Amazon and Flipkart Set to Revolutionize India’s Quick-Commerce Market in 2025
The quick-commerce sector in India is poised for significant disruption as e-commerce giants Amazon and Flipkart prepare to enter the space, intensifying competition with established players Blinkit and Swiggy. With plans to launch their services, “Tez” and “Minutes,” in 2025, the American companies aim to capture a growing share of this fast-paced market.
Amazon Pilots ‘Tez’ for Faster Deliveries
Amazon has begun testing its quick-commerce initiative, “Tez,” in select Bengaluru neighborhoods. The service focuses on delivering everyday essentials from sellers within minutes, utilizing strategically located dark stores and collaborations with third-party logistics providers.
An Amazon spokesperson confirmed the pilot program, which highlights the company’s commitment to innovation in delivery speeds and customer convenience. “This limited pilot in select pin codes of Bengaluru is a trial to offer even faster speeds on a selection of everyday essentials,” the spokesperson said. The move aligns with Amazon’s strategy to enhance its logistics capabilities and compete effectively in the high-demand, quick-commerce market.
By leveraging its infrastructure and logistics expertise, Amazon aims to cater to consumers seeking faster delivery of daily essentials. The pilot is expected to be a foundation for a broader rollout in 2025.
Flipkart Expands ‘Minutes’ and Product Offerings
The ambitious Minutes service of Flipkart, a quick-commerce operator, is on its expansion path as the company aims to open 150 dark stores in the current quarter. Walmart-owned Flipkart is also growing into categories such as mobiles and phones, laptops, and Medicines in a few localities in Bengaluru.
According to a Jefferies report published last week, Flipkart has adopted cutthroat pricing to challenge rivals, including Blinkit, Swiggy Instamart, and Zepto. The report also highlights that Flipkart Minutes is always stocked with high-selling electronics such as iPhones compared to rivals who stock such categories irregularly.
The management’s direction is to increase the company’s presence in new cities such as Kolkata, and the company’s product portfolio makes the company more competitive. As a result of Flipkart’s strategies, it is predicted that the already-existing players in the quick-commerce segment will be threatened.
At the same time, firms in India are also increasing their swift commerce goals, Khanna said. The Tata group-owned BigBasket has incorporated Tata Cliq to offer 15-minute Delivery of Fashion products, which is quite innovative in the segment. Such diversification contributes to developing other types of quick-commerce services apart from daily necessities.