India’s quick commerce market to triple by FY28

Mumbai

India’s quick commerce (Q-commerce) market is set to nearly triple in size, growing from an estimated ₹64,000 crore in FY25 to around ₹2 lakh crore by FY28, according to a new report by CareEdge Advisory.

The Q-commerce market grew at a very fast pace of 142% annually from FY22 to FY25, thanks to changing customer habits, strong local delivery networks, and a small starting base. But now, companies are shifting focus from rapid growth to improving profits and efficiency.

Tanvi Shah, Senior Director at CareEdge, said the next growth phase will be driven by expanding into Tier 2 and 3 cities and using advanced technology. Revenue from platform fees also rose sharply, from ₹450 crore in FY22 to an estimated ₹10,500 crore in FY25, and is expected to touch ₹34,500 crore by FY28. This growth comes from higher platform fees and increased order volumes.

Currently, Q-commerce makes up just 1% of India’s large grocery market, but its potential is huge. “As more people enjoy faster and easier shopping, Q-commerce will continue to grow, even if overall grocery growth is steady,” said Amir Shaikh, Assistant Director at CareEdge.

India had over 270 million online shoppers in 2024, making it the second-largest online retail market worldwide. The e-commerce sector grew nearly 24% in 2024 and is expected to grow at 21.5% each year until 2030.

By early 2025, India had 1.12 billion mobile connections and 806 million internet users, up 6.5% from the previous year. The number of internet users is expected to cross 900 million by the end of this year, further boosting Q-commerce growth.