In recent months, quick commerce companies have adapted their service offerings to better align with changing consumer behaviors, particularly the trend of buying larger packs of goods. This shift is reshaping the landscape in both e-commerce and retail, as more customers look to quick commerce as their primary source for monthly grocery shopping, effectively replacing traditional retail stores.
Historically, many quick commerce providers set a weight limit of around 15 kilograms for deliveries. However, industry executives report this limit is now being extended to 35 kilograms or more. For instance, Swiggy Instamart has rolled out a capacity for deliveries of up to 35 kilograms in selected pin codes, reflecting an urgent response to evolving consumer preferences. Blinkit, another player in the field, has also raised its weight delivery limits, signaling a significant trend across the sector.
Adani Wilmar, a leading edible oil and staple foods company, indicates that they are actively engaging with quick commerce platforms to introduce larger monthly packs—such as 26 kilograms of non-basmati rice and five-liter oil jars. This aligns with the consumers’ habitual purchasing patterns around the start of each month. “We want to ensure that we’re meeting the needs of our customers in this evolving shopping environment,” CEO Angshu Mallick stated.
The Transition from Impulse to Planned Purchases
This evolution in shopping behavior reflects a significant change in how consumers use quick commerce platforms. Initially, shoppers tended to favor quick commerce for impulsive or convenience-driven purchases. However, this trend has morphed into a more planned approach to shopping. Companies like ITC have taken notice, significantly increasing their investment in quick commerce. An ITC spokesperson explained that their product lines have adapted accordingly, introducing larger packs designed for consumer convenience. Products like the Aashirvaad Atta 10kg pack and various multi-packs of personal care items are now staples in their quick commerce offerings.
Quick commerce has become a crucial channel for fast-moving consumer goods (FMCG) enterprises. For instance, Tata Consumer Products recently reported that approximately 35% of its e-commerce sales come from quick commerce. This attests to the rapid growth of this segment, which is now accounted for 30-40% of total e-commerce sales for several FMCG companies.
Consumer Preferences Shaping Product Offerings
Parle Products has also adapted by developing quick commerce specific products, emphasizing affordability without sacrificing quality. The demand for larger and mid-sized packs has increased, with both categories accounting for around 35% of their total quick commerce sales. With price points ranging from ₹40 to ₹70, these offerings are appealing to budget-conscious consumers looking for value without navigating the complexities of traditional retail shopping.
It’s noteworthy that while many consumers begin their month by shopping for larger packs, their preferences shift to smaller sizes as the month progresses. This dynamic influences inventory management and promotional strategies for quick commerce companies.
Zomato-owned Blinkit revealed in a recent earnings release that their success stems from incremental growth driven by the shift of consumers from traditional e-commerce and mid-tier retail. CEO Albinder Singh Dhindsa acknowledges the unique market position of quick commerce, emphasizing that it does not directly compete with local kirana stores, which often cater to a different consumer demographic. He reiterated, “Our model isn’t about displacing traditional retail but rather fulfilling a unique consumer need that calls for speed, convenience, and affordability.”
Conclusion: A Rapidly Changing Landscape
As consumer expectations evolve, quick commerce companies are continuously adjusting to ensure they meet these changing demands. The trend toward larger pack shopping is not merely a fleeting phase but signifies a deep-rooted change in consumer buying habits. As more shoppers embrace the convenience and flexibility offered by quick commerce, it is imperative for these companies to stay attuned to customer needs, maintaining a competitive edge in the dynamic e-commerce environment.
With varying product formats and structural changes in their delivery systems, quick commerce players are indeed playing a pivotal role in reshaping the future of retail. These companies are not just responding to demands but are actively defining new shopping norms that may last well into the future.