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India’s quick commerce sector accounted for over two-thirds of all e-grocery orders last year, with its total market share expanding nearly fivefold to $6-7 billion since 2022, according to a report by consultancy firm Bain & Company and Flipkart.
The sector, dominated by players such as Blinkit, Zepto, and Swiggy Instamart, also represented one-tenth of total e-retail spending in 2024, highlighting its rapid adoption among Indian consumers.
The study projects continued expansion for quick commerce, estimating annual growth of over 40% through 2030, as companies extend their reach across new product categories, geographies, and consumer segments.
"The dramatic rise of quick commerce—where deliveries are fulfilled in under 30 minutes—has been one of the most defining hallmarks of India's e-retail market over the last two years," the report stated.
With over 20 million online shoppers annually and a workforce exceeding 400,000, the industry is becoming a crucial driver of India’s e-commerce growth.
Beyond groceries: expanding product categories
While quick commerce originally focused on groceries, 15-20% of gross merchandise value (GMV) now comes from categories such as general merchandise, electronics, mobile phones, and apparel, indicating wider consumer adoption.
The report further said that India’s dense urban landscape, the proximity of low-rent dark stores, and a vast gig workforce have helped quick commerce scale faster than in other global markets.
However, the sector’s expansion beyond major metros remains a challenge, with the top six cities still accounting for the bulk of sales. The report suggests that for long-term profitability, quick commerce platforms must optimize supply chains, improve margins, and adapt their business models for smaller cities.
Intensifying competition and profitability concerns
The sector’s exponential growth has drawn interest from multiple players, including Flipkart Minutes, Myntra’s M-Now, BigBasket’s BB Now, and Amazon Tez, all of which have recently launched quick delivery services to compete with Blinkit and Zepto.
Despite the momentum, some analysts believe that the quick commerce boom may be short-lived. A recent report by Blume Ventures suggested that the sector could struggle to maintain its current pace of expansion, citing unit economics and sustainability challenges.
The Flipkart-Bain report also highlighted broader trends in India’s e-retail sector, noting that private consumption stress led to a slowdown in e-retail growth in 2024, dipping to 10-12% from a historical average of 20%. However, a recovery is expected by the festive season of 2025, with e-retail projected to surpass 18% annual growth over the next six years.
By 2030, India’s e-retail market is expected to reach $170-$190 billion in GMV, with one in ten retail dollars spent online, solidifying the country’s position as one of the world's largest digital commerce markets.