India's Quick Commerce Revolution: Fast Growth Outpaces Traditional Retail

Quick commerce in India is set to expand by 75-100% annually, outstripping traditional retail's slower growth. A Bernstein report highlights its advantages in proximity, pricing, and product selection. By 2025, quick commerce is projected to dominate, especially in top cities, drastically impacting consumer goods and e-commerce sectors.

Quick commerce in India is experiencing an explosive growth trajectory, anticipated to expand between 75 to 100 percent year-on-year, significantly surpassing the growth rate of traditional retail, according to a recent report by Bernstein.

Providing key insights, the report emphasized the strengths of quick commerce, which include better proximity, competitive pricing, and diverse product selection, driving its acceleration beyond other internet-based retail avenues.

The quick commerce sector, expected to become a dominant force by 2025, is capturing a substantial portion of India's USD 250 billion grocery market, particularly within the nation's top 40 to 50 cities.

Major consumer goods companies see it as a fast-growing sales channel, with current e-commerce contributing roughly 8-10 percent to total FMCG revenues and quick commerce gaining significant momentum. This trend could redefine the landscape as traditional platforms like Amazon and Flipkart step into the quick commerce arena.

(With inputs from agencies.)