Behind India’s race to deliver everything, everywhere under 15 minutes

“I can put oil in my kadhai (pan), and then order potatoes to fry.”

This saying isn’t an exaggeration: With the resurgence of quick commerce in the country, companies are battling to deliver goods to consumers within minutes.

One of the biggest contenders is three-year-old startup Zepto, which recently raised US$665 million in a series F round at a US$3.6 billion valuation.

Image credit: Timmy Loen

Amazon and Flipkart are also reportedly joining the fray.

But not everyone has managed to crack this. A year ago, local firms Ola and Reliance Retail shut down their quick commerce operations, as the cash-intensive model lacked a clear path to profitability.

In recent years, quick commerce has also fizzled out in Southeast Asia as players – such as Indonesia’s Dropezy and Bananas or Vietnam’s Rino – either shut their operations or pivoted to other business models.

See also: Charting the swift downturn of SEA’s quick commerce space

So what are Indian companies doing differently now to entice both investors and consumers?

Suddenly, everyone is in the game

Over the past year, India’s quick commerce sector has grown at an annual rate 5x faster than the rise of ecommerce. In fact, the segment could reach US$6 billion in gross merchandise volume by 2025, according to India-based strategy consultancy Redseer.

As early as July 15, Walmart-backed Flipkart is expected to launch Flipkart Minutes, a 15-minute delivery service for groceries and electronics. This would mark a U-turn for Flipkart, whose CEO Kalyan Krishnamurthy said in 2022 that 15-minute deliveries would not be the “right long-term customer model.”

It is unclear if Flipkart Minutes will be available across India simultaneously. Flipkart and rival Amazon did not respond to Tech in Asia’s requests for comment.

Photo credit: Shutterstock

Potatoes at your doorstep

Diversifying beyond kiranas

Tapping into ad revenue