- Quick commerce startups thrive in India, challenging e-commerce giants.
- Analysts and investors bet big on 10-minute delivery.
- India’s unique market dynamics fuel quick commerce growth.
India’s love affair with 10-minute deliveries
Quick commerce startups are thriving in India, even as they struggle in other parts of the world. Urban consumers are embracing the convenience of having groceries delivered to their doorstep in just 10 minutes.
Blinkit, Zepto, and Swiggy’s Instamart are leading the charge, already charting a path to profitability.
Analysts and investors bet big on quick commerce
Analysts are intrigued by the potential of 10-minute deliveries to disrupt e-commerce. Goldman Sachs estimates that Blinkit, acquired by Zomato in 2022 for less than $600 million, is already more valuable than its decacorn food delivery parent firm.
Investors are also showing strong interest in the sector, with Zepto finalizing new funding at a valuation exceeding $3 billion.
India’s rapid urbanization makes it a prime target for quick commerce. The industry’s unique operational model and infrastructure needs could limit its long-term growth and profitability.
However, the impact of quick commerce is likely to be felt more acutely by India’s e-commerce giants, as the country’s e-commerce sales stood at $60 billion to $65 billion last year, less than half of the sales generated by e-commerce firms on China’s last Singles Day.
