TableOf

Contents

01India'sDigitalLandscape

02India'sEcommerceMarketOpportunity&Landscape

03EcommerceFundingInIndia:AnAnalysis

Year-On-YearFundingTrends

Stage,Geography,SubSectorAnalysis

InvestorsBackingIndia'sEcommerceStartupsMergers&AcquisitionsInEcommerce

04Infocus:QuickCommerce

MarketOpportunity&Landscape

CompetitiveLandscape

EcommerceMarketplaces&RapidDeliveriesLogisticsPlayersEnablingQuickDeliveries

TechnologiesShapingFutureOfDeliveriesTheFutureOfQuickCommerceInIndia

05StockPerformanceOfListedEcommerceCompanies

06Methodology

?INC42MEDIANOTFORDISTRIBUTION/3

IndiaToHave1.2Bn+InternetUsersBy2030

2024

1Bn+

886Mn+

397Mn+

488Mn+

2030

1.5Bn+

1.2Bn+

546Mn+

708Mn+

SmartphoneUsers

InternetUsers

UrbanInternetUsers

RuralInternetUsers

%Growth(Absolute)

50%

35%

38%

45%

5GEnabledIndianCities/Towns

7.7K+

InternetPenetration(ActiveUsers)

58%

NumberOfMaleInternetUsers

470Mn+

NumberOfFemaleInternetUsers

416Mn

UrbanInternetPenetration(ActiveUsers)

77%

CostOf1GBInternet

$0.16

Source:KANTAR,IMAMI,Inc42Analysis

Note:Thenumbersfor2030areestimated

?INC42MEDIANOTFORDISTRIBUTION/4

EcommerceMarketInIndia:ASnapshot

Market

Opportunity

VentureCapital

Unicorns&Soonicorns

$400Bn+

MarketOpportunity

$35+Bn

TotalFunding(2014-2024)

25

UnicornsInIndia

19%

CAGR(2024-2030)

1.9K+

DealCount

20

SoonicornsInIndia

Fashion&Apparel

TheMostLucrativeSegment

112Bn+

FashionApparel&AccessoriesMarketOpportunity(2030)

5.1K+

ActiveEcommerceStartups

990+

FundedEcommerceStartups

$35Bn+

TotalFundingRaised

$96Bn+

CombinedValuation

Source:Inc42

Note:Venturecapitaldataisfortheperiodbetween2014and2024

?INC42MEDIANOTFORDISTRIBUTION/5

India’s$400BnEcommerceMarketOpportunity

TheecommercemarketinIndiaisexpectedtogrowat19%from20242030

MarketOpportunity($Bn)

KeyGrowthDrivers

IncreasedDigitalAdoption-TherapidadoptionofdigitaItechnoIogieshassignificantIycontributedtotheriseofecommerceinIndia.Improvedinternetpenetration,drivenbyaffordabIemobiIedatapIansandgovernmentinitiativesIikeDigitaIIndia.AIso,thewidespreaduseofsmartphoneshasfurtheracceIeratedthisshift,aIIowinguserstoshop,paybiIIs,andaccessfinanciaIserviceswithjustafewtapsontheirscreens

MarketPotentialInRuralRegion-India’sruraImarkethoIdsimmensepotentiaI,drivenbyapopuIationthatmakesup65%ofthecountryIstotaIpopuIation.WhiIeruraIregionshaveincreasingdisposabIeincomes,andimprovinginfrastructureenhancestheirpurchasingpower.Risingaspirations,fueIIedbybetteraccesstoeducation,digitaIconnectivity,andfinanciaIincIusion,areshapinganewwaveofruraIconsumers.

