A new wave of ‘enabler’ startups is reshaping India’s fast-growing quick commerce (Qcomm) ecosystem. This transformation is driven by the rapid expansion of hyperlocal startups, alongside the emergence of new companies, established e-commerce players,͏͏ and͏͏ innovative͏͏ brands͏͏ all͏͏ striving͏͏ to͏͏ reduce͏͏ delivery͏͏ times.
Investment͏͏ Opportunities͏͏ in͏͏ a͏͏ Growing͏͏ Sector:
Many͏͏ early-stage͏͏ venture͏͏ firms͏͏ are͏͏ actively͏͏ exploring͏͏ investment͏͏ opportunities͏͏ in͏͏ this͏͏ rapidly͏͏ growing͏͏ sector.
“There͏͏ are͏͏ certainly͏͏ overlaps͏͏ with͏͏ e-commerce,͏͏ and͏͏ some͏͏ existing͏͏ enabling͏͏ technologies͏͏ can͏͏ support͏͏ quick͏͏ commerce.͏͏ However,͏͏ quick͏͏ commerce͏͏ often͏͏ needs͏͏ its͏͏ own͏͏ unique͏͏ enablers,”͏͏ said͏͏ Kunal͏͏ Bahl,͏͏ cofounder͏͏ of͏͏ Titan͏͏ Capital͏͏ and͏͏ AceVector͏͏ Group,͏͏ which͏͏ operates͏͏ Snapdeal͏͏ and͏͏ Unicommerce.
Continue͏͏ Exploring:͏͏ Quick commerce set͏͏ to͏͏ drive͏͏ India’s͏͏ gross͏͏ order͏͏ value͏͏ to͏͏ USD͏͏ 10͏͏ Bn͏͏ by͏͏ FY26
Emerging͏͏ Platforms͏͏ and͏͏ Market͏͏ Dynamics:
Bahl͏͏ mentioned͏͏ that͏͏ Titan͏͏ Capital͏͏ has͏͏ invested͏͏ in͏͏ Blitz,͏͏ a͏͏ startup͏͏ developing͏͏ a͏͏ third-party͏͏ dark͏͏ store͏͏ network͏͏ to͏͏ aid͏͏ brands͏͏ in͏͏ quick͏͏ commerce.͏͏ The͏͏ firm͏͏ has͏͏ also͏͏ assessed͏͏ startups͏͏ in͏͏ areas͏͏ like͏͏ solutions͏͏ enabling͏͏ order͏͏ management͏͏ across͏͏ various͏͏ quick͏͏ commerce͏͏ platforms.
Gurugram-based͏͏ startup͏͏ Zippee,͏͏ which͏͏ recently͏͏ secured͏͏ funding,͏͏ facilitates͏͏ two-hour͏͏ and͏͏ same-day͏͏ deliveries͏͏ for͏͏ over͏͏ 140͏͏ established͏͏ and͏͏ new-age͏͏ brands͏͏ like͏͏ Frido,͏͏ Ultrahuman,͏͏ and͏͏ Haldiram’s.͏͏ The͏͏ company͏͏ provides͏͏ access͏͏ to͏͏ dark͏͏ stores͏͏ to͏͏ fulfil͏͏ orders͏͏ in͏͏ cities͏͏ such͏͏ as͏͏ New͏͏ Delhi,͏͏ Chennai,͏͏ Ludhiana,͏͏ and͏͏ Pune.
Other͏͏ emerging͏͏ platforms͏͏ are͏͏ beginning͏͏ to͏͏ cater͏͏ to͏͏ quick͏͏ commerce͏͏ startups,͏͏ which͏͏ experts͏͏ believe͏͏ could͏͏ present͏͏ challenges.͏͏ Bahl͏͏ noted͏͏ that͏͏ companies͏͏ developing͏͏ solutions͏͏ for͏͏ quick͏͏ commerce͏͏ players͏͏ like͏͏ Blinkit͏͏ and͏͏ Zepto͏͏ may͏͏ encounter͏͏ difficulties͏͏ due͏͏ to͏͏ their͏͏ tech-native͏͏ nature.͏͏ He͏͏ added͏͏ that͏͏ “the͏͏ real͏͏ opportunity͏͏ lies͏͏ in͏͏ creating͏͏ products͏͏ for͏͏ brands͏͏ now͏͏ handling͏͏ orders͏͏ across͏͏ multiple͏͏ distribution͏͏ channels.”
