India’s Quick Commerce Industry Grows 280% in Two Years, Says Chryseum Report
India’s quick commerce industry has witnessed remarkable growth, with sales surging by more than 280% over the last two years, according to a report by financial services firm Chryseum. The Gross Merchandise Value (GMV) of quick commerce in India increased from USD 0.5 billion in FY22 to USD 3.3 billion in FY24.
Quick commerce, which refers to the rapid delivery of small orders within a short time frame, is growing at a much faster pace than traditional e-commerce. While India’s e-commerce sector is registering an annual growth rate of 14%, quick commerce has expanded at an impressive 73% annual growth rate during FY 2023-24. This highlights the significant shift in consumer behavior towards faster and more convenient delivery options.
The quick commerce market in India is currently valued at USD 3.34 billion in 2024 and is projected to reach USD 9.95 billion by 2029, growing at a compound annual growth rate (CAGR) of more than 4.5% over the forecast period (2024-2029).
Despite this rapid growth, the sector remains relatively untapped, with a penetration rate of only 7% of the total addressable market, which is valued at USD 45 billion. This indicates a significant opportunity for further expansion, with quick commerce already surpassing the market size of food delivery.
To capitalize on this potential, quick commerce platforms are increasingly partnering with manufacturers for direct sourcing, bypassing traditional distributor networks. This strategy enables platforms to streamline operations, reduce costs, and offer more competitive pricing to consumers.
Furthermore, the tech infrastructure of quick commerce platforms is designed to ensure continuous improvements in operational processes, enhancing agility and speed across the value chain. These innovations are helping quick commerce platforms to deliver faster and more efficiently, meeting the growing demand for instant deliveries in India.
As the industry continues to evolve, experts predict that quick commerce will play an increasingly important role in India’s retail landscape.
Doubts Revealed
Quick Commerce -: Quick commerce is a type of online shopping where you get your small orders delivered very fast, usually within a few hours.
280% -: 280% means that the size of the quick commerce industry has grown almost three times bigger in the last two years.
USD -: USD stands for United States Dollar, which is a type of money used in the United States. Here, it is used to show the value of sales in India.
FY22 -: FY22 means the financial year 2022, which is a period used for accounting and budgeting, usually from April 2021 to March 2022 in India.
Chryseum -: Chryseum is the name of the company that made the report about the quick commerce industry.
E-commerce -: E-commerce is shopping online, where you buy things from websites and apps instead of going to a store.
Penetration rate -: Penetration rate means how many people are using quick commerce compared to the total number of people who could use it. A 7% rate means only 7 out of 100 people are using it.