Quick commerce has changed how people shop in cities with just a few taps on the phone. It initially felt like a game-changer for customers. But now, investors face a bigger question: Can this model last? And are the rising hidden charges a smart move toward making profits?
The quick commerce space in India, led by Swiggy Instamart, Blinkit, and Zepto, is beginning to feel pressure from the ground up. Customers who once placed impulse orders — bananas at 11:45 pm, or a lone bag of sugar on a rainy evening — are now noticing the hidden costs that accompany these services.
These include:
On average, users are paying ₹40–₹50 extra per order, a meaningful increase for small-value baskets. As these micro-costs add up, so does consumer frustration.
Many users are adapting by:
As an investor, these behavioural shifts could signal a potential drop in order of frequency, higher CAC (customer acquisition cost), or even churn among low-margin customers.
Despite exponential growth and high valuations, most quick commerce platforms remain deep in the red. The path to profitability now seems to include:
These measures may improve unit economics, but at the cost of customer trust and loyalty, especially among price-sensitive segments.
The promise of scale and data-led personalisation is still strong. However, the current model is being tested on multiple fronts:
It’s worth asking: Are these charges a sign of maturing business models, or a patch for fundamental flaws in the economics?
Read more: THIS Tobacco Stock Turned ₹1 Lakh Into ₹9 Lakhs in Just 5 Years!
Quick commerce is no doubt a category-defining innovation, but the sector may be entering a phase where investor scrutiny intensifies. The customer's love for convenience is real, but the real challenge for platforms is to deliver those services at a scale without eroding margins or alienating users.
As investors, the key is to track whether these businesses can turn rising fees into sustainable profits, or whether the bubble bursts under consumer fatigue.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.
Published on: Jul 8, 2025, 11:52 AM IST
We're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