A͏͏ senior͏͏ executive͏͏ at͏͏ one͏͏ of͏͏ the͏͏ largest͏͏ quick͏͏ commerce͏͏ platforms͏͏ stated͏͏ that͏͏ although͏͏ new͏͏ entrants͏͏ are͏͏ providing͏͏ various͏͏ services͏͏ like͏͏ Software͏͏ as͏͏ a͏͏ Service͏͏ (SaaS),͏͏ logistics,͏͏ and͏͏ real͏͏ estate͏͏ solutions,͏͏ the͏͏ limited͏͏ addressable͏͏ market͏͏ of͏͏ 8-9͏͏ major͏͏ companies͏͏ could͏͏ pose͏͏ a͏͏ challenge͏͏ in͏͏ the͏͏ future.
Nitin͏͏ Sharma,͏͏ a͏͏ partner͏͏ at͏͏ early-stage͏͏ fund͏͏ Antler,͏͏ provided͏͏ a͏͏ nuanced͏͏ perspective͏͏ on͏͏ the͏͏ rise͏͏ of͏͏ these͏͏ ventures.͏͏ “There͏͏ are͏͏ two͏͏ contrasting͏͏ angles͏͏ to͏͏ consider͏͏ in͏͏ this͏͏ space,”͏͏ he͏͏ explained.͏͏ “On͏͏ one͏͏ hand,͏͏ the͏͏ growth͏͏ of͏͏ quick͏͏ commerce͏͏ may͏͏ soon͏͏ necessitate͏͏ its͏͏ own͏͏ ‘enabler’͏͏ ecosystem͏͏ of͏͏ startups.͏͏ These͏͏ startups͏͏ will͏͏ assist͏͏ large͏͏ platforms͏͏ in͏͏ scaling͏͏ further͏͏ in͏͏ areas͏͏ like͏͏ inventory͏͏ management,͏͏ dark͏͏ store͏͏ operations,͏͏ and͏͏ last-mile͏͏ logistics.”
However,͏͏ Sharma͏͏ also͏͏ recognized͏͏ potential͏͏ challenges.͏͏ “The͏͏ future͏͏ of͏͏ quick͏͏ commerce͏͏ in͏͏ non-metro͏͏ and͏͏ tier͏͏ I͏͏ markets͏͏ remains͏͏ uncertain.͏͏ Furthermore,͏͏ local͏͏ kiranas͏͏ and͏͏ general͏͏ trade͏͏ stores͏͏ will͏͏ need͏͏ to͏͏ adapt͏͏ to͏͏ retain͏͏ their͏͏ more͏͏ profitable͏͏ customers.”
Take͏͏ Mumbai-based͏͏ Dava͏͏ Ninja,͏͏ which͏͏ launched͏͏ in͏͏ April͏͏ to͏͏ facilitate͏͏ 60-minute͏͏ medicine͏͏ deliveries͏͏ for͏͏ pharmacies.͏͏ Although͏͏ it͏͏ lacks͏͏ its͏͏ own͏͏ delivery͏͏ fleet,͏͏ the͏͏ startup͏͏ helps͏͏ local͏͏ pharmacies͏͏ digitise͏͏ by͏͏ offering͏͏ an͏͏ app-based͏͏ ordering͏͏ service͏͏ that͏͏ aggregates͏͏ pharmacies͏͏ in͏͏ a͏͏ locality͏͏ and͏͏ routes͏͏ orders͏͏ based͏͏ on͏͏ location͏͏ and͏͏ inventory͏͏ data.͏͏ Currently,͏͏ its͏͏ operations͏͏ are͏͏ in͏͏ the͏͏ early͏͏ stages,͏͏ partnering͏͏ with͏͏ 20͏͏ pharmacies.
It’s͏͏ important͏͏ to͏͏ note͏͏ that͏͏ companies͏͏ supporting͏͏ the͏͏ digitisation͏͏ of͏͏ kirana͏͏ stores͏͏ have͏͏ existed͏͏ since͏͏ the͏͏ pandemic.
