Quick commerce expands to 477 cities as players target smaller, untapped markets: CLSA
Quick commerce is rapidly expanding beyond India's major metropolitan markets, with dark stores now spread across 477 cities, as newer players target untapped geographies while established companies deepen their networks in key markets, according to a CLSA report.
Quick commerce, a delivery service that combines online ordering with fast, local delivery, is rapidly expanding in India beyond the major metropolitan areas, according to a report by brokerage firm CLSA. The report states that dark stores, which are local fulfillment centers used by quick commerce companies, are now spread across 477 cities in the country.
Established players such as Blinkit, Zepto, Flipkart Minutes, Swiggy Instamart, and BigBasket have significant networks in these cities, with Blinkit leading the pack with over 969 dark stores, followed by Zepto with 828 stores. However, emerging players are also targeting underpenetrated geographies, giving them a first-mover advantage as the adoption of quick commerce expands.
The competition within major markets is also shifting, with Flipkart Minutes now surpassing Swiggy Instamart in both dark store count and pincode coverage across the top 10 cities. CLSA predicts that as quick commerce moves into a wider set of cities, the next phase of competition will depend on how efficiently players can establish and expand operations in newer markets.
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