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Brands look to quick commerce for fast growth, but costs remain a concern - The Economic Times

Economic Times

Economic Times · 22d ago

Brands look to quick commerce for fast growth, but costs remain a concern - The Economic Times

Quick commerce is emerging as a crucial component for brands in India, despite high operational costs, especially for direct-to-consumer (D2C) brands. It's considered meaningful and fast, contributing significantly to startup revenues, as noted by Simran Khara of Koparo. Response times in marketing are critical for conversion rates, according to Meta's Gaurav Jeet Singh. India's quick commerce market is projected to grow rapidly, with many brands joining platforms to leverage trends like the Indian Premier League.

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Brands want “pin code-level” granular data from quick commerce firms

Livemint

Livemint · 9d ago

Brands want “pin code-level” granular data from quick commerce firms

With India's quick commerce market expected to triple, both major platforms and small brands vie for a larger market share. Small brands struggle with access to granular customer data, crucial for planning and efficiency. Platforms like Zepto offer paid analytics tools, but high costs deter some brands. As quick commerce becomes a vital sales channel, third-party analytics firms assist brands with data insights. Collaboration and clearer data-sharing rules are needed for industry efficiency and growth.

VCs crowd deal street on quick commerce, D2C success

Economic Times

Economic Times · 12m ago

VCs crowd deal street on quick commerce, D2C success

The rise of quick commerce and the surge in demand for direct-to-consumer (D2C) brands are driving investment activity in the early-to-mid-stage D2C sector. Quick-commerce platforms like Blinkit, Zepto, and Instamart have helped these brands scale faster than anticipated, attracting investor interest. Various D2C brands, including Tuco Intelligent, The Health Factory, Gourmet Garden, The Whole Truth, and Master Chow, are in talks for capital infusion. Quick-commerce platforms have also given a boost to smaller brands in sectors such as personal intimate care. Quick-commerce is expected to remain a key channel for D2C brands, driving growth in various categories.

Exclusive | Quick commerce eating into kiranas, not ecommerce: Delhivery CEO Sahil Barua

Economic Times

Economic Times · 11m ago

Exclusive | Quick commerce eating into kiranas, not ecommerce: Delhivery CEO Sahil Barua

Delhivery CEO Sahil Barua believes that quick deliveries in 10-15 minutes may not be sustainable for categories other than groceries and fast-moving consumer goods. Barua predicts that the cost of quick deliveries will eventually increase, leading to longer delivery timelines. Delhivery is focusing on launching a network of shared dark stores for brands and ecommerce players to deliver in 2-4 hours, but will steer clear of instant deliveries. Barua also discusses Delhivery's revenue growth, growth outlook, the impact of quick commerce on ecommerce, and plans for the future.

Non-metros now economically viable for quick commerce: Emkay - The Economic Times

Economic Times

Economic Times · 23d ago

Non-metros now economically viable for quick commerce: Emkay - The Economic Times

Emkay's report highlights the growth potential of quick commerce in tier-II cities due to wider product ranges and lower operational costs. These cities offer favorable unit economics, with the potential for profitability by increasing average order values. Despite higher logistics costs, breakeven is easier, requiring fewer orders than tier-I cities. The quick commerce sector is expanding beyond groceries to include fashion and electronics, focusing on margin improvement and leveraging existing physical stores for operations.

Next-gen e-commerce: BigBasket’s Hari Menon to track the quick-commerce surge and currency of speed amid big opportunities—register now to join the Fireside chat at ET Soonicorns Summit 2024

Economic Times

Economic Times · 10m ago

Next-gen e-commerce: BigBasket’s Hari Menon to track the quick-commerce surge and currency of speed amid big opportunities—register now to join the Fireside chat at ET Soonicorns Summit 2024

The e-commerce sector in India is projected to grow from $3.349 billion to $9.951 billion by 2029. Quick commerce, which focuses on accessibility and fast deliveries, is driving the growth of leading FMCG companies in the e-commerce space. To discuss this, Hari Menon, Co-Founder of BigBasket, will be speaking at the Economic Times Soonicorns Summit in Bengaluru. Menon, a pioneer in India's e-commerce landscape, will share insights on the rapid growth of quick commerce and BigBasket's strategies for success. The summit will feature discussions on various topics within the startup ecosystem of India.

Quick commerce firms chase brand ad dollars to boost revenue, margins - The Economic Times

Economic Times

Economic Times · 11d ago

Quick commerce platforms like Swiggy Instamart, Zepto, and Blinkit are urging brands to increase ad spending to enhance high-margin revenues and offset losses. Instamart has introduced tiered onboarding packages that adjust costs against ad expenditures. Zepto requires monthly ad commitments, while Blinkit charges onboarding fees. These strategies, alongside lucrative ad products, reflect a competitive landscape prioritizing profitability. Advertising revenues, with high margins, have become central to these companies' growth and business models.

After rough ride in 2024, Indian startups look for a promising new year

Economic Times

Economic Times · 7m ago

After rough ride in 2024, Indian startups look for a promising new year

In 2024, Indian startups faced a funding dip but showcased resilience by achieving several unicorns and attracting significant investments, particularly in early-stage ventures. Key sectors like gig economy and quick commerce thrived, while government reforms, such as removing the angel tax, supported growth. Challenges remain, including high operational costs and infrastructure issues, but the rise of women entrepreneurs and innovations in AI and tech signal a promising future. Cautious optimism persists for 2025 and beyond.

For Boat, q-com is third-largest sales channel, says cofounder Aman Gupta

Economic Times

Economic Times · 11m ago

For Boat, q-com is third-largest sales channel, says cofounder Aman Gupta

Boat, a popular wearable and audio products brand, has identified quick commerce as its third-largest sales channel. According to Boat's co-founder Aman Gupta, certain brands find more success on quick commerce platforms than on traditional ecommerce channels like Amazon or Flipkart. Quick commerce is gaining traction in India, with new-age brands experiencing rapid growth in this space. Walmart-owned Flipkart has also recently entered the quick commerce market with its service called 'Minutes'. The quick commerce market in India is projected to grow by 35% to nearly $7 billion by 2025, offering significant growth opportunities for direct-to-consumer brands.

Non-grocery items deliver bright growth to dark stores

Economic Times

Economic Times · 1y ago

Non-grocery items deliver bright growth to dark stores

Quick-commerce platforms like Zepto, Swiggy Instamart, and Blinkit are experiencing significant growth in non-grocery categories such as beauty, toys, health, and electronics. These platforms are expanding their range of offerings beyond food-related products, attracting more customers. The beauty category has grown threefold on Zepto, while Swiggy Instamart has seen robust growth in electronics, toys, beauty, and home products. Quick-commerce is becoming a popular channel for direct-to-consumer brands, offering fast delivery and engagement for big-ticket purchases. These platforms are increasingly diversifying their stock and offering competitive pricing compared to traditional e-commerce channels.

QSR brands riding on qcomm wave with customised offerings

Economic Times

Economic Times · 4m ago

QSR brands riding on qcomm wave with customised offerings

Quick service restaurant (QSR) brands like Wow Momo, Chaayos, and Blue Tokai are expanding their presence on quick commerce platforms such as Blinkit and Swiggy Instamart. They offer customized versions of popular products to leverage growing demand for instant delivery. Founders report rapid sales growth, with quick commerce now a significant sales channel. This trend mirrors that of large FMCG companies, as QSR brands capitalize on quick commerce amidst sluggish growth in traditional food delivery.

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