The rise of online platforms has transformed consumer buying patterns, particularly in metro cities, where shoppers now prefer “stock-up” purchases over “top-up” buys, according to Kanaka Bhagwat, Head of e-commerce at NielsenIQ.
Q-commerce, e-commerce sees 30% surge in sales QoQ
In an interview with ET, Bhagwat revealed that quick commerce and e-commerce sales have surged 30% quarter-on-quarter over the last five quarters, driven by consumers seeking convenience and variety. “Quick commerce and ecommerce sales are in high gear, having grown 30% quarter-on-quarter over the last five quarters,” she said.
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Meanwhile, the sales volume of ready-to-eat foods has led the growth on quick-commerce channels, expanding 52% in the July-September quarter compared to the previous year. Other fast-growing categories include salty snacks and refined edible oils (41% each), biscuits (40%), and packaged atta (39%).
Nestle, ITC, Unilever and others reports double-digit growth
Major FMCG companies, including Nestle, ITC, Hindustan Unilever, Dabur, and Emami, have reported high double-digit growth on quick-commerce platforms like Zomato-owned Blinkit, Swiggy Instamart, Zepto, Big Basket‘s BBNow, and Flipkart Minutes. FMCG executives noted that consumers are now buying bulk packs of staples like rice, edible oils, and atta on these platforms, driven by convenience.
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Notably, the shift to e-commerce is pronounced in metro markets, where quick commerce and e-commerce contributed 85% to incremental sales in the quarter ended September 2024. “This dramatic shift in just one year highlights the growing dominance of ecommerce in the metro markets,” Bhagwat added.
While traditional trade remains dominant nationally, accounting for 85% of FMCG sales, urban markets are rapidly transitioning to quick commerce. This has prompted companies like Dabur and Nestle to adjust inventory in general trade channels.