ExpansionOfQuickCommerce-LogisticsprovidersadoptedIastmiIedeIiverysoIutions.AIso,addingdarkstoresandmicrofuIfiImentcentrestocompIeteorderswithinminutes.ThecombinationofIast-miIedeIiveryinnovations,IocaIisedinventoryhubs,andadvancedtechnoIogyissettingnewindustrybenchmarksforspeed,efficiency,andcustomersatisfaction

400

300

CAGR:19%

200

100

0

20242030

Source:Inc42Analysis,SecondarySources

Note:MarketopportunityrepresentstotaladdressablemarketforD2CplayersinIndia

?INC42MEDIANOTFORDISTRIBUTION/6

BeautyAndPersonalCare:India’sFastGrowingEcommerceSegment

Sectors&

MarketSize

MarketSize

CAGR

%ShareMarket

Segments

(2024)

(2030)

(2024to2030)

Size(2030)

OverallMarket

$138Bn+

$400Bn+

19%

-

FashionApparel&Accessories

$29Bn+

$112Bn+

25%

28%

Smartphones

$39Bn+

$72Bn+

11%

18%

Electronics&Appliances

$27Bn+

$68Bn+

17%

17%

Food&FMCG

$19Bn+

$68Bn+

24%

17%

Beauty&

PersonalCare

$6.4Bn+

$28Bn+

28%

7%

Furniture&HomeDecor

$8.3Bn+

$24Bn+

19%

6%

Others

$9.6Bn+

$28Bn+

19%

7%

Source:Inc42,BCG,SecondarySources

?INC42MEDIANOTFORDISTRIBUTION/7

DecodingTheOnlineIndianShopper:AquarterofurbanconsumersinIndiachoosetoshopinIndiclanguages

294Mn+

TotalOnlineShoppers

196Mn+

UrbanOnlineShoppers

71%

DigitalPaymentsUsersLiveInUrbanIndia

427Mn+

TotalNet

EcommerceUsers

52%

ShoppersWhoOptForCODAreFemale

45%

ShoppersWhoOptForCODLiveInRuralIndia

26%

OnlineShoppersOptForCOD

English

76%

IndicLanguage24%

LanguagePreference

OfOnlineShoppersIn

UrbanIndia

Source:Inc42Analysis,KANTAR,IAMAI

Note:CODstandsforCashonDelivery

?INC42MEDIANOTFORDISTRIBUTION/8

India’sEcommerceStartupLandscape:Who’sWhoAcrossSubsectors

B2CECOMMERCE

B2BECOMMERCE

D2C

haayosous

?)sumbotailofGusness

?elasticrunmoglix

券MEDIKABAZAAR

cofne

@nose

RECOMMERCE

ROLLUPS

DEALDISCOVERY

16clubeyenflouu

?mysmartprice

carrade

draom

?GlobalBees

"""

CARS24

NESOBRANDSUpscalio

Source:Inc42

Note:Thisisnotanexhaustivelist

?INC42MEDIA|NOTFORDISTRIBUTION/9

India'sUnicorn&SoonicornLandscape

UNICORNS

25

TotalUnicorns

$88Bn+

CombinedValuation

$32Bn+

TotalFunding

mamaearth"INFRA,MARKET

SOONICORNS

20

TotalSoonicorns

$8.3Bn+

CombinedValuation

$2.9Bn+

TotalFunding

carrade?casHIFY.in

?MEDIKABAZAARPepperfry

Source:Inc42

Note:Thisisnotanexhaustivelist

?INC42MEDIANOTFORDISTRIBUTION/10

EcommerceFundingIn2024—KeyHighlights

$1.5Bn+

TotalFundingRaised

ByIndianEcommerce

Startups

203+

Funding

Deals

Recorded

-43%

YoYDeclineInLate

StageFunding

Amount

DELHINCR

TheMostFundedEcommerceHub

42%

YoYIncreaseInSeed

StageFunding

Amount

Source:Inc42

?INC42MEDIANOTFORDISTRIBUTION/11

$35Bn+RaisedByIndianEcommerceStartupsSince2014

In2024,fundingamountinecommercestartupsdecreasedby25%onaYoYbasis

12.0400

FundingAmount($Bn)

10.0

8.0

6.0

4.0

2.0

0.0

20142015201620172018201920202021202220232024

300

200

100

0

DealCount

FundingAmountDealCount

Source:Inc42

?INC42MEDIANOTFORDISTRIBUTION/12

EcommerceFundingInIndia:StagewiseOutlook[2014-2024]

