India’s markets are witnessing a significant transformation, primarily driven by the younger generation, i.e. Gen Z. Today’s youth no longer wait for two to three days to order goods; For them, prompt delivery has now become a status symbol. Due to this change, youth are now preferring quick commerce apps instead of traditional online shopping apps that deliver goods in 10 to 15 minutes. A study conducted by Meta revealed that 90% of people are aware of these apps and more than half have used them recently. Due to this youth trend, the country’s market is changing rapidly.
Nowadays youth do not want to wait long for anything due to their busy lifestyle. Earlier, in online shopping, it used to take two to three days for the goods to arrive, but now quick commerce apps complete it in a few minutes. Young people no longer plan and buy things in advance; They resort to these apps for their immediate needs, like feeling suddenly hungry or ordering last-minute items for a party. According to a report, 50% of new customers on platforms like BigBasket only use Quick Commerce, ordering 4 to 15 times a month.
Initially, these apps were used only for milk, bread and fresh fruits and vegetables, but now a variety of goods are available on apps like Blinkit, Swiggy Instamart and Zepto. Now makeup products, creams, mobile chargers, earphones, stationery, toys and clothes are also easily available on these apps. At present, the share of goods other than ration in sales has reached 15% to 20%. These platforms provide goods at 10% to 15% cheaper prices than local stores.
There is a huge network of companies behind these fast delivery services. These companies set up small warehouses, called dark stores, in different areas of cities. The valuation of companies like Blinkit has reached approximately $13 billion. These companies have computer systems that predict in advance which goods will be in high demand in which area at which time. Therefore, they keep the essential goods already ready in these small warehouses. As soon as customers place the order, the nearest delivery boy immediately comes out with the goods and delivers it on time.
This growth of quick commerce is no longer limited to just big cities, but people are also rapidly adopting it in Tier 2 cities like Visakhapatnam, Nagpur, Kochi, Jaipur and Lucknow. An average Indian family is spending 5% to 6% of its grocery expenditure on these quick commerce apps. Seeing the benefits in this sector, clothing and lifestyle brands are also entering this market. For example, Myntra has launched the ‘M-Now’ project to deliver clothes within two hours in Bengaluru. Similarly, companies like Zomato are also expanding their network to deliver food faster. It is clear from this competition that in future this fast delivery system will become an important part of the Indian economy.
