Quick Commerce Revolution: Driving FMCG Shift in Urban India

Leading FMCG firms have witnessed a significant increase in the share of quick commerce within their e-commerce sales. As urban consumers prefer hyperlocal delivery, quick commerce is reshaping last-mile logistics. With growing internet penetration, online platforms are becoming a preferred channel for purchasing FMCG products.

Leading FMCG firms are experiencing a substantial rise in the share of quick commerce within their e-commerce sales, as highlighted by a recent joint report from Deloitte and FICCI. This surge in quick commerce, also known as hyperlocal delivery, is now touching nearly 35% of online sales.

The report, titled 'SPURring growth in FMCG, retail and e-commerce sectors in India,' reveals that consumers are increasingly choosing quick commerce channels for food and beverages, with a 230% growth in the segment from 2021 to 2023. This trend is reshaping traditional online grocery channels like slotted and next-day deliveries.

The increase in quick commerce demand, especially in urban areas, is anticipated to continue, as it meets the evolving consumption needs of Indian consumers. With internet penetration expected to reach 907 million users by 2023, online platforms are now a significant part of FMCG sales, driven by convenience and competitive pricing.

(With inputs from agencies.)