How Quick Commerce is Redefining FMCG Growth in Small-Town India

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Posted by NewAdmin on 2025-04-15 12:03:39 |

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Quick commerce is rapidly transforming consumer behavior across India, especially in Tier-2 and smaller cities. This emerging trend is not only redefining how consumers shop but is also opening new avenues for growth for FMCG companies and e-commerce platforms.

Leading quick commerce players like Swiggy Instamart, Zomato Blinkit, and Zepto are now expanding aggressively into cities such as Mangalore, Kanpur, and Bhopal, where they’re witnessing surprisingly strong demand. For instance, Instamart's store in Mangalore recorded over 1,000 orders in a single day—outperforming even some metro locations.

This surge is encouraging FMCG companies to rethink their go-to-market strategies. Brands such as Parle, ITC, and Hindustan Unilever are now introducing exclusive product packs tailored for quick commerce. These packs are typically priced higher than their traditional retail counterparts, targeting the convenience-driven, digital-savvy consumer while minimizing channel conflict with local kirana stores.

Moreover, quick commerce is expanding beyond groceries into categories like electronics and personal care. This diversification is expected to further accelerate growth. According to a Bernstein report, the quick commerce segment is projected to grow 75% year-on-year in 2025, largely driven by increasing adoption in smaller cities and the broadening range of products on offer. 

As this ecosystem evolves, quick commerce is becoming a powerful force multiplier—nudging consumers toward premium brands and larger packs, which are among the most profitable segments for FMCG companies. It is also helping bridge the urban-rural consumption divide by bringing metro-style convenience and choices to India's heartland.

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