Quick Commerce (Q-Commerce) is the next generation of e-commerce that brings small quantities of goods to customers instantly, whenever & wherever required by covering companies that provide speedy deliveries of daily items. The major factors contributing to the growth of the Quick Commerce market include changing lifestyles, growing urbanization, shifting consumer behavior, and rising consciousness towards the spread of viruses & other infections, thereby escalating the global market share of Quick Commerce in recent years.
The Global Quick Commerce Market is projected to grow at a CAGR of around 42% during the forecast period, i.e., 2022-27. The factors attributing to the growth of the Quick Commerce market is the increasing willingness among the consumers worldwide to purchase quality products such as groceries, drinks, snacks, etc., at their doorstep with a digitalized instant delivery facility. Along with this, the rising disposable income of the population is further facilitating the Q-commerce services in the regions such as North America, Asia-Pacific, Europe, etc., as the customers have become capable of paying extra delivery charges on daily-based-useful products.
|Study Period||Historical Data: 2017-20|
|Base Year: 2021|
|Forecast Period: 2022-27|
|Regions Covered||North America: The US, Canada, Mexico|
|South America: Brazil, Argentina, Rest of South America|
|Europe: Germany, The UK, France, Spain, Russia, Rest of Europe|
|Asia-Pacific: China, Japan, India, South Korea, Australia, Rest of Asia Pacific|
|Middle East & Africa: Saudi Arabia, The UAE, Egypt, Turkey, Rest of The Middle East & Africa|
|Key Companies Profiled||Gorillas Technologies GmbH, Flink SE, Delivery Hero, Gopuff, FreshDirect, Instacart, Getir, Jokr, Weezy, Miss Fresh, Grab, Swiggy Instamart, Blinkit, Others.|
|Unit Denominations||USD Million/Billion|
In addition, the expansion of local warehouses of Q-commerce platforms in less developed areas of the countries like India, China, the US, etc., to increase the accessibility of home essentials has also been positively impacting the Global Quick Commerce (Q-commerce) Market. For instance:
In 2020, the Q-commerce services experienced a considerable demand due to the flare-up of the COVID-19 pandemic. Additionally, lockdown imposed by the governments of several countries to curb the infection rate of coronavirus increased the adoption of digital tools among the consumers on daily basis for online shopping of groceries, foods, beverages, etc. This, in turn, positively impacted the market of Q-commerce worldwide. Furthermore, the growing prevalence of digitalization of shopping platforms, as a whole, across the globe is projected to drive the Q-commerce market in the forecast years.
Key Trend in the Market
The incorporation of Artificial Intelligence (AI) in Q-commerce is increasing the marketing standards for several companies. Moreover, it has helped in creating a more personalized experience by performing the analysis of customer data sets & by identifying different patterns of consumer behavior. Furthermore, the ongoing technological advancements in AI enable companies to track demand & adjust their inventory in real-time, which would enhance the growth of the market. Thus, the implementation of AI in Quick Commerce led companies to do more accurate target marketing & advertising, enhance customer retention, as well as improve sales process efficiencies.
Impact of Covid-19 on the Global Quick Commerce Market
The outbreak of the COVID-19 virus led to the emergence of Quick Commerce in various countries such as the US, Canada, India, China, Germany, etc., owing to the movement restriction measures to safeguard public health as well as growing customer need to avoid physical stores. Quick Commerce includes a new business model which provides the fastest delivery of goods & services within 10-30 minutes after ordering. Further, the COVID-19 crisis escalated the expansion of Q-commerce towards new firms, customers as well as different types of groceries products.
Additionally, before the pandemic, consumers were largely dependent upon conventional retail stores, hypermarkets, supermarkets, etc. However, COVID-19 turned consumers to adopt online platforms like Quick Commerce for buying food items & other day-to-day essentials. Hence, this phenomenon also pushed users of different age groups to take advantage of online shopping while fulfilling their everyday requirements of food & beverages, snacks, etc., within a minimum period. However, the segment also experienced a tremendous setback due to factors, concerning disrupted supply chain networks & cross-border trade restrictions, which resulted in the delay in consignments of food, beverages, and other grocery products by the manufacturers.
In addition, as manufacturing units were closed due to government restrictions, created non-availability of products in the dark stores. In contrast, post-COVID-19, the restrictions were gradually eased & the availability of the products in the dark stores was increased as consumers started opting for Quick Commerce platforms for convenient home delivery for home essential items.