{"id":15470,"date":"2022-06-27T08:19:38","date_gmt":"2022-06-27T08:19:38","guid":{"rendered":"https:\/\/maasplatform.io\/resources\/?post_type=blog&#038;p=15470"},"modified":"2023-05-29T18:54:55","modified_gmt":"2023-05-29T18:54:55","slug":"india-qcommerce-apps-instant-delivery","status":"publish","type":"blog","link":"https:\/\/maasplatform.io\/resources\/blog\/india-qcommerce-apps-instant-delivery\/","title":{"rendered":"&#8220;Gimme 10 Minutes&#8221; &#8211; How Indian qCommerce Gave a Growth Twist to a Common Phrase"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">India\u2019s qCommerce (quick commerce) sector is having its moment under the sun! 2020\u2019s heavy months of a pandemic-affected economy and lifestyle had essentially put a stop to buying essentials offline, thereby paving the way for a <a href=\"https:\/\/info.maasplatform.io\/maas_sensortower_ecommercereport?__hstc=91379141.484ff77deb0e5c3e6b1f6943c75bd22f.1611319528805.1656312411078.1656316139132.25&amp;__hssc=91379141.3.1656316139132&amp;__hsfp=1623975401\">greater number of people to confidently embrace online shopping<\/a> for groceries and other consumables.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In 2020, the <\/span><a href=\"https:\/\/www.statista.com\/statistics\/1284845\/india-key-figures-quick-commerce\/\"><span style=\"font-weight: 400;\">average market penetration within online consumables<\/span><\/a><span style=\"font-weight: 400;\"> was just 7%, and it is expected it will grow to 12.5% in the next five years. If 2020 was about consumers finding confidence in transacting on mobile-based commerce for groceries and consumables, 2021 was defined by an accelerated push into instant delivery of grocery and fresh produce delivery by giants like Swiggy, Grofers (now Blinkit), and <a href=\"https:\/\/maasplatform.io\/resources\/blog\/micd-up-with-maas-episode-15-zipping-through-q-commerce-with-zepto\/\">Zepto<\/a> with the promise of 10-minute delivery.\u00a0<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">A qCommerce Redux\u00a0<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">qCommerce, while a new entrant to the Indian market, has been around for many years now. In fact, it was back in 2013 that <\/span><a href=\"https:\/\/gopuff.com\/\"><span style=\"font-weight: 400;\">GoPuff<\/span><\/a><span style=\"font-weight: 400;\"> was established in the U.S. with the promise of 30 minutes delivery and largely catered to students. And just within a few months into the pandemic, <\/span><a href=\"https:\/\/www.statista.com\/statistics\/1284690\/funding-quick-commerce-startups\/\"><span style=\"font-weight: 400;\">GoPuff raised investments for up to $1.7 billion<\/span><\/a><span style=\"font-weight: 400;\">. In Europe, there have been many companies like Delivery Hero and Deliveroo that operate in the space of restaurant delivery. Delivery Hero is now a global speedy delivery service operating in a total of 43 countries and has further invested in qCommerce after it <\/span><a href=\"https:\/\/www.statista.com\/statistics\/1284690\/funding-quick-commerce-startups\/\"><span style=\"font-weight: 400;\">acquired Glovo<\/span><\/a><span style=\"font-weight: 400;\"> in 2022.<\/span><\/p>\n<div id=\"attachment_15471\" style=\"width: 627px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-15471\" class=\"wp-image-15471\" src=\"https:\/\/maasplatform.io\/resources\/wp-content\/uploads\/2022\/06\/Untitled-1.jpg\" alt=\"quick commerce funding startups\" width=\"617\" height=\"770\" \/><p id=\"caption-attachment-15471\" class=\"wp-caption-text\"><em>Source: Statista<\/em><\/p><\/div>\n<h2>What\u2019s Happening in India<\/h2>\n<p><span style=\"font-weight: 400;\">Young markets like India have been no different. The last two years have pushed an intense competition in this space, thanks to the last-minute, late-night appeal to the Gen Z consumers. <\/span><a href=\"https:\/\/apps.fas.usda.gov\/newgainapi\/api\/Report\/DownloadReportByFileName?fileName=COVID-19%20Accelerates%20the%20Growth%20of%20India%27s%20Online%20Grocery%20Market_Mumbai_India_05-17-2021\"><span style=\"font-weight: 400;\">India\u2019s online grocery market grew by 80%<\/span><\/a><span style=\"font-weight: 400;\"> to $2.66 billion in 2020 primarily due to COVID-19 and the resulting lockdown. Popular online grocery platform <\/span><a href=\"https:\/\/timesofindia.indiatimes.com\/life-style\/food-news\/online-grocery-shopping-is-clicking-with-consumers-amid-pandemic\/articleshow\/78680170.cms\"><span style=\"font-weight: 400;\">BigBasket reported<\/span><\/a><span style=\"font-weight: 400;\"> 3x growth orders while a 60% increase in retention of new customer cohorts.