Mumbai: India’s quick commerce market is all set to astound us with a 15X growth by 2025, reaching a market size of close to $5.5 Billion, leading other markets (including China) in terms of quick commerce adoption, said homegrown management consulting firm RedSeer.
Quick commerce is becoming the next major segment as players realize the massive potential it has. Emerging as one of the fastest growing e-commerce models, quick commerce is fundamentally changing consumer purchase behavior and the grocery retail market on the whole by providing faster delivery options (in as little as ten minutes) as well as a more convenience-driven shopping experience.
The report continued to shed light on the fact that this niche segment also boasts of a significantly higher NPS than eGrocery incumbents, suggesting that their customers are more likely to recommend them to a friend. One reason for this difference is that quick commerce platforms provide a faster shopping experience. They load online shopping carts faster, have fewer steps required to buy products, and provide a better shopping cart experience overall.
Quick commerce is satisfying the latent needs of its customers in a way that traditional commerce never could, the report said. It gives people exactly what they want, when they want it, without forcing them to wait days or weeks for delivery. The convenience and speed of quick commerce is a key reason why customers love it and why the segment is only bound to soar upwards.
The Total Addressable Market for quick commerce in India stands at ~45 Bn, and Metro & Tier 1 cities drive this market on the back of mid-high-income households. Over the last two years, quick commerce has seen a significant uptake in urban areas, with major cities such as Bangalore, Chennai, and New Delhi enjoying most of the offerings.
During a recently conducted event by RedSeer, Ground Zero 6.0, Abhishek Gupta, Engagement Manager, RedSeer, said “India has laid the foundation for a well-positioned market for quick commerce adoption. A large pie is at stake — ~$45 Bn TAM indicates very large growth potential. The growing online population and an increasing preference for online shopping over brick-and-mortar shopping is enabling this market to grow rapidly”.
