India’s Quick Commerce Boom: A Step Closer to Becoming a Developed Nation?

India’s quick commerce—popularly known as “q-commerce”—has been experiencing exponential growth, soaring from $300 million in 2022 to $7.1 billion by fiscal year 2025, a 24-fold increase in gross order value, and is projected to reach $35 billion by 2030, marking a transformative shift in consumer retail. The sector has emerged as a key driver of India’s economic growth. This is shifting consumers’ purchasing habits, increasing reliance on online platforms for daily essentials. This shift is not only redefining retail in India, but also influencing global market trends, setting new benchmarks for convenience, speed, and digital-first commerce.

• Zepto: The online shopping and 10-minute delivery service Zepto, founded in 2021, has over 250 hyperlocal “dark stores”—distribution centers for online shopping—across 10 metropolitan areas in India and has a catalog of more than 45,000 products. Holding a 29% market share, Zepto raised over $1 billion in five months (including a funding round of $350 million in November), maintaining its valuation at $5 billion. The company reported revenues of $543 million for the fiscal year ending March 31, 2024 (100% growth year-over-year). Zepto has contributed to job creation in the sector with a workforce of approximately 5,000 employees as of January 31.
• Blinkit: Established in 2013, Blinkit, formerly known as Grofers, rebranded in 2021 to emphasize its commitment to rapid grocery deliveries, aiming to fulfill orders within 10 minutes. By November 2021, Blinkit was processing approximately 125,000 orders daily, operating across more than 30 cities in India, supported by a network of dark stores and larger fulfillment centers. In 2022, Blinkit was acquired by Zomato (NSE: ZOMATO) for $568 million in an all-stock deal, reflecting its substantial market presence. In the first quarter of fiscal year 2025, the company reported revenues of $113 million—a 2.4-fold increase year-over-year. It currently holds 46% of India’s quick commerce sector and has a workforce of approximately 7,000 as of 2023.
• Swiggy Instamart: In 2020, the food delivery company Swiggy [NSE: SWIGGY] launched Swiggy Instamart, delivering daily essentials within 15 to 30 minutes. Leveraging Swiggy’s logistics network and technological infrastructure, Instamart captured a 26% market share. Swiggy’s quick-commerce arm has contributed to the company’s growth, culminating in a $1.4 billion initial public offering in November. In the third quarter of fiscal year 2025, the quick commerce segment reported $70 million in revenue (113% growth year-over-year). This surge was driven by increased order frequency and the expansion of dark stores, reflecting a growing consumer shift toward rapid grocery delivery services. Instamart’s operations have also generated employment of approximately 5,500 people as of 2024.

Challenges India quick commerce sector is facing

Despite rapid growth, the quick-commerce model faces challenges in achieving profitability, particularly beyond major urban centers. The entry of large e-commerce platforms like Flipkart, Amazon, and Reliance into the quick-commerce space intensifies competition, potentially impacting the market share of existing players. Industry experts express concerns over the long-term viability of the quick-commerce boom, with some labeling it a “passing fad” dependent on continuous venture capital funding.

But it is impacting global markets. Q-commerce is not just a retail evolution; it is an economic indicator of an emerging market transitioning toward a more developed economy. The rapid growth of players like Zepto, Getir (Turkey), Rappi (Colombia), and Gojek (Indonesia) highlights key economic shifts in these regions:

• Developed economies have historically moved toward service-oriented and time-saving industries where people value efficiency over mere affordability. Rising disposable incomes signal improved purchasing power and demonstrate consumer-centric market evolution.
• Q-commerce fuels job opportunities in urban logistics, warehousing, AI-driven analytics, and customer service. It also formalizes gig economy work, similar to trends in Western economies.
• Smartphone penetration, digital wallets, and fintech innovations have allowed these markets to leapfrog traditional retail models. Higher urban density and fast-paced living are driving demand for instant services, mirroring trends in developed economies.
• Investors view the success of q-commerce as an indicator of a country’s economic potential, ease of doing business, and consumer-driven growth, leading to higher foreign direct investment.

What it means for developed nations:

• Emerging markets are leading retail innovations: Unlike traditional “follow the West” models, countries like India, Turkey, and Indonesia are setting new global retail trends. Due to the shift in retail competitive global markets, Amazon, Walmart, and Alibaba are investing in ultra-fast delivery to keep up with expectations.
• Cross-border trade is also impacted: Faster local supply chains mean less dependency on slow international shipments, leading to redefining supply chains and logistics. For example, in 2021, Delhivery, an Indian logistics and supply chain services company, entered a strategic alliance with FedEx Express, aiming to improve speed, efficiency, and access for customers and enhance cross-border trade potential.

Emerging markets are no longer just adapting to global trends; they are actively shaping them. India’s rapid rise in quick commerce illustrates how developing economies are redefining global supply chains and influencing retail innovation, logistics, and cross-border trade.

About the author

Nivisha Tated is a Class of 2025 student in the Samuel Curtis Johnson Graduate School of Management’s Executive MBA Metro NY program and an EMI Fellow. A seasoned product manager with experience in global market expansion, she excels at identifying market needs, strategic planning, and executing technology-driven product launches. She is particularly passionate about the intersection of policy and business and the evolving global political landscape’s impact on industries.

All views expressed in articles published on the Emerging Markets Institute webpage are those of the author(s) and should not be taken as reflecting the views of the Emerging Markets Institute.