Vaibhav͏͏ Domkundwar,͏͏ CEO͏͏ of͏͏ Better͏͏ Capital,͏͏ which͏͏ has͏͏ invested͏͏ in͏͏ startups͏͏ like͏͏ Slice,͏͏ M2P,͏͏ and͏͏ Teachmint,͏͏ stated͏͏ that͏͏ his͏͏ fund͏͏ started͏͏ exploring͏͏ opportunities͏͏ in͏͏ the͏͏ fast͏͏ delivery͏͏ sector͏͏ three͏͏ years͏͏ ago͏͏ with͏͏ its͏͏ investment͏͏ in͏͏ Bengaluru-based͏͏ Yulu,͏͏ a͏͏ provider͏͏ of͏͏ low-speed͏͏ electric͏͏ two-wheeler͏͏ services.
“Over͏͏ the͏͏ past͏͏ 18͏͏ months,͏͏ it͏͏ became͏͏ evident͏͏ that͏͏ quick͏͏ commerce͏͏ has͏͏ significant͏͏ potential͏͏ to͏͏ thrive͏͏ in͏͏ India,͏͏ despite͏͏ its͏͏ challenges͏͏ in͏͏ many͏͏ other͏͏ global͏͏ markets.͏͏ Once͏͏ we͏͏ recognised͏͏ that͏͏ quick͏͏ commerce͏͏ is͏͏ here͏͏ to͏͏ stay,͏͏ we͏͏ shifted͏͏ our͏͏ focus͏͏ to͏͏ ‘what͏͏ else͏͏ will͏͏ be͏͏ built͏͏ around͏͏ it’͏͏ and͏͏ identified͏͏ vertical͏͏ quick͏͏ commerce͏͏ as͏͏ a͏͏ promising͏͏ opportunity,”͏͏ said͏͏ Domkundwar.
To͏͏ capitalise͏͏ on͏͏ the͏͏ trend,͏͏ Better͏͏ Capital͏͏ led͏͏ a͏͏ $300,000͏͏ funding͏͏ round͏͏ for͏͏ Slikk,͏͏ a͏͏ Gen͏͏ Z-focused͏͏ app͏͏ that͏͏ provides͏͏ 60-minute͏͏ clothing͏͏ delivery.
E-commerce Giants͏͏ Adapting͏͏ to͏͏ Quick Commerce:
As͏͏ quick͏͏ commerce͏͏ companies͏͏ broaden͏͏ their͏͏ product͏͏ offerings͏͏ to͏͏ include͏͏ luggage,͏͏ fashion,͏͏ toys,͏͏ and͏͏ electronics,͏͏ major͏͏ e-commerce͏͏ firms͏͏ are͏͏ speeding͏͏ up͏͏ their͏͏ delivery͏͏ timelines͏͏ to͏͏ meet͏͏ changing͏͏ consumer͏͏ expectations.
For͏͏ instance,͏͏ beauty͏͏ retailer͏͏ Nykaa͏͏ has͏͏ enhanced͏͏ its͏͏ express͏͏ delivery͏͏ service͏͏ in͏͏ major͏͏ cities,͏͏ while͏͏ Amazon͏͏ is͏͏ expanding͏͏ its͏͏ same-day͏͏ delivery͏͏ network͏͏ to͏͏ expedite͏͏ orders͏͏ for͏͏ Prime͏͏ members.͏͏ Tata-owned͏͏ BigBasket͏͏ plans͏͏ to͏͏ fully͏͏ transition͏͏ to͏͏ 10–30͏͏ minute͏͏ delivery,͏͏ as͏͏ reported͏͏ in͏͏ August,͏͏ and͏͏ Flipkart͏͏ launched͏͏ its͏͏ quick͏͏ commerce͏͏ service,͏͏ ‘Minutes,’͏͏ in͏͏ Bengaluru͏͏ the͏͏ same͏͏ month.
Established͏͏ e-commerce͏͏ enablers͏͏ like͏͏ Unicommerce͏͏ have͏͏ developed͏͏ capabilities͏͏ that͏͏ allow͏͏ brands͏͏ to͏͏ streamline͏͏ selling͏͏ through͏͏ quick͏͏ commerce.͏͏ Third-party͏͏ logistics͏͏ providers͏͏ such͏͏ as͏͏ Delhivery͏͏ and͏͏ Xpressbees͏͏ are͏͏ also͏͏ broadening͏͏ their͏͏ services͏͏ to͏͏ support͏͏ quick͏͏ commerce͏͏ startups,͏͏ as͏͏ reported͏͏ in͏͏ June.͏͏ This͏͏ trend͏͏ will͏͏ heighten͏͏ competition͏͏ in͏͏ the͏͏ market͏͏ for͏͏ new͏͏ entrants.
