Amazon India is gearing up to launch its quick commerce delivery service, code-named Tez, by late December or early next year.
Amazon eyes global debut in q-commerce with Tez
The company plans to start the service with groceries and daily essentials. With the launch of Tez, Amazon will mark its global debut in the quick commerce segment.
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Reportedly, the initiative will be discussed during Amazon India’s next monthly review in the first week of December, ahead of its annual Smbhav event. The company is actively working with internal and external stakeholders on the high-priority quick commerce project, sources told ET. The firm is also making fresh hires for this project. Amazon’s India grocery and essentials team described the project as a ‘greenfield, grounds-up initiative for an upcoming and fast-growing ecommerce space in India’, according to a job post.
For now, the final name for the quick commerce service is yet to be decided, sources added. According to ET, a source said, “They (Amazon) want to launch it sooner than the end of first quarter in India. Quick commerce is where all the action is if you are a meaningful consumer internet platform. They are also following the same model as others—setting up dark stores, figuring out the details of stock-keeping units (SKUs) and categories, and putting logistics infrastructure in place.”
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Amazon prepares for grocery & essential delivery with Fresh
Further, the e-commerce major is preparing for a big launch by improving its grocery and essentials delivery service, Amazon Fresh. They are now focusing on delivering orders within 20 to 30 minutes. Previously in 2024, Amazon Fresh expanded to 130 cities, including Ambala, Aurangabad, Hoshiarpur, Dharwad, and Una, which is a huge increase from about 50 cities last year.
Meanwhile, the development comes at a time when the quick commerce segment has seen rapid growth in popularity over the last few years. The evidence shows that early players like Blinkit, Swiggy Instamart, and Zepto earned over $1 billion in revenue in FY24. A report also estimates that India’s quick commerce industry grew by 280% in the last two years. Amazon’s competitor Flipkart launched its ‘Minutes’ service. Tata‘s BigBasket is switching to a quick commerce-only model and will soon shift from scheduled deliveries to on-demand service.
