Structural cracks appear to complicate qcomm's quick surge in India
India's quick commerce market is expected to grow to Rs 1.5-1.7 lakh crore by 2027, driven largely by existing trade channels. While it creates significant employment, most jobs are gig roles with limited security. Pricing and adoption across categories present ongoing challenges for the sector's future.
Tired of too many ads?
Remove Ads
Market dynamics: Dominance and demand
Tired of too many ads?
Remove Ads
Popular in Services
1.
Quick commerce growth eating share from other channels
Uneven adoption across categories
India's quick commerce sector is projected to grow significantly, with estimates indicating it will reach Rs 1.5-1.7 lakh crore by 2027. This surge, however, is not without its challenges, ToI reported on June 6 based on a recent report by consulting firm Kearney.The findings highlight various structural issues that the industry faces as it rapidly expands.In essence, while India's quick commerce market is on the brink of substantial growth, it must address key issues related to pricing, job security, and uneven product adoption to sustain its trajectory.The quick commerce market has moved beyond just impulse purchases, now encompassing essential items such as rice, flour, and cooking oil. However, the report reveals that most of this demand is not new.In fact, around 93% of sales in this sector are drawn from existing channels like modern trade, e-commerce, and local kirana shops, with only 6-8% representing new demand.Pricing remains a crucial factor, as discounts in quick commerce average between 6-9%. This is notably lower than the 13-18% offered by traditional e-commerce and modern trade players.When delivery and handling fees are considered, quick commerce pricing is competitive primarily against local kirana shops.Despite the rapid growth of quick commerce in major metropolitan and tier-2 cities, the adoption rate varies significantly across different product categories.While there has been a notable increase in the purchase of snacks, cold beverages, and gifts, items like fruits, vegetables, electronics, and personal care products have not seen similar growth. Many consumers still prefer in-store shopping for these categories due to the broader selection available elsewhere.Quick commerce has become a significant driver of employment, generating approximately 62-64 jobs for every Rs 1 crore of monthly gross merchandise value. This figure is comparable to general trade and exceeds the 25-29 jobs created in e-commerce and 41-42 in modern trade.However, it's important to note that over 70% of these jobs are last-mile delivery positions, typically occupied by gig workers who often lack job security.Kearney anticipates a 60% increase in gig hiring by 2025 as companies in the sector continue to expand.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
30 minutes ago
- Time of India
Piyush Jain case: Court dismisses accused application, hearing on July 4
1 2 Kanpur: Special chief judicial magistrate Kanpur Nagar Kumud Lata Tripathi on Friday dismissed the application of accused Piyush Jain and Sunil A Hirani in the much-publicised case in which the GST department had recovered approximately Rs 195 crore cash and gold bars weighing around 22 kgs. The DGGI Ahmedabad had raided perfume trader Piyush Jain's houses situated at Anandpuri Kanpur and Kannauj on December 21, 2021. The department had seized Rs 196 crore in cash and 23 kg gold from his possession. Piyush was ultimately arrested on December 27, 2021. He was bailed out after about eight months. The prosecution had made thirteen other persons accused apart from Piyush. All are currently on bail. Both accused had previously applied for the case diary and other documents as per provisions of the Cr PC which was strongly opposed by the prosecution. According to Ambrish Tandon, special prosecutor for DGGI Ahmedabad, the accused applicants pressed their demand on last date while he submitted that CD/DVD containing 479 to 11,455 pages of the charge sheet had already been provided to the counsel of Sunil A Hirani and the same had also been provided to Piyush Jain on October 20, 2023. Both had acknowledged receipt on the order sheet of the case file present in the court. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Hamburg: GEERS sucht 700 Testhörer für Hörgeräte ohne Zuzahlung GEERS Undo He stated that since copies of the documents had already been furnished by the court, it appears that this application had been filed only to delay proceedings. Therefore, the court should dismiss the application of Hirani and Piyush Jain. The court, which had reserved its order on the previous date, delivered the verdict and dismissed the accused applicants' plea. The magistrate in her order observed that since all documents had already been delivered by the prosecution to the accused, there was no reason to deliver them again. The application was viewed as a tactic to delay the trial and thus was dismissed. The next date was fixed as July 4 for hearing. Tandon informed that the prosecution would now present its evidence. Get the latest lifestyle updates on Times of India, along with Eid wishes , messages , and quotes !
