Zomato’s quick commerce unit, Blinkit, plans to expand its presence in smaller cities by opening more dark stores over the next year, according to CEO Deepinder Goyal.

Currently, 80% of Blinkit’s revenue comes from large cities, but the company sees potential for growth in smaller markets.

Albinder Dhindsa, CEO of Blinkit, said that heightened competition has led to greater customer awareness and adoption of quick commerce services.

However, this competitive landscape has also stalled margin expansion for the quarter.

Despite these challenges, customer retention rates have remained stable over the past two years, averaging between 42% and 44%.