Asia-Pacific Quick Commerce Market is anticipated to grow at a 21% CAGR from 2024 to 2029, spurred by expanding urbanization and e-commerce infrastructure.
With the quickening pace of urban life across the Asia-Pacific, quick commerce is the ultimate enabler of delivery groceries or gadgets through the record time it takes, revolutionizing the way people shop. Innovation and emerging technologies drive growth in the APAC quick commerce market. An important innovation around that area is a hyperlocal fulfillment center, known as a dark store, which enables companies to store and deliver products quickly within urban areas. Robotics and automation have started to be active fields of change in the warehousing and last mile delivery space, with companies moving to pilot autonomous delivery robots and drones. While sustainability gets bigger on the charts, quick commerce companies are going increasingly green: changing their vehicles for delivery to electric cars, getting waste out of packaging, and bringing fresh energy-efficient technologies to operations. Sustainability has sharply increased in the APAC quick commerce market because of fast growth, which substantially contributes to generating jobs and boosting economic growth. This, in turn, creates jobs from delivery people and warehouse staff to the developers of the technologies and logistic coordinators. Not to mention, it supports their local economies by generating employment. Fast commerce relies on effective logistics and infrastructures. Organizations establish dark stores warehouses that cater exclusively to online orders in strategic areas for fast order delivery. Last-mile delivery innovation that is more advanced comprises motorcycles, electric scooters, and drones, which help navigate urban areas and increase delivery speed of products. Quick-commerce services in China are based on rapidly changing and competitive markets; a host of large players spearhead operations, backed by deepening technological inputs and an expansive delivery network led by Dada Group and Meituan. The Indian quick commerce market is growing. There, the companies active are BigBasket and Zepto, which are more focused on urban centres and emerging cities. The South-East Asia quick commerce market is very dynamic at the front, with key players such as Grab and Gojek driving it across this space. The considerably tech-savvy young population with rising disposable incomes has been contributing to growth in this part of the world. Probably the most important related innovation in quick commerce is the establishment of hyperlocal fulfillment centers, otherwise referred to as dark stores. According to the research report "Asia-Pacific Quick Commerce Market Outlook, 2029," published by Bonafide Research, the Asia-Pacific Quick Commerce market is anticipated to grow at more than 21% CAGR from 2024 to 2029. Advanced fulfillment technologies contribute to the changed face of the quick commerce market. Automated warehouse systems, like robot picking and packing, are making operations smoother and speeding up times of processing. One of the greatest challenges to quick commerce firms lies in managing operational costs vis-à-vis profitability. Delivery, at such high speeds is expensive, most obviously from a logistics, technological infrastructure, and cost of labor point of view. Quick commerce firms boomed very early in the course of the COVID-19 pandemic because of growing consumer dependency toward online shopping for the sake of both convenience and safety. The pandemic outbreak facilitated lockdowns and social distancing due to an increase in the demand for rapid delivery service manyfold. The trend is likely to stay on because, for consumers, the possibility of convenient and secure home delivery probably trumps everything. All this combines with the interest in making big metropolitan areas the center of growing quick commerce services in tier 2 and 3 cities. It has a Gen-Next population, and the market base, being the metro and tier 1 cities apart, extends to the tier 2 and tier 3 cities. The Country is on the brink of watching its demand spurt. The demand for quickings is going to be on the rise in the South Korean and Australian markets. The regulatory environment concerning quick commerce" is different from one country to another in APAC. Such laws might encompass provisions relating to labour standards, food safety, data protection, and vehicle use.
