India's quick commerce growth set to accelerate, food delivery to remain steady: Report
According to the report, India's quick commerce sector is witnessing consolidation, with net order value (NOV) growth for leading platforms expected to accelerate to as much as 21.6% quarter-on-quarter in Q2FY27, as higher minimum order values and reduced discounts at some platforms shift demand towards competitors.
India's quick commerce industry is poised for accelerated growth, while the food delivery sector is anticipated to maintain consistent momentum, according to a recent Emkay report. The quick commerce sector's net order value (NOV) growth is anticipated to surge to 21.6% quarter-on-quarter in Q2FY27, driven by higher minimum order values and reduced discounts.
As the festive season approaches, competition is expected to intensify within the food delivery segment, which is projected to grow at a steady rate of around 18% year-on-year. Meanwhile, India's fintech sector is set to experience steady revenue growth and improving profitability in Q2FY27, with the change in festive-season spending patterns potentially impacting payment revenue growth.
The new government regulation on merchant discount rates (MDR) for UPI transactions, effective from October 15, will also play a significant role in shaping the digital platform landscape. Despite their long-term growth potential and high operating leverage, direct comparisons of earnings valuations among platform companies may prove challenging due to differences in growth trajectories, profitability, and business maturity.
Written by urgent.news from Economic Times Tech's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
