The 10-Minute Delivery Phenomenon

Last year, Indian consumers embraced the convenience of quick commerce platforms, from stocking up on daily essentials to purchasing the latest electronics. As we move into 2025, the trend of 10-minute deliveries is set to continue, with companies expanding their offerings to cater to the growing demand for speed and convenience.

Challenges Ahead

Despite the booming popularity, companies face significant challenges. The aggressive expansion into smaller cities may not yield high returns on investment, putting pressure on profitability. Additionally, regulatory scrutiny is increasing, with trade groups calling for investigations into alleged violations of FDI norms and the impact on traditional kirana stores.

Industry Insights

Analysts predict a shift in consumer purchasing behavior, with a growing preference for quick commerce platforms for electronics and appliances. This shift has already led to an increase in average order values, signaling a promising future for the sector. However, as companies like Zepto venture into new territories like food delivery, the competition intensifies, and the race for market dominance continues.

Looking Forward

The quick commerce sector is on an upward trajectory, with sales expected to surpass $6 billion by 2024. Companies are gearing up to meet this demand by expanding their product range and setting up larger dark stores in tier one and two cities. Yet, as the industry evolves, profitability remains a critical challenge, especially in smaller cities where consumer spending patterns differ significantly from those in metros.