EJ Explains| What is quick-commerce and why Zomato is betting a billion dollars on it

Updated : Nov 11, 2021 16:57
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Editorji News Desk

What is quick-commerce, the hottest trend in the start-up space?  Food tech giant Zomato is looking to put in a billion dollars into the quick-commerce space as it hopes it is will deliver on expanding valuations. Deepinder Goyal founded Zomato is picking up an 8% stake in Shiprocket and 16% in Magicpin and this is just the start of it. 

Also read/watch: Zomato delivers a larger loss and yet orders new startup investments

What is quick commerce?
Quick commerce or q-commerce, as the name suggests, focuses on making deliveries very fast, under 10 to 30 minutes.

What makes it so hot?
According to RedSeer Consulting, the segment is set to grow 17 times over from the current gross merchandise value (GMV) of $300 million to over $5.3 billion by 2025.

It's trending! 
The consumables market in India is projected to grow to be $1 trillion by 2025. The boost in audience is driven by unplanned impulsive purchases by Gen Z and ambitious millennials. 

Who are the quick starters! 
From Tata's big basket to Zomato's rival Swiggy everyone is quickly grabbing a piece of the pie. Ambani's swung into action with Jio Mart while newbies Grofers, Dunzo, WeFast are all making a quick buck and are in it for the long haul.

zomatoDeliverystartup

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