Time of India
31 minutes ago
- Time of India
Lawyer bail plea rejected in 2.6cr cheating case
Mumbai: Observing that if this court exercises discretion in favour of applicant it will give a wrong message to society, a sessions court on Monday rejected the bail plea of advocate Vinaykumar Khatu, who is accused of defrauding a Delhi-based 74-year-old woman, a client, of Rs 2.57 crore by allegedly presenting her with forged orders purportedly issued by Bombay high court. "This court cannot ignore the antecedent of applicant. Admittedly, two offences were registered against applicant for misrepresenting himself as an IAS officer. If this court exercises discretion in favour of applicant, it will give a wrong message to society. The seriousness of allegations and antecedent of applicant prevent me from exercising discretion in favour of applicant," sessions judge VG Raghuwanshi said. The judge also said that if one decides to rely on WhatsApp chat then he cannot ignore that accused had stated about stay granted by honourable high court in his chat with the accountant and it is also clear that huge amounts were transferred to the accounts of his friends, associates and him after the date of fabricated orders. It was also held that offences relating to criminal breach of trust and forgery of valuable security were added against accused. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Nürtingen: GEERS sucht 700 Testhörer für Hörgeräte ohne Zuzahlung GEERS Undo "A judgment of civil court can be considered a valuable security…Court judgments often create or modify legal right and liabilities. Thus, the judgments fit within definition of valuable security," the judge said. The accused was a lawyer of the woman, Urmila Talyarkhan, who was involved in a property dispute relating to a land in Alibaug. After a lower court ruled against her, Talyarkhan appealed the decision to the district court. Her advocate failed to appear for the hearing, leading to the dismissal of the appeal on Mar 13, 2018. Residing in Delhi at the time, she remained unaware of this dismissal until 2022, as her advocate did not inform her. It was alleged that through a business acquaintance, Talyarkhan was introduced to Khatu. She retained Khatu for six matters, including the land dispute appeal, and a suit against her husband. Khatu allegedly charged an exorbitant fee of Rs 10 lakh per case. She allegedly transferred Rs 2 crore from her friend's account to those associated with the accused. Following Khatu's advice, she filed a second appeal in Bombay high court, with applications for condonation of a four-year delay and a stay order. Denying the allegations, the accused said that he was arrested on Oct 19, 2024. "Nothing needs to be seized from him. There is no possibility of tampering evidence," the lawyer submitted. Get the latest lifestyle updates on Times of India, along with Eid wishes , messages , and quotes !
Time of India
31 minutes ago
- Time of India
Cabinet nod to Rs 1,113cr biotechnology devpt scheme
1 2 3 Bhubaneswar: The state cabinet, under the chairmanship of chief minister Mohan Charan Majhi, on Friday approved a comprehensive five-year biotechnology development scheme with an outlay of Rs 1,113.50 crore. The programme will be implemented from 2025-26 to 2029-30. The 'Development of Biotechnology' initiative, comprising 17 sub-schemes, aims to transform Odisha into a knowledge-driven bio-economy by leveraging the state's rich biodiversity and existing research infrastructure. "This scheme will create a robust ecosystem for innovation, incubation and investment in the biotechnology sector," a govt statement said. The programme aligns with the state's Industrial Policy Resolution (IPR) 2022, which identifies biotechnology as a thrust sector. The scheme's primary objectives include promoting higher education and research infrastructure, developing a supportive ecosystem for innovation and industry, aligning academic excellence with industry requirements and facilitating product development and commercialisation. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 임플란트 최대 할인 지원해드려요 임플란터 더 알아보기 Undo It will also promote utilising biotechnology innovations for socio-economic development. The new scheme aims to bridge the gap between academia and industry while fostering collaboration across sectors including agriculture, medicine and environmental sciences. The initiative complements the recently announced Odisha Biotechnology Policy, 2024, offering incentives for advanced infrastructure development and positioning the state as a biotechnology hub. The cabinet also gave its nod to modalities of the Mukhyamantri Sahari Bikash Yojana (MSBY), with a massive outlay of Rs 6,000 crore over five years. The scheme, aligned with the state's "Viksit Odisha@2036 vision", aims to revolutionise urban infrastructure and boost revenue generation across cities. For the initial year (2025-26), the state has allocated Rs 1,100 crore in the last budget. The scheme, scheduled to run from 2025-26 to 2029-30, will focus on four key areas — urban infrastructure development, wage employment, water body development and animal welfare. Under the infrastructure component, the scheme will develop various facilities, including kalyan mandaps and multi-purpose halls, market complexes and vending zones, roads, drains, and parking facilities and EV charging stations, among others. The cabinet also gave its nod to exempt land premium of Rs 2.60 crore for lease of a piece of land to Narcotics Control Bureau for construction of its building. Get the latest lifestyle updates on Times of India, along with Eid wishes , messages , and quotes !
