Though the quick commerce industry has been witnessing significant growth and competition, it might face hurdles such as a low total addressable market, says Indus Valley Annual Report 2025, published by Blume Ventures.
It flags growth challenges of the quick commerce industry, and highlights that like rideshare, food delivery, and even ecommerce, the industry will see MTU (monthly transacting user) growth tapering, and that it is unlikely that quick commerce is immune to this.
The report points out that the country will soon become a Quickish Commerce country, especially because "superconsumers are in high density areas amenable to rapid delivery."
“As Quick Commerce’s success inspires larger horizontal and vertical ecommerce players to start their experiments, we are likely to see a speeding up of delivery times in India across most types of deliveries. We will be a Quickish Commerce country,” the report says.
Though quick commerce is projected to grow to 128 million MTUs, the number looks ambitious.
In July 2021, Jefferies projected 32.6 million users for one of the big players Zomato by FY25, but the present trajectory points to 20.6 million users in FY25.
Players such as Zomato, Swiggy and Zepto have been expanding rapidly in the quick commerce space.
Redseer predicts a 40-45% GMV CAGR for q-commerce in the next three years. Not just groceries and food, all players have now expanded their offerings that also include home services, electronics and fashion.
Quick commerce contributes 30-60% of ecommerce sales for major FMCG players, and that too in just three years, the report states.
Apart from quick commerce, the report also highlights that Professional Consulting has been growing faster than IT services, though from a lower base. It also mentions that from a fifth of the size of IT services, global capability centres (GCCs) are now a third of IT services revenues and all this happened in less than 10 years.