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Download SampleMarket Drivers • Tech-Savvy Youth Population: APAC is home to a large and tech-savvy youth population, particularly in countries like China, India, and South Korea. This demographic is highly engaged with digital platforms, driving demand for quick commerce services. The youth's preference for online shopping, coupled with their comfort in using mobile apps and digital payment systems, has accelerated the adoption of quick commerce in the region. Companies in APAC are leveraging social media and influencer marketing to reach this audience, offering trendy and affordable products with rapid delivery times. • E-commerce Giants and Ecosystem Integration: The presence of e-commerce giants like Alibaba, JD.com, and Amazon in the APAC region has significantly influenced the quick commerce market. These companies are integrating quick commerce into their existing ecosystems, offering consumers seamless shopping experiences. For example, Alibaba's Hema supermarkets and JD.com's JD Daojia offer hyper-local delivery services that deliver groceries and essentials within 30 minutes. This integration with large e-commerce platforms has made quick commerce more accessible and popular among consumers. Market Trends • Payment System Diversity: While digital payments are growing in APAC, the region's diverse payment systems present challenges. Different countries have varying levels of digital payment adoption, with some markets still relying heavily on cash. For instance, while mobile wallets dominate in China (e.g., Alipay and WeChat Pay), other markets like India have a mix of UPI, mobile wallets, and cash-on-delivery. This diversity requires quick commerce companies to adapt to local payment preferences, complicating operations and increasing transaction costs. • Complex Regulatory Environment: The regulatory environment in APAC is highly complex and varies significantly across countries. Each market has its own set of regulations concerning data privacy, consumer protection, and e-commerce operations. For example, China has stringent data localization laws, while India has specific regulations around foreign investment in e-commerce. Navigating these varied regulations is challenging for quick commerce companies, especially those operating across multiple APAC markets. Compliance with local laws while maintaining operational efficiency can be difficult and costly. Market Challenges • Rise of Quick Service Restaurants (QSR) Partnerships: In APAC, there's a growing trend of quick commerce platforms partnering with quick service restaurants (QSRs) and food delivery services. This collaboration is particularly strong in urban areas where demand for food delivery is high. Platforms like Grab in Southeast Asia and Meituan in China are not just delivering groceries but meals from popular QSRs. This trend is driving the growth of quick commerce by broadening the range of products and services available for rapid delivery. • Development of Super Apps: The development of "super apps" is a significant trend in the APAC quick commerce market. Super apps like Grab, Gojek, and WeChat combine multiple services, including quick commerce, ride-hailing, financial services, and more, into a single platform. These apps offer a one-stop-shop experience for consumers, making it easy to access quick commerce services alongside other daily needs. The convenience and integration provided by super apps are driving their popularity, particularly in Southeast Asia and China, where they are becoming a dominant force in the market.
By Product Type | Food & Groceries | |
Stationary | ||
Personal Care Items | ||
Small Electronics & Accessories | ||
Others (Pets, alcohol, gifts & flowers, Medicines) | ||
By Payment Mode | Cash on Delivery | |
Online | ||
By Technology | Application Based Operation | |
Hybrid Operation | ||
Website Based Operation | ||
Asia-Pacific | China | |
Japan | ||
India | ||
Australia | ||
South Korea |
The food and grocery at the top in the APAC quick commerce market are rapid digital transformation and a large consumer base spread across the region who are tech-savvy, demanding convenience, and instant gratification. Fast urban life, combined with ever-growing internet and smartphone penetration, pushed consumers to adopt innovative shopping solutions focusing on speed and ease. Food and groceries are very strong use cases for APAC since these are day-to-day requirement products, and consumers really value the ease and quick delivery associated with them. The traditional way of shopping for groceries is quite time-consuming and sometimes not very convenient since one needs to travel, face crowds, and carry heavy bags home. Quick commerce platforms solve these problems by bringing a broad portfolio of products directly to the consumer's doorstep within minutes, from fresh produce and FMCG to packaged goods. This resonates very well with the busy urban population, young professionals, and the growing middle class in this region. Another driver for the APAC market has to do with the rapid adoption of mobile technologies; as a result, consumers are feeling increasingly comfortable shopping online and via apps. This shift to online grocery shopping, in fact, was accelerated by the COVID-19 pandemic as consumers sought out safer and more convenient ways to shop versus in-store trips. It is, therefore, this surge in demand for quick commerce that has encouraged a number of startups, and established retailers alike, to invest in rapid delivery infrastructure. The APAC region is very densely urbanized with compact and high-rise living styles, making it a geography ripe for efficient and fast delivery services. Some of these factors have made Food & Groceries the leading category in the APAC quick commerce market, and there is immense growth potential as consumers continue to embrace the convenience and immediacy of on-demand delivery. The online is leading the quick commerce market in the Asia-Pacific (APAC) region is the rapid urbanization and the increasing demand for instant delivery services among a tech-savvy population. The APAC quick commerce market has witnessed explosive growth, driven by the region's unique demographic and economic landscape. As urban centers expand, a