New Delhi [India]: Quick commerce has surged to account for 70-75% of total e-grocery orders in India, marking a significant rise from 35% in 2022, according to a recent report by Bain & Company.
The report attributes this growth to strong execution, rising incomes, an expanded product range, and the increasing demand for convenience.
“Robust customer traction, Quick commerce already accounts for 70-75% of e-grocery orders (vs. approx. 35% in 2022),” the report stated.
Industry Shift and Competition
The boom in quick commerce has intensified competition, with major players such as Flipkart Minutes, Nykaa, and Myntra entering the space. Emerging platforms like Swish and Slikk have also joined the race, further driving innovation.
To meet rising consumer demand, companies are optimizing logistics by setting up ‘back’ dark stores — centralized hubs stocking an additional 3,000-4,000 products — connected to multiple ‘forward’ dark stores that cater to local demand.
Impact on D2C Brands
The report highlights that quick commerce is accelerating growth for Direct-to-Consumer (D2C) brands. By leveraging these platforms for targeted marketing and improved market reach, D2C startups are dedicating specific budgets to boost visibility and sales.
Profitability on the Rise
The report outlined several factors contributing to improved profitability in the quick commerce sector:
✅ 40% rise in Average Order Value (AOV) between FY23 and FY25 due to expanded product categories and higher free delivery thresholds.
✅ Increased sales of high-margin D2C products and new revenue streams like advertising have boosted gross margins by 3-4 percentage points.
✅ Enhanced operational efficiency, with more dark stores now processing over 1,000 orders per day, has improved cost management.
✅ Logistical densification has reduced per-shipment costs by 25% in 2024 compared to 2023.
With these strategic advancements, quick commerce is poised to maintain its dominance and continue reshaping India’s online grocery market.