After Flipkart, Amazon might be preparing for quick commerce battle with Blinkit, Zepto and more

Updated on 28-Aug-2024
HIGHLIGHTS

Following the lead of Zepto, Swiggy Instamart, and Zomato’s Blinkit, Flipkart recently joined the quick-commerce race with its new service, Minutes.

Now, it looks like Amazon is gearing up to enter the game as well.

Amazon is expected to launch its quick commerce service in India in the first quarter of next year.

Personally, I rely on quick commerce platforms like Blinkit, Swiggy Instamart, and Zepto every day. Whether it’s an urgent need or just the convenience of not having to step out, these services are my go-to saviours. It’s frustrating when I want something from Amazon, and even as a Prime member, the delivery estimate is still two days. 

Following the lead of Zepto, Swiggy Instamart, and Zomato’s Blinkit, Flipkart recently joined the quick-commerce race with its new service, Minutes. Now, it looks like Amazon is gearing up to enter the game as well. According to a report by Economic Times, Amazon is expected to launch its quick commerce service in India in the first quarter of next year.

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“The action in quick commerce just can’t be ignored any more,” a person aware of the matter was quoted as saying in the report.

Simultaneously, Amazon is reportedly continuing negotiations to acquire a stake in Swiggy, focusing particularly on the food delivery company’s quick service platform, Instamart. 

“The work (on a quick commerce vertical) has been in motion for some time, but now, there is clarity and a timeline,” said the aforementioned executive. Another insider confirmed the development, adding that Amazon has been internally working on the project.

However, final approval from Amazon’s headquarters will be necessary since the company has not yet launched a quick service offering globally. This approval process comes as Manish Tiwary, Amazon India’s head, is serving his notice period and is set to leave in October.

Nishant Sardana, who previously managed Amazon India’s PC, audio, camera, and large appliances business, has been tasked with overseeing the quick commerce venture.

Amazon initially led the grocery delivery sector with its Pantry service—a key area for quick commerce platforms—but later merged the next-day delivery service with the Fresh two-hour delivery option. The company relies on More Retail stores, a joint venture between Amazon and Samara Capital, to fulfil these orders, while also offering customers the option for store pick-ups.

“The idea is to gradually bring it (delivery time) down to 20-30 minutes,” said another informed source. “Amazon still has its next-day customer base for grocery and non-grocery items, but consumer adoption towards 30-minute deliveries has changed the landscape for everyone.”

While a final product is still under development, slotted deliveries may remain, and Amazon plans to kick off the service with select SKUs (stock keeping units or items). However, the company will still need to play catch-up with both existing competitors and new entrants, according to the source.

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Ayushi Jain

Tech news writer by day, BGMI player by night. Combining my passion for tech and gaming to bring you the latest in both worlds.

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