significant portion of the population is moving to cities, where busy lifestyles and high consumer expectations fuel the demand for convenience. Quick commerce, which focuses on delivering groceries and daily essentials within a remarkably short timeframe often under 30 minutes aligns perfectly with the needs of urban consumers who prioritize speed and efficiency. This demand is particularly pronounced in countries like India, China, and Indonesia, where a large working-class population seeks to balance professional commitments with personal life, often relying on quick commerce to save time on essential shopping. The proliferation of smartphones and internet access across the region has enabled consumers to engage with quick commerce platforms easily. The rise of mobile applications that facilitate seamless ordering and real-time tracking has made it convenient for consumers to access a wide range of products from the comfort of their homes or while on the move. This accessibility is further enhanced by the competitive landscape, where numerous startups and established players are vying for market share, leading to innovations in service delivery and customer experience. The COVID-19 pandemic has played a pivotal role in accelerating the adoption of quick commerce in APAC. With lockdowns and health concerns prompting consumers to avoid physical stores, many turned to online platforms for their shopping needs. This shift has led to a surge in demand for delivery services, prompting quick commerce providers to expand their offerings and improve logistics operations to meet consumer expectations. The application-based operations are leading in the Asia-Pacific (APAC) quick commerce market is their seamless integration with the region's highly developed mobile ecosystem and their ability to cater to the diverse, densely populated urban centers across APAC countries. The APAC region, home to some of the world's most populous and technologically advanced countries, presents a unique environment where mobile technology is deeply ingrained in daily life. This has created an ideal breeding ground for app-based quick commerce to flourish and evolve at an unprecedented pace. The success of app-based operations in APAC is the region's exceptionally high smartphone penetration rate. Countries like South Korea, Japan, and China boast some of the highest smartphone usage rates globally, with mobile devices serving as the primary means of internet access for a significant portion of the population. This mobile-centric lifestyle has naturally led to a preference for app-based services across various sectors, including commerce. The APAC region is characterized by its densely populated urban centers, which provide an ideal setting for quick commerce operations. Cities like Tokyo, Seoul, Shanghai, and Singapore offer the population density and infrastructure necessary to make ultra-fast delivery economically viable. App-based platforms have capitalized on this urban landscape, optimizing their operations to navigate through congested city streets and high-rise buildings efficiently. A crucial aspect of app-based quick commerce success in APAC is its integration with the region's advanced digital payment ecosystems. Countries like China have leapfrogged traditional banking systems, moving directly to mobile payment solutions. Apps like WeChat and Alipay in China, or Paytm in India, have paved the way for seamless in-app purchases, making the transaction process in quick commerce applications smooth and familiar for users. The super app trend, which originated in APAC, has played a significant role in the dominance of app-based quick commerce. Platforms like Grab in Southeast Asia or Gojek in Indonesia started as ride-hailing services but have expanded to encompass a wide range of services, including quick commerce.
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China is being bulldozed into the quick commerce market of the Asia-Pacific because of this most compelling e-commerce landscape that has sparked an oversized demand for fast and convenient delivery options. The Chinese e-commerce market is the biggest in the world, with 854(approx.) million online shoppers. This big marketplace size has, been a drive to quicken commerce while consumers increasingly expect same-day or next-day delivery for their online purchases. Country-based e-commerce giants such as those of Alibaba's Taobao and JD.com have developed very solid investment-based cases in their logistic and delivery capabilities that enable them to offer fast and reliable delivery services to all customers around the country. China's well-developed digital payment system has arguably equally spurred the growth of quick commerce. China has an adoption rate of over 70% on mobile payments, the highest in the world. This has made it fairly possible for consumers to shop online and hence have access to quick commerce services, as digital payments platforms such as Alipay and WeChat Pay provide seamless and convenient payment experiences. In addition, fast daily life in China, associated with the wave of urbanization, has further fueled demand for quick commerce since many buyers are seeking solutions to their shopping needs that are convenient and time-saving. The commercial environment within which Quick Commerce companies operate in a much of China is government support, including the efforts of the Chinese government towards e-commerce and the digital economy. Government strategies to "New Retail" integrate online and offline retail, encourage quick commerce, and omnichannel retailing. Further accelerating the demand for quick commerce is the rise of social commerce in China; many consumers use various social media platforms, like WeChat and Douyin, to discover and make purchases, expecting delivery to be on time.
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• In 2022, Blinkit (Grofers) announced to open 200 dark stores in India to facilitate grocery delivery services in ten minutes, owing to the spike in online orders. • In January 2022, Zepto launched Cafe Coffee Day beverages on its quick commerce app to expand its product portfolio. This allowed customers to order coffee along with groceries for quick delivery.
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