Not long ago, the idea of delivering goods in 10 minutes seemed implausible. Sceptics doubted its necessity, but as some players ventured into this uncharted territory, they inadvertently set a new standard for the Indian consumer. Suddenly, 10-minute deliveries became the norm for everything—groceries, iPhones, party decorations, flowers, juicers, and even bedsheets.

Sriharsha Majety, CEO of Swiggy, captured the zeitgeist when he said, “Consumer expectations keep expanding, higher and higher. Wanting a lot more things in 10 minutes, even food. Most searched with less selection was bedsheets. You would wonder why people want bedsheets in 10 minutes, but they do.”

Indian consumers embraced quick commerce with unparalleled enthusiasm. Blinkit delivered nearly 93 million orders in just the second quarter of 2024, while Swiggy’s Instamart fulfilled nearly 70 million orders. Unsurprisingly, quick commerce businesses like Blinkit and Instamart grew in triple digits, outpacing their food delivery counterparts by nearly six times.

Also read: Ola pilots 10-minute food delivery service in Bengaluru

The remarkable growth of quick commerce drew significant attention from investors. Zomato’s stock soared by 137% between January and mid-December 2024. Swiggy’s ₹11,300 crore IPO in November was subscribed 3.6 times, listing at an 8% premium despite market uncertainties. By mid-December, its share price had risen 52% from its lows, with analysts projecting further growth.

Zepto emerged as a funding magnet, securing $1.35 billion in 2024, making it the highest-funded startup in India. Processing over 7,00,000 orders daily, the startup showcased the immense potential of the quick commerce model.

The success of Blinkit, Instamart, and Zepto spurred other players to enter the quick commerce space. Flipkart launched Minutes, Myntra introduced M-Now, Amazon began testing Tez, and Bigbasket pivoted to quick commerce.

Vipul Parekh, Co-founder of Bigbasket, remarked, “Quick commerce grew 100% last year; this year, it will grow by 50-70% and is likely to grow at 50% CAGR in the next three years. All quick commerce players, including us, are trying to experiment and see what categories we can add.”

Albinder Dhindsa, Founder of Blinkit, welcomed the competition. “Competition is a good thing. More innovation happens when there is competition. It’s a very large area, should be able to support several players, and success depends on execution.”

Also read: Myntra launches 30-minute delivery with M-Now

While the quick commerce segment has enjoyed explosive growth, it now faces critical challenges in 2025. Profitability remains elusive for most players. Although Blinkit, Instamart, and Zepto are heading in the right direction, similar models have failed elsewhere. US-based apps like Jokr, Fridge No More, and Buyk shuttered operations despite operating in large markets.

Zepto Co-founder Aadit Palicha warned against unsustainable practices, emphasising, “Randomly discounting – it’s a death knell. It’s the worst way to get market share because it’s not long term and can’t sustain it when you pull it.”

The quick commerce frontier is expanding. Companies are now experimenting with delivering food and beverages within 10 minutes, alongside innovations like quick returns, EMIs, and pay-later options to broaden appeal. However, success will hinge on balancing customer expectations with operational efficiency and cost control.

As the industry enters 2025, the pressure is on companies to scale effectively, maintain profitability, and continue delighting an increasingly impatient and demanding consumer base. The year ahead will determine whether quick commerce cements itself as a viable long-term model or succumbs to the pitfalls of rapid, unsustainable growth.

Also read: Flipkart to deliver medicines in 10 minutes, expand quick commerce service