Amazon plans quick commerce rollout in India by early 2025

Amazon is preparing to enter India’s quick commerce market, in the first quarter of 2025, as reported by The Economic Times. This move marks a strategic shift for Amazon, as it aims to capture a share of the rapidly growing segment that rival Flipkart recently entered with its 'Minutes' service.

To lead this initiative, the company's Indian unit has appointed Nishant Sardana, who previously oversaw Amazon India's PC, audio, camera, and large appliances business, to head the quick commerce division. This leadership change aligns with broader restructuring efforts designed to strengthen Amazon's position in the fast-evolving Indian e-commerce landscape. Additionally, former Cloudtail CEO Ranjit Babu will manage other verticals, including consumer electronics and large appliances.

Reports indicate that the company is also exploring the possibility of acquiring a stake in Swiggy's quick service platform, Instamart. This potential acquisition could enhance Amazon's presence in the quick commerce space, leveraging Swiggy's established infrastructure and market experience.

Although the groundwork for Amazon’s quick commerce vertical has been underway for some time, sources confirm the same to ET that a clear timeline is now in place. However, the rollout of this service will require approvals from Amazon's global headquarters, as the company has yet to launch a quick commerce service on a global scale.

The quick commerce segment in India is intensifying, with competitors like Flipkart and BigBasket expanding their services. Flipkart’s 'Minutes' service, launched recently in Bengaluru, is now being extended to New Delhi and Mumbai. BigBasket, a player in the grocery delivery space, is also moving towards a fully quick-delivery model, shifting away from its previous mix of scheduled and quick delivery options.

The Indian e-commerce market has experienced significant growth, expanding by 18-20% in value in the first half of this year. Quick commerce, in particular, has driven this surge, with grocery sales increasing by over 38%, according to estimates by 1Lattice and Datum Intelligence. Global brokerages project that India’s quick commerce market could grow to $6 billion by 2025, up from negligible levels just three years ago.