India's Quick-Commerce Sector Sees Unprecedented Growth

Quick commerce is experiencing a massive surge in India, with consumers spending a staggering Rs 64,000 crore on platforms like Blinkit and Instamart in FY25. This marks more than double the Rs 30,000 crore recorded in the previous year, as per a recent report by CareEdge Advisory.

Future Projections and Revenue Growth

The gross order value (GOV) is expected to more than triple by FY28, reaching an impressive Rs 2 lakh crore. Revenue for these platforms has also seen a significant jump, from Rs 450 crore in FY22 to Rs 10,500 crore in FY25, with estimates suggesting a rise to Rs 34,500 crore by FY28.

Driving Factors Behind the Boom

The increase in earnings is largely due to higher platform fees, leading to better revenue realization and a sharp uptick in overall GOV. Quick-commerce firms are now focusing on profitability through strategies like advertising, paid subscriptions, and tech-driven inventory optimization.

Industry Insights and Consumer Behavior

Despite its rapid growth, the quick-commerce industry still accounts for only 1% of India's overall grocery demand. However, changing consumer preferences towards convenience are expected to drive further expansion. With over 270 million digital buyers in 2024, India's e-commerce market is poised for continued growth.