InvestmentStageFundingAmountDealCountMedianTicketSize

SeedStage$893Mn+880+$550K

GrowthStage$6.3Bn+522+$6.4Mn

LateStage$27Bn+304+$28Mn

Source:Inc42

Note:BasedonIndianstartupfundingdealsrecordedbetween2014and2024

?INC42MEDIANOTFORDISTRIBUTION/13

StagewiseAnalysisOfIndianEcommerceFundingIn2024

FundingAmount

InvestmentStage

YoYDealYoYMedianYoY

Change(%)CountChange(%)TicketSizeChange(%)

SeedStage$127Mn+42%89+-18%$723K73%

GrowthStage$566Mn+4%59+51%$8Mn-20%

LateStage$775Mn+-43%23+44%$19Mn-33%

Source:Inc42

Note:BasedonIndianstartupfundingdealsrecordedin2024

?INC42MEDIANOTFORDISTRIBUTION/14

TopFundedEcommerceSub-Sectors[2014-2024]

B2Cecommerceaccountedfor46%oftotalecommercefunding

Others

5.3%

Recommerce

10.9%

B2BEcommerce

14.0%

D2C

23.7%

B2CEcommerce

16.6%

Others

8.6%

Recommerce

5.4%

B2BEcommerce

11.4%

2

4

16

5

$35Bn+

TotalFunding

8

B2CEcommerce

46.2%

D2C

58.1%

321

166

1.9K+

104

DealCount

1124

220

Source:Inc42

Note:BasedonIndianstartupfundingdealsrecordedbetween2014and2024

?INC42MEDIANOTFORDISTRIBUTION/15

DelhiNCRTopsEcommerceFundingIn2024

Since2021,DelhiNCRhasoutpacedBengaluruinecommercefundingdeals,solidifyingitspositionasahubforD2Cbrands

TopFiveStartupHubsTopFiveStartupHubs

DelhiNCR

Mumbai

Bengaluru

Jaipur

Ahmedabad

DelhiNCR

Bengaluru

Mumbai

Jaipur

Pune

020406080

DealCount

0200400600

Source:Inc42

FundingAmount($Mn)

?INC42MEDIANOTFORDISTRIBUTION/16

Top10EcommerceFundingRoundsOf2024

StartupNameSubSectorRoundSizeNotableInvestors

purplle

woodenstreet

AbuDhabiInvestmentAuthority,PremjiInvest

ChrysCapital,Motilal

OswalAlternates,

NeoGroup,A91Partners

PeakXVPartners,MUFGBank,

EuclideanCapital

NavisCapitalPartners,DragonFund

PremjiInvest,Elevation

Capital,MatrixPartners,AccelLighthouseCanton,

StrideVentures,InnoVenCapital,TrifectaCapital

Verlinvest,AnicutCapital,A91Partners

$180Mn

$153Mn

$104Mn

$60Mn

$43Mn

$36Mn

$35Mn

B2CEcommerce

B2CEcommerce

D2C

B2CEcommerce

D2C

B2BEcommerce

D2C

D2C$34MnMerakVentures

$32Mn

$30Mn

D2C

D2C

PantheraGrowthPartnersZ47,KaeCapital

PremjiInvest,EpiqCapital,EdelweissDiscoverFund

Source:Inc42

Note:ThisanalysisisbasedonthestartupfundingdealsrecordedinInc42'sproprietarydatabase.

?INC42MEDIANOTFORDISTRIBUTION/17

IndianEcommerceStartupsSawMedianInvestmentDropTo$1.8MnIn2024

Ecommercestartupsseesmallerticketsizeroundsasinvestorstakeaconservativeapproach

MedianTicketSize($Mn)

