food business.
- Goldman Sachs forecasts Blinkit’s gross order value to grow at 53% CAGR.
- India’s unorganized grocery sector fuels quick commerce boom, driving Blinkit’s growth.
Blinkit’s leaving the competition in a blur
Goldman Sachs estimates that Zomato’s quick commerce arm Blinkit now boasts an implied value of ₹119 ($1.43) per share or a whopping $13 billion, eclipsing the core food delivery business valued at ₹98 per share.
Blinkit’s valuation surge is fueled by the robust growth potential of India’s burgeoning quick commerce market.
Goldman forecasts Blinkit’s gross order value to grow at a staggering 53% CAGR between FY24 and FY27, outpacing the overall online grocery sector.
Modernizing India’s retail landscape
The investment bank cites India’s vast unorganized grocery sector, high urban density, and favorable delivery cost-to-order value ratios as key drivers propelling quick commerce’s growth. These factors enable Blinkit to offer competitive prices and swift delivery, driving customer adoption.
According to Goldman, Blinkit is expected to achieve EBITDA breakeven by Q2 2024 and generate higher EBITDA margins than Zomato’s food delivery business by FY30.
The surge in Blinkit’s valuation could have ripple effects on rivals like Swiggy and Zepto as they vie for a slice of India’s quick commerce pie.
