India’s quick commerce sector is expected to see a dramatic 75% year-on-year (YoY) growth by 2025, outpacing traditional retail, which is projected to grow in the low teens, according to a report by Bernstein. The sector’s expansion is expected to move beyond groceries into new product categories and reach new cities, including Tier-2 and smaller markets, driving this growth. Bernstein forecasts that quick commerce will capture a larger share of the retail market, marking a significant shift in how consumers access goods across India.
The quick commerce model, which offers proximity, competitive pricing, and a wide range of products, is becoming a disruptive force in India’s retail space. The top 40-50 cities in India currently represent a USD 250 billion grocery market, and QC is emerging as a key player within this segment. Its ability to deliver within a 3-kilometer radius and hyper-localize services is gaining traction among consumers, especially in smaller cities where this model is just beginning to take hold.
Bernstein’s report also reveals that consumer goods companies are increasingly turning to quick commerce as a primary growth channel. Quick commerce now represents a growing share of e-commerce revenue for leading FMCG firms, with platforms allocating over 30% of their brand mix to direct-to-consumer (D2C) and new-age brands. These D2C brands are experiencing exponential growth, driving a significant portion of the overall sales in the sector.