4.0

3.0

2.0

1.0

0.0

20142015201620172018201920202021202220232024

Source:Inc42

?INC42MEDIANOTFORDISTRIBUTION/18

228+M&AsRecordedByIndianEcommerceStartupsSince2014

Since2014,D2CstartupsaccountedthemostnumberofM&Atransactions

M&ADealCount

250

200

150

100

50

0

2015201620172018201920202021202220232024

Source:Inc42

Note:TheabovechartrepresentscumulativefiguresonaYoYbasis

India’sRisingAI-PoweredProgrammatic&DigitalGrowthPlatform

DriveDigitalGrowthAcrossConsumerJourneys

Prsm

PoweredbyMobAvenue

Surge

PoweredbyMobAvenue

Resurge

PoweredbyMobAvenue

ElevateBrandAwareness&

EngagementonCTV,Mobile&DOOH

DriveUserAcquisition&ProgrammaticGrowth

BoostROAS,Retention&Re-engagement

150+

ClientsWorldwide

30,000+

CampaignsDelivered

2Billion+

DevicesReached

7+

GlobalLocations

Reachusat:info@

?INC42MEDIANOTFORDISTRIBUTION/20

NotableInvestorsBackingIndianEcommerceStartups

InvestorDealCountNotableInvestments

25+

ControlZ,G.O.A.TBrandLabs,TagZFoods

14+

abCoffee,Redbasil,Bansiwala,Curlin

17+DaMENSCH,BlueTokaiCoffe,Sugar,Plum

Accel

55+Bizongo,Curefoods,DeepRooted

17+

SugarWatchers,DealBasket,Adyaway

Zyod,CountryDelight,BombayShavingCompany

ShopKirana,Vaaree,Ximkart

Bambrew,ApnaKlub,Flash,Freakins

ccalteriacapital

4ELEVT。N

FixMyCurls,SuperBottoms,Solethreads

Comet,Wishlink,TheSouledStore

27+

15+

26+

44+

42+

Source:Inc42

Note:Note:ThisisnotanexhaustivelistorinvestorrankingofanykindInvestorshavebeenlistedalphabeticallyOnlydealsrecordedinInc42’sdatabasebetween2014to2024areconsideredforthisanalysis

?INC42MEDIANOTFORDISTRIBUTION/21

NotableInvestorsBackingIndianEcommerceStartups

InvestorDealCountNotableInvestments

40+

Newme,TheBaker'sDozen,Supertails

16+

TWFFlours,FixMyCurls,GIVA

19+

PapaPawsome,LetsDressUp,BEYOBO

35+

TheBetalLeaf,Relso,FreshleafTeas

15+

BeepKart,DealShare,Pepperfry

14+DeepRooted,Wagr,Purplle

?kaecapital

22+Eternz,Foxtale,ONWO

31+Kindlife,Deconstruct,Aastey

20+

Clensta,HYPDStore,Sanfe

24+

Bambrew,EatBetter,WoollyFarms

Source:Inc42

Note:Note:ThisisnotanexhaustivelistorinvestorrankingofanykindInvestorshavebeenlistedalphabeticallyOnlydealsrecordedinInc42’sdatabasebetween2014to2024areconsideredforthisanalysis

?INC42MEDIANOTFORDISTRIBUTION/22

NotableInvestorsBackingIndianEcommerceStartups

InvestorDealCountNotableInvestments

16+

Comet,abCoffee,Venwiz

NORWEST13+OfBusiness,CityMall,MensaBrands

45+

CarDekho,Moglix,Purplle

SSAAMA

34+DaMENSCH,Mokobara,SuperBottoms

25+

TheAyurvedaCo,Pushp,OpenSecret

TIGERGLOBA35+Chaayos,Moglix,Flipkart

24+

BobaBhai,KARBANEnvirotech,LetsDressUp

TRIFECTACAPITAL

34+BlueStone,Groyyo,Zyod,MyMuse

61+

TuiBonNatural,Relso,FionaDiamonds

39+

DaMENSCH,Fabriclore,CountryDelight

Source:Inc42

Note:Note:ThisisnotanexhaustivelistorinvestorrankingofanykindInvestorshavebeenlistedalphabeticallyOnlydealsrecordedinInc42’sdatabasebetween2014to2024areconsideredforthisanalysis

InFocus:

QuickCommerce

?INC42MEDIANOTFORDISTRIBUTION/24

India’s$40Bn+QuickCommerceMarketOpportunity

MarketSize($Bn)

40

30

CAGR:37%

20

10

0

KeyGrowthDrivers

RiseOfUnplannedPurchase:AstudyofIndianonlineshoppersin2024revealedthat75%ofrespondentsreportedanincreaseinimpulsivepurchasesovertheprecedingsixmonths.Thissuggestsashiftinconsumerbehaviour,withagreaterinclinationtowardsspontaneous,unplannedpurchasesratherthanpre-plannedones.

