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What’s driving the success of electronics on Q-commerce

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Shiv Joshi
Shiv Joshi
An editor with over 20 years of experience across industry verticals and content formats from tabloids to magazines, he is the Deputy Group Managing Editor at Images Group.

Electronics are among the hottest selling items on q-commerce. Here’s what’s driving the trend and why the collaboration is a win-win for all stakeholders

On 16 September, social media was abuzz with talk of the speed at which consumers were lapping up iPhone 16, not in stores, but on quick commerce. And the frenzy started as early as 7 am. While the Tata-owned BigBasket sold 372 units in the first 100 minutes, Blinkit sold 300 within the first two hours of listing on the respective platforms.

Both Albinder Dhindsa, founder of BlinkIt and Hari Menon, chief executive officer, BigBasket took to social media to express their excitement on this.

Q-commerce players have been expanding their baskets to include more and more categories with gadgets being the current hot item.

The trend has picked up considerably in the last couple of months with well-known brands like Apple to Boat and lesser-known brands like Ambrane have taken the q-commerce route to consumers.

“Bigbasket started electronics with the iPhone launch on 16 September. Prior to that, we were selling small appliances (mixies, electric kettles, toasters, irons etc), accessories like chargers, adapters, power cords etc and headphones,” shared Seshu Kumar, Chief Buying and Merchandising Officer, Bigbasket. And the brand got an incredible response with the highest sale for iPhones on Bigbasket being registered in Delhi NCR.

In fact, encouraged by the success of iPhone, Bigbasket will soon host an electronics store powered by Croma, co-founder Menon revealed in a LinkedIn post.

Just as q-commerce platforms are eager to increase their electronics and appliances spread, brands too are in a dash to be available on the channel.

The brand perspective

The obvious reason for brands to be available on q-commerce is immediacy.

“Brands are increasingly open to partnerships with q-com players given the success seen in grocery. There is a clear consumer use case for lower value daily-use electronics such as earphones, charging cables, speakers, watches, etc. While the range that will be available on q-commerce will be limited vs e-commerce, the focus will be on the top-selling stock-keeping units (SKUs),” Shivaraj Jayakumar Member of the Consumer and Internet practice at Praxis Global Alliance said.

“FMCG brands who embraced q-commerce have seen q-com contribution increase to 35% of overall e-commerce sales. Further, q-comm companies are also expanding rapidly across towns in urban India which presents a massive future opportunity,” added Jayakumar.

Electronics brands want to benefit from the popularity of q-commerce as a preferred channel for shopping. Hence, being absent from the channel can lead to lost sales opportunities.

Q-commerce, projected to touch US$ 5.5 billion by 2025 as per a RedSeer report, seems to be a perfect platform for brands like Ambrane which offers a wide variety of products across multiple categories, including power banks, smart wearables, mobile accessories, audio products, grooming devices, charging solutions, IT accessories, small home appliances, and other smart gadgets. “Our range is available across e-commerce and now quick commerce channels like Blinkit – where we are the number one brand for charging essentials, Zepto, Swiggy Instamart, and BB Now, ensuring even faster access to our products,” shared Ashok Rajpal, Managing Director – Ambrane India, which recently tied up with Zepto to be available in over 17 cities including Bengaluru, Mumbai, Hyderabad, Chennai, Delhi and Pune.

Around 75% of the brand’s total sales come from e-commerce platforms, the brand expects further growth from quick commerce in the coming months as it is seeing good traction, its MD said.

q commerce dark store
Representative Image | Image by freepik

The Q-commerce perspective

Electronics offers an opportunity to benefit from the unit economics for quick commerce platforms, say experts.

They are moving towards electronics in addition to other categories like fashion, personal care and gifting to drive better margins and higher average order value.

“The combined impact of multi-echelon inventory optimization (MEIO), enhanced financing options, faster fund rotations, reduced return rates and cost reduction in inventory management creates a powerful foundation for q-commerce in the gadgets market,” said Anshu Kumar Gupta, retail expert.

According to him, one of q-commerce’s strongest advantages lies in its ability to minimize customer returns—an area where traditional e-commerce falters with average return rates of 20-30%.

“Q-commerce circumvents this challenge, alongside avoiding the costly necessity of blocking inventory for in-store sales, which often incurs high rental expenses in physical retail. Together, these factors create an environment of unmatched efficiency and profitability, making q-commerce’s entry into the gadget space not only timely but exceptionally compelling for future growth,” explained Gupta.

The key advantages q-commerce players derive from selling electronics as outlined by Gupta include:

MEIO Advantage: By balancing inventory across the supply chain, companies can significantly increase inventory turns, enhancing cash flow and operational efficiency. This strategic approach mitigates stockouts and overstock situations.

Financing Accessibility: The rise in diverse financing products empowers consumers to make larger gadget purchases, fostering a more robust consumer market and driving sales growth.

Fund Turnaround Efficiency: Rapid fund rotation is crucial for capitalizing on high-value purchases, leading to improved topline growth and enabling reinvestment in business operations.

Return Rate Minimization: Q-commerce’s ability to lower return rates presents a significant competitive edge, reducing costs and improving customer satisfaction by ensuring better product fit and quality.

Cost Reduction in Inventory Management: Avoiding the necessity of blocking inventory for in-store sales allows businesses to streamline operations and reduce expenses associated with physical retail.

What’s in it for consumers

Consumers are increasingly demanding convenience and speed, which q-commerce delivers successfully.

Kumar of BigBasket shared that there is a segment of customers who place a premium on delivery time, which platforms like BigBaket are targeting customers for non-grocery categories.

“Increasingly for customers, the cost of convenience provided by q-com companies is significantly lower than planning a shopping trip to the nearby electronics retailer or planned ordering for their requirements,” Jayakumar of Praxis said, adding that eventually, brands will even use q-commerce as a platform to be leveraged for launching specific models to enhance the consumer experience.

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