On New Year’s Eve, Q-comm sales reached a new record high.

In 2024, e-commerce giants Amazon and Flipkart joined the fray, while domestic players such as Myntra, Nykaa, and Reliance Retail piloted faster delivery services.

Quick commerce firm saw their sales soaring to unprecedented levels in December 31. However, industry leaders anticipate a tough road ahead in 2025 as competition intensifies and market dynamics evolve.

Aadit Palicha, co-founder and CEO of Zepto, underscored the sector’s remarkable growth and the challenges that lie ahead in two separate LinkedIn posts. “This New Year’s Eve marked a 200% increase in sales compared to last year. However, it will become increasingly clear in 2025 that q-commerce requires exceptional execution to thrive,” Palicha said.

“The customer value proposition will level up quickly. Unit economics and efforts to build operating leverage will evolve, and the capital markets environment for this industry will look significantly different compared to 2024 and 2023,” Palicha said.

Meanwhile, commenting on sales on December 31, Blinkit CEO Albinder Dhindsa said that the company achieved its “highest ever orders in a day”. Popular items included grapes, chips, and soda – reflecting festive trends. Swiggy Instamart also set a new record, doubling its previous New Year’s Eve sales and selling over 500,000 packets of chips. Sales of cola soft drinks surged by 394%, while clear soft drinks skyrocketed by 941%.

BigBasket, confirmed its commitment to rapid delivery by expanding into medicines via Tata 1mg and exploring food delivery in 2025. Meanwhile, Blinkit expanded its product offerings to include heaters, geysers, and air purifiers, supported by a newly introduced large-order fleet.

The q-commerce landscape is becoming increasingly crowded. In 2024, e-commerce giants Amazon and Flipkart joined the fray, while domestic players such as Myntra, Nykaa, and Reliance Retail piloted faster delivery services. Blinkit retains its position as the market leader with over 40% share, followed by Zepto and Swiggy Instamart.

Satish Meena, an analyst at Datum Intelligence, highlighted the industry’s diversification. “We can expect more players experimenting with q-commerce in categories like fashion, electronics, beauty, and medicines,” Meena observed.

A senior Blinkit official, speaking on the condition of anonymity, stressed the need for innovation to maintain market dominance. “The market has grown larger, and the number of players has increased. We’re focusing on innovation and expanding to more cities,” the executive said.

Despite robust growth, industry leaders are cautious about what lies ahead. Palicha’s comments about operational excellence underscore the thin margin for error in a sector where execution is critical.

Morgan Stanley’s recent report adds weight to this perspective, projecting that q-commerce will surpass food delivery in gross order value (GOV) by 2025. However, it warned of challenges as the market matures. “The real challenge of growth and potential market share loss will arise as the overall market matures,” the report stated.

Companies are responding by diversifying their offerings and focusing on customer retention. Zepto’s “SuperSaver” initiative encourages bulk orders, while Blinkit and BigBasket are integrating new categories to increase basket sizes and tap into varied consumer needs.

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