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Quick commerce is no longer a luxury service but has evolved into a permanent structural shift in India's urban retail landscape, with the segment expected to drive a significant share of the country's retail market growth over the coming years, according to a report by Anand Rathi Research.
The report said India's overall retail market, currently valued at around USD 1.07 trillion, is expected to grow at a compound annual growth rate (CAGR) of around 8-10 per cent during FY26-31, reaching USD 1.5-1.6 trillion. Within the broader retail market, quick commerce has emerged as a key growth driver. According to the report, the gross merchandise value (GMV) of the quick commerce segment is projected to expand to around USD 60 billion by FY31 from USD 11.3 billion in FY26 and USD 1.6 billion in FY23, registering a CAGR of around 23.3 per cent during FY26-31. The report estimated that around 9-11 per cent of the total incremental growth in India's retail market during the period will be driven by quick commerce, highlighting the sector's increasing contribution to the country's retail ecosystem. It further noted that the growth opportunity extends well beyond grocery. The share of non-grocery categories is expected to increase to around 39-44 per cent by FY31 from 29 per cent in FY26. According to the report, this provides a meaningful opportunity for higher wallet share expansion and improved margins, as non-grocery categories generally offer better unit economics. The report said the expansion of quick commerce is being supported by a rapidly growing customer base and rising order volumes across the country. The report also projected a sharp increase in the number of monthly transacting users (MTUs). Average MTUs are expected to grow to around 105-115 million by FY31, up from 5.6 million in FY23 and 36-38 million in FY26. The report also outlined that the growth in users and order volumes reflects a virtuous cycle driven by increasing platform relevance, improving consumer experience and the gradual mainstreaming of quick commerce as a daily consumption habit across India. (ANI)
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