InstantDeliveryInGroceryOverNextDay:69%of

Indianinternetcustomersfavour10-minutequick

deliverymarketplacesoverthosethatoffer

next-daydeliverywhentheyshopforgroceries.

Thehighestdailypurchasefrequencyisfor

groceries,whichisaglaringsignofIndian

consumers'increasingdesireforquickcommerce.

+PopularityAmongYoungindians:Theadoptionofquickcommerceismostprevalentamongthe(18-35)demographic,with60%oftheseusersfallingwithinthe(18-25)agebracket.Indiahousesover600Mnindividualsaged(18-35),constituting42%ofthetotalpopulation.Thissuggestsasubstantialaddressablemarketforquickcommerceenterprises.

20242030

Source:DatumIntelligence

?INC42MEDIANOTFORDISTRIBUTION/25

India’sQuickCommerceMarketLandscape

QuickCommerceNatives

Forcompaniesintheecommerceandhyperlocaldeliverysectors,therisingdemandforrapiddeliverycommonlyreferredtoas‘quickcommerce’isatrendthatcannotbeignored.Toremaincompetitive,businessesmustassessandadapttothisevolvinglandscape.

Withthequickcommercemarketprojectedtoreach$40Bnby2030,growingataCAGRof37%from2024,thesectorisexpandingatnearlytwicetherateoftheoverallecommerceindustry,whichstandsata19%CAGR.TheincreasingadoptionofquickcommercemodelsbyecommercemarketplacesfurtherreinforcesitsroleasakeydriveroffuturegrowthinIndianretail.

iblinkitzzing

snwsGtGaymnart'swishzcpto

QuickCommerceAdopters

QuickCommerceBusinessModels

+QuickCommerceNatives:Businessesdesignedfrominceptionaroundultra-fastdelivery(typicallywithin30to60minutes)astheircoreoperationalmodelandprimaryvalueproposition.

+QuickCommerceAdopters:Established

companiesintraditionalretail,ecommerce,

oradjacentsectorsthathaveintegrated

rapiddeliveryservicesintotheirexisting

businessframeworktoenhancecustomer

experienceandoperationalefficiency.

LogisticsPlayers

BLACKBUK

oeLNuervEee。mess

PORTER9YPP

Source:Inc42Analysis

?INC42MEDIANOTFORDISTRIBUTION/26

QuickCommerceInIndia:ACompetitiveLandscape

OrganisationName

NetworkStoresorMerchants

AverageOrderValue(AOV)

Food

Delivery

Monthly

Profitability

TransactingUsers(MTU)

400-500+

No

500-550NotAvailableNo

Yes

No

bliinkil

8.9

707

Mn+

1000+

3K+

Yes

NotAvailableNotAvailableNo

Yes

No

SWIGGY

unstamart

534

700+

7Mn+

'swish

NotAvailable

Yes

250-300NotAvailableNotAvailable

Yes

No

zcpto

750+

450-5504Mn+

<100

Yes

220-320NotAvailableNotAvailable

Yes

475+

NotAvailableNotAvailableNo

India’squickcommercesector,drivenbyhabit-formingconsumerbehaviourandaggressiveexpansionstrategies,isstillfarfromsustainableprofitability.However,fooddeliveryisemergingasthenextbigbattlegroundfortheseplatforms.MajorplayersthatinitiallyfocusedongroceriesBlinkit(Bistro),Zepto(ZeptoCafe),andSwiggyInstamart(Snacc)arenowaggressivelyexpandingintothespace.Atthesametime,newentrantslikeSwishandZingarebettingexclusivelyoninstantfooddelivery,signallingamajorshiftinthequickcommerceplaybook.

Source:Inc42Analysis,CompanyFilings,MediaReports

Note:TheAOVandtotalnumberofstoresforpubliclytradedcompaniesarederivedfromtheirQ3FY25ilings.Proitabilityisdeterminedonthebasisofannualproits.Thisisnotanexhaustivelist.