\u00a0<\/span><\/p>\n<div id=\"attachment_15477\" style=\"width: 625px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-15477\" class=\"wp-image-15477\" src=\"https:\/\/maasplatform.io\/resources\/wp-content\/uploads\/2022\/06\/image-12.png\" alt=\"app downloads india qcommerce\" width=\"615\" height=\"370\" \/><p id=\"caption-attachment-15477\" class=\"wp-caption-text\"><em>Source: Based on analysis from Sensor Tower dashboard<\/em><\/p><\/div>\n<p><span style=\"font-weight: 400;\">The qCommerce market is not just limited to groceries but also extended to consumables in homecare, OTC drugs, beverages, packaged foods, alcohol, etc.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The consumables market in India is expected to become <\/span><a href=\"https:\/\/redseer.com\/reports\/quick-commerce-a-5-bn-market-by-2025\/\"><span style=\"font-weight: 400;\">approximately $1 trillion by 2025<\/span><\/a><span style=\"font-weight: 400;\">, where the shift in consumer behavior has happened from stocking up monthly groceries to seeking convenience with smaller, weekly purchases, and on-demand instant orders.\u00a0<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-15490\" src=\"https:\/\/maasplatform.io\/resources\/wp-content\/uploads\/2022\/06\/1-4.png\" alt=\"\" width=\"750\" height=\"180\" \/><\/p>\n<p><span style=\"font-weight: 400;\">According to a recent survey, <\/span><a href=\"https:\/\/yourstory.com\/2022\/02\/quick-commerce-localcircles-survey-instamart-zepto-blinkit-bigbasket\/amp\"><span style=\"font-weight: 400;\">nearly 29% of respondents<\/span><\/a><span style=\"font-weight: 400;\"> relied on qCommerce apps to order their groceries. And there is a larger addressable market for it that is waiting to be tapped. Red Seer report finds that about <\/span><a href=\"https:\/\/redseer.com\/reports\/quick-commerce-a-5-bn-market-by-2025\/\"><span style=\"font-weight: 400;\">20 million households in India are already an addressable market<\/span><\/a><span style=\"font-weight: 400;\"> for qCommerce \u2013 translating into huge opportunities for apps in this space to acquire customers.<\/span><\/p>\n<h2>Who is the qCommerce Customer in India \u2014 and How to Reach them<\/h2>\n<p><span style=\"font-weight: 400;\">The typical customer for a qCommerce app is essentially driven by young Millennials and Gen-Z who live in smaller households and often make purchases on the go. This younger demographic is often pressed for time and demands instant gratification as well as makes unplanned impulse purchases when it comes to consumables. The high disposable income also is a driving factor for growth in the qCommerce segment.<\/span><\/p>\n<div id=\"attachment_15478\" style=\"width: 616px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-15478\" class=\"wp-image-15478 \" src=\"https:\/\/maasplatform.io\/resources\/wp-content\/uploads\/2022\/06\/image-11.png\" alt=\"Monthly Active Users for Indian qcommerce apps\" width=\"606\" height=\"364\" \/><p id=\"caption-attachment-15478\" class=\"wp-caption-text\"><em>Source: Based on analysis from Sensor Tower dashboard<\/em><\/p><\/div>\n<p><span style=\"font-size: 16px;\">But that\u2019s not all, there is a market for qCommerce beyond the young Millennials and GenZ, and is spread across categories.<\/span><\/p>\n<p><span style=\"font-size: 16px;\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-15489\" src=\"https:\/\/maasplatform.io\/resources\/wp-content\/uploads\/2022\/06\/2-2.png\" alt=\"\" width=\"750\" height=\"230\" \/>\u00a0<\/span><span style=\"font-weight: 400;\">Reaching these customers in a fast-moving market is critical for market penetration and getting the first-move advantage. As customers get used to a platform and find their needs being addressed, retention becomes easier.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-15481\" src=\"https:\/\/maasplatform.io\/resources\/wp-content\/uploads\/2022\/06\/3.png\" alt=\"\" width=\"668\" height=\"374\" \/><\/p>\n<h2>UA Costs and Metrics to Look At<\/h2>\n<p>Based on our internal analysis of industry and averages, we recommend looking at some key metrics:<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-15488\" src=\"https:\/\/maasplatform.io\/resources\/wp-content\/uploads\/2022\/06\/4-1.png\" alt=\"\" width=\"750\" height=\"216\" \/><\/p>\n<p>&nbsp;<\/p>\n<p>If you are an app advertiser in the quick commerce space, <a href=\"mailto:marketing@maasplatform.io\">reach out to our experienced team<\/a> today to get your customized UA strategy! <a href=\"https:\/\/maasplatform.io\/\">Connect with us now!<\/a><\/p>\n","protected":false},"author":2,"featured_media":15482,"template":"","meta":{"_acf_changed":false,"footnotes":""},"categories":[30],"tags":[20,9,24,4,49,2,3],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v20.10 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>&quot;Gimme 10 Minutes&quot; 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