Business News | India's Quick Commerce to Grow 75-100 Pc YoY, Will Outpace Traditional Retail: Bernstein Report
Get latest articles and stories on Business at LatestLY. The Quick commerce in India is set to grow at an impressive rate of 75-100 per cent year-on-year, significantly outpacing traditional retail, which is expected to grow at a much lower rate, says a report by Bernstein
New Delhi [India], February 22 (ANI): The Quick commerce in India is set to grow at an impressive rate of 75-100 per cent year-on-year, significantly outpacing traditional retail, which is expected to grow at a much lower rate, says a report by Bernstein
The report attributes this growth to quick commerce's advantages in proximity, pricing, and product selection.
It said "Quick commerce is uniquely positioned across Proximity, Pricing & Selection & will continue to grow at 75-100 per cent YoY vs retail at low teens".
The report indicated that quick commerce is advancing faster than other internet-based retail channels in India. By 2025, the sector is expected to further establish itself as a dominant force.
The top 40-50 cities in India collectively account for a grocery market worth around USD 250 billion, and quick commerce is well-positioned to capture a substantial share of this market.
It stated "2025 will see amplification of quick commerce vs other channels. Top 40 - 50 cities constitute approx. USD 250Bn of the overall grocery market".
The report also mentioned that the leading consumer goods companies are increasingly viewing quick commerce as an essential and fast-growing sales channel.
Currently, e-commerce contributes about 8-10 per cent of the total revenue for major FMCG companies. Within this, the report stated that the quick commerce has gained strong momentum.
In the financial year 2024, quick commerce accounted for approximately half of all e-commerce sales, which stood at 6.8 per cent of the total sales.
The report also mentioned that the Direct-to-consumer (D2C) brands have particularly thrived on quick commerce platforms. These platforms now feature a brand mix where more than 30 per cent of the offerings come from D2C or new-age brands.
It also added "we expect Quick commerce to continue leapfrog other channels (retail, E-com) with growth led by new categories & Tier 2 expansion".
The major players in India's quick commerce segment are Zomato, Big Basket, Zepto, Blinkit, and Swiggy Instamart. Traditional e-commerce giants like Amazon and Flipkart are also entering the quick commerce business through their platforms.
As quick commerce continues to evolve, it is expected to play a crucial role in shaping the future of retail in India, making shopping more convenient and accessible for consumers while offering brands a faster and more efficient sales channel. (ANI)
(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)