?INC42MEDIANOTFORDISTRIBUTION/27

EcommerceMarketplaces&RapidDeliveries

10-minutedeliveryserviceforgroceries,personalcare,andelectronics

DeliveryModel:Operatesviahyperlocalfulfilmentcentersforrapiddispatch.

TargetConsumers:Time-sensitiveurbanshoppersseekinginstantaccesstoessentials.

MarketPositioning:CompeteswithZepto,Blinkit,expandingFlipkart’squickcommercefootprint.

Impact:Reducesstorevisits,integratesconvenienceintodailyshoppinghabits.

30-minutedeliveryforfashionandbeautyproducts

LogisticsModel:Usespartnerstoresandlocalisedwarehousestospeedupdelivery.

+CompetitiveEdge:Cutswaitingtime,enhancingcustomerretentionandengagement.

ExpansionPlan:LaunchedinBengaluru,withmulti-cityrolloutplanned.

+StrategicImpact:StrengthensMyntra’sinstantretailcapabilities,settingitapartfromtraditionalecommerce.

Source:Inc42AnalysisandSecondarySources

?INC42MEDIANOTFORDISTRIBUTION/28

EcommerceMarketplaces&RapidDeliveries

Expandedsame-dayandnext-daydeliveryto110+cities,with60%ofordersdeliveredthenextday

+SupplyChainExpansion:Increasedwarehousesfrom18inFY21to44inFY24,reducingorder-to-deliverytimeby18%andfulfilmentcostsby19%.

+RegionalFulfilmentShift:Transitionedfromnationaltoregionalfulfilment,cuttingsplitshipmentsby24%andloweringairshipmentcosts.

+AIIntegration:LeveragingGenAIforcustomerexperienceenhancement,operationalefficiency,andpersonalisedengagement.

Availableinselectmetrosandtier1cities,improvingspeedandconvenienceforPrimesubscribers

NetworkExpansion:Graduallyscalingsame-daydeliverycoverage,targetinghigh-demandregions.

OperationalEfficiency:Useslocalfulfilmentcentres,warehouseautomation,andoptimiseddeliveryroutestoenablefasterdispatchandlast-mileefficiency.

ProductCoverage:Offerssame-daydeliveryonessentials,electronics,fashion,andgroceries,cateringtoinstantshoppingneeds.

Source:Inc42AnalysisandSecondarySources

?INC42MEDIANOTFORDISTRIBUTION/29

LogisticsPlayersEnablingQuickDeliveries

Delhiverylaunched2hoursdeliveryforD2Cbrands,retailersandecommerceplatform

PilotedinBengaluru,alreadystartedprocessing300ordersdaily,showingstrongdemand

PlanstoexpandrapidstoreinBengaluru,Hyderabad,Chennai,NCR,Mumbai,Pune,andAhmedabadinupcomingmonths

E

Tailor-madefulfilmentandstoragesolutionsforretail,D2Cbrands,grocery,e-commerce,consumergoods,consumerelectronics,andotherindustrialcategories

32fulfilmentcentresacrossIndia,transportationnetworkcomprisingofover1.3K+runsdaily,servicedthroughdedicatedfleet-runs,providesunmatchedcapabilitytotransportanywhereinIndia

ItusesAI/MLsystemstooptimiseroutes,minimiselocationerrors,andefficientlyplanningandmanaginginventoryandorder

Providesarangeofdelivery/courierservices,fromstandardshippingtosameday&nextdaydelivery,tailoredforD2C&E-commercebusinesses

Delivers1.5Mn+orderperdaywith2.5K+citiespresence.

Ensuringtimelydeliverywith99%TAT(turnaroundtime)adherencewithcovering18K+pincodeinthecountry

Source:Inc42AnalysisandSecondarySources

?INC42MEDIANOTFORDISTRIBUTION/30

LogisticsPlayersEnablingQuickDeliveries

shipr。cket

LaunchedShiprocketQuickfordeliveryinminuteswith24/7services

ItoffersfasterdeliverieswithpricestartingfromRs.10/Kmwithnosurgefeesfacilitatinglastmiledeliveryforecommercebusiness

Covers19K+pincodesnationwidewith1.5lakhsbusinessesorsellersannually

ZYPP

Provideslastmiledeliverysolutionforecommercebrands,Itpartnerswithquickcommercebrandstodeliverproductsacrossalllocalplaces

Deliversgroceries,medicines,food,e-commercepackagesthroughfullyautomatedIoTandAI-enabledscooterswhicharelowonmaintenanceandhighonperformance.

