Express grocery delivery, also termed as quick commerce, is currently the hottest theme in India's e-commerce sector. With the segment expected to grow 10-15 fold in the next five years to become a $5 billion opportunity by 2025, it is here to stay, according to a recent report from consulting firm Redseer.
During a recent masterclass episode on ‘Delivery Wars: 15-Minute Groceries, Anyone?’ moderated by Moneycontrol's Chandra R Srikanth on September 10, Dunzo CEO Kabeer Biswas said that next day delivery is most likely not going to be good enough few years down the line. He however noted that a balance is important in terms of making the economics work and how delivery partners are incentivised.
Dunzo and other firms like Grofers and Swiggy are pushing the limits on how fast they can deliver consumables at your doorstep -- currently ranging from 30-45 minutes to as fast as 10-15 minutes. BigBasket is also said to be ramping up its express delivery segment, after Tata Digital acquired a majority stake in the online grocery seller.
However, this rush to deliver products in a super fast manner has also raised several important concerns among various stakeholders in the industry -- What toll does hyper-local delivery take on its workers? Do you really need your groceries delivered in 15 minutes? Is this a sustainable business model?