The global Quick E-Commerce (Quick Commerce) Market is estimated to be valued at US$ 38.89 Bn or in 2023 and is expected to exhibit a CAGR of 34.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Quick commerce refers to delivery of grocery and daily essential items within a narrow delivery window such as less than an hour. Quick commerce leverages proximity-based fulfilment methods and is enabled by dense micro-fulfilment centres that hold inventory. Consumers no longer have to wait for hours or days to receive their online order. Quick commerce fulfils the need for instant gratification among consumers who want to access items immediately. It is driven by consumer preference for convenience over cost.
Market key trends:
One of the key trends in the quick commerce market is hyperlocal fulfillment. Companies operating in this space rely on strategic localization of warehousing facilities to enable super-fast delivery. Another major trend is consolidation as larger players acquire smaller startups to gain market share. Integration of latest technologies such as artificial intelligence and machine learning is also a key trend enabling efficient order sorting, routing and delivery. Companies are investing in AI-powered computer vision and robots for automated order fulfilment. These technological advancements are significantly enhancing the customer experience in quick commerce.
Porter’s Analysis
Threat of new entrants: The threat of new entrants into the global quick e-commerce market is moderate. Establishing quick delivery operations requires substantial capital investments and expertise to achieve logistics efficiency.
Bargaining power of buyers: The bargaining power of buyers in the global quick e-commerce market is high given the availability of multiple platform options. Buyers can easily switch between platforms based on the availability of products, delivery timelines and prices.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as quick commerce platforms rely on a large network of local merchants and suppliers to stock their warehouses. Platforms negotiate on pricing and delivery terms with suppliers.
Threat of new substitutes: The threat of substitutes is moderate as grocery and food deliveries from regular e-commerce platforms continue to be a substitute. However, quick commerce fills the gap of urgent delivery needs.
Competitive rivalry: The competitive rivalry in the global quick e-commerce market is high owing to the presence of established players and new startups offering competitive pricing and short delivery promises.
Key Takeaways
The Global Quick E-Commerce Market Size is expected to witness high growth, exhibiting CAGR of 34.% over the forecast period, due to increasing urbanization and preference for convenience among consumers.
Regional analysis: Asia Pacific region dominates the quick e-commerce market currently, owing to high mobile and internet penetration in countries like India. China is also witnessing aggressive launch of quick commerce platforms to leverage the large population base. Countries in Europe and North America are fast emerging as lucrative markets, driven by high living standards and widespread mobile connectivity.
Key players: Key players operating in the global quick e-commerce market are GoPuff, DoorDash, Instacart, Uber, Glovo, Rappi, Gorillas, Getir, Jokr, Zapp, Flink, 1520, Buyk, Deliveroo, Seazon, Yango Deli, Delivery Club, Bolt Food, Swiggy Instamart, Blinkit. Giant companies like Google are also enabling quick deliveries pilot programs indicating the growth potential of this sector. Players are focused on expanding geographical footprint and delivery fulfillment time to gain market share.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