Currentlyover21K+ZyppEVsandpilotswhichfacilitatesthelastmiledelivery

》XPRESSBEES

Capacityof2.5Mn+sqfthubcapacityon850+networkroutes

Providesservicesto20K+pincodewith150+storagehubswhichfacilitates3.5K+servicecentresDeliver3Mn+shipmentsperdaywith28K+fieldservicerepresentativesworkinginthecompany

Source:Inc42AnalysisandSecondarySources

?INC42MEDIANOTFORDISTRIBUTION/31

ToolsAndTechnologiesToCreateAnEffectiveInstantDeliverySupplyChain

DroneDeliveries

Dronesinlogisticsimprovesefficiencybyreducingdeliverytimes,optimisingroutes,andloweringfuelconsumption,leadingtosignificantcostsavings

Dronesenablefasterdeliveries,especiallyincongestedurbanareasandremotelocations,byavoidingtrafficanddifficultterrains

Gartnerpredicts“thatin2026,morethanonemilliondroneswillbecarryingoutretaildeliveries”

AutonomousVehicles

+Autonomousvehiclesenhancelogisticsefficiencybyautomatingtaskssuchasinventorytrackingandgoodsmovement,reducinghumanerror,andimprovingoperationalproductivity

+Bydecreasingrelianceonhumandrivers,autonomousvehiclesloweroperationalcosts,whileadvancedsafetyfeaturesminimiseaccidentrisks,ensuringreliableandsecuredeliveries

InternetofThings(IoT)

IoTandreal-timetrackingprovideaccurate,real-timeupdatesonpackagelocationandstatus,improvingvisibility,reducingdelivery-relatedinquiries

+IoT-enabledsmartlocksallowsecurepackagedeliveriesevenintherecipient'sabsence,ensuringconvenienceandprotectionagainsttheftordamage

+InIndia,whereover64%ofgoodsaretransportedbyroad,IoT’sreal-timevisibilityminimisesinefficienciesandbuildsconsumertrustwithreliabletracking

Source:Inc42Analysis,SecondarySources

?INC42MEDIANOTFORDISTRIBUTION/32

ChallengesSolutions

HighLogistics&Last-MileFulfilmentCosts

Last-miledeliveryaccountsforover50%offulfilmentcostsandreverselogisticsfortime-sensitiveproductsincreasescostburdens.

AI-drivenrouteoptimisation&orderbatchingcan

lowerdeliverycostswhilemaintainingspeed.

+Bundlingincentivesforlargerorderscanimproveprofitability.

Hybridfulfilmentmodels,integratingofflineretail

storesashubs,canreduceexpansioncosts.

Regionalwarehouseinvestmentsarecriticalforscale.

GeographicConstraints&InfrastructureGaps

Same-daydeliveryremainsconcentratedinmetros,limitingreachinsemi-urbanareas

CompetitivePressure&ProfitabilityRisks

Quickcommercereliesonaggressivepricing,compressingmargins.

Tieredpricingstrategiescanofferpremiumfulfilmentoptionswhilekeepingstandarddeliveriesaffordable.

Bundlinghigh-margincategorieswithquickdeliveriescanoffsetcosts.

Sustainability&EnvironmentalConcerns

Frequentlow-batchdeliveriesincreasecarbonfootprint.

EV-basedlast-milefleetsandAI-drivenroute

consolidationcanimprovesustainability.

Source:Inc42Analysis

?INC42MEDIANOTFORDISTRIBUTION/33

TheNextPhaseofQuickCommerce

AI-LedSupplyChain&FulfilmentAutomation

AI-drivendemandforecasting,warehouseautomation,andinventoryplanningwillreduceinefficiencies.

Dynamicdispatching&real-timetrackingwilloptimiselast-mileexecutionandreducedeliverycosts.

GrowthofExpressDeliverySubscriptions

Subscripti