Retail leaders discuss the impact of quick commerce on retail businesses and D2C brands
New Delhi: The rise of quick commerce is redefining the landscape of India’s retail and direct-to-consumer (D2C) sectors. As demand for faster, more convenient delivery rises, businesses are exploring innovative solutions to meet evolving consumer expectations. A recent expert roundtable titled “Quick Commerce: A New Era in Retail and D2C” by IndiaRetailing in partnership with the logistics management platform Clickpost, shed light on the transformative impact of quick commerce, the challenges it presents, and the strategies brands can adopt to succeed in this fast-paced environment.
The roundtable brought together industry leaders and experts, including Natasha Tuli, co-founder & CEO of Soulflower; Vaani Chugh, co-founder & director of D’chica; Yash Kotak, Co-founder & CMO of Boheco; Swapneel Thakoor, Partner at Hello Art & Design; Yashesh Mukhi, Co-founder of CHUPPS; Suramya Jain, Co-founder & CMO of RAS Luxury Skincare; Parag Agrawal, Co-founder & CEO of Fiona Diamonds; Shahab Rizwan, Head of E-commerce at Reid & Taylor; Parth Ved, Associate Director- Operations at Nua Woman (Lagom Labs); Khushboo Ahuja, Head – D2C & E-commerce at Spykar Lifestyles; Anam Mansuri, Head of Operations at Urban Monkey; Shashwat Jain, Lead CEO’s Office at mCaffeine & Hyphen; Sarandha Parmar, Head of E-commerce at Westside; Ganeshan Nadar, Head of Operations at Westside; and Suryakant Upadhyay, E-commerce Manager at VIP Clothing. The discussion covered the future of quick commerce in India’s retail and D2C sectors.
The Growing Demand for Speed and Convenience
Quick commerce, characterised by hyper-local, rapid delivery models, has gained significant traction in recent years, particularly in urban centres. The key drivers behind this growth are shifts in consumer behaviour, with more customers expecting deliveries within hours rather than days. This shift in expectations has forced retailers and D2C brands to rethink their operational models.
Experts at the roundtable highlighted that the increasing reliance on smartphones and mobile apps has made consumers more accustomed to instant gratification. The rise of online grocery and fashion retailers embracing quick commerce models is a direct response to these changing preferences, offering faster delivery times, often within 30 minutes to two hours.
As Natasha Tuli, CEO of Soulflower, a beauty and personal care brand, pointed out, “Consumers today are more demanding, and their expectations around delivery speed and convenience have escalated. Quick commerce is no longer a trend but a necessity for companies that want to stay relevant.”
Similarly, Vaani Chugh, Co-founder & Director at D’chica, emphasised the importance of timely delivery in establishing trust and loyalty with customers. “Our customers expect speed, but they also want reliability. Offering quick commerce solutions that deliver on both fronts is crucial for any brand aiming to thrive in today’s competitive retail landscape.”
Addressing the Last-Mile Delivery Challenge
One of the most pressing challenges in quick commerce remains the last-mile delivery, which is often seen as the most expensive and logistically complex part of the process. Experts at the roundtable noted that while technology can streamline operations, the infrastructure and costs associated with ensuring timely deliveries are still major hurdles for many businesses.
“The real challenge lies in optimising the last mile. While technology can help streamline operations, the cost and infrastructure required to ensure timely delivery remain significant hurdles for many businesses,” said Shahab Rizwan, Head of E-commerce at Reid & Taylor.
Third-party logistics providers (3PLs) and tech-enabled solutions are emerging as essential partners in addressing these challenges. Brand representatives emphasised the importance of collaboration between brands and logistics providers to create more efficient, sustainable, and cost-effective last-mile delivery solutions.
Technology helps enable the last mile to a large extent. “In the last mile, technology and innovation are key. We are continuously working to optimise our delivery processes by integrating AI, machine learning, and route optimization tools, which will make last-mile delivery both faster and more cost-effective,” said Suramya Jain, Co-founder & CMO of RAS Luxury Skincare.
Sustainability: A Growing Concern
While the focus on speed and convenience dominates quick commerce strategies, the sustainability of these models is under scrutiny. Experts discussed the environmental impact of rapid delivery, including increased packaging waste and carbon emissions from frequent delivery runs, at length.
“Sustainability must be built into the DNA of quick commerce models. Companies need to explore greener packaging, optimise delivery routes, and consider electric vehicle options to reduce their carbon footprint,” said Yashesh Mukhi, Co-founder of Chupps, a footwear brand.
Ganeshan Nadar, Head of Operations at Westside, echoed these concerns, stating, “As the demand for quick commerce grows, so does the pressure on businesses to implement environmentally responsible practices. Sustainability must be prioritised, from packaging to transportation, to ensure that we’re not compromising the future for convenience today.”
Moreover, the use of data analytics and advanced AI can help brands reduce waste by forecasting demand more accurately and optimising the supply chain. This, as per Parag Agrawal, Co-founder & CEO of Fiona Diamonds, will be crucial in managing both cost and sustainability in the long run.
The Future of Quick Commerce
Looking ahead, quick commerce will continue to shape the retail and D2C sectors, but only for those who can effectively manage the complex dynamics of consumer demand, logistics, and sustainability. Experts at the roundtable agreed that for quick commerce to be a sustainable long-term model, it is crucial for brands to blend speed with operational efficiency.
“To succeed, companies need to blend speed with efficiency, ensuring that rapid delivery does not come at the cost of profitability or sustainability,” said Yashesh Mukhi, Co-founder of CHUPPS.
Parth Ved, Associate Director of operations at Nua Woman, stated, “While speed is critical, maintaining an exceptional customer experience through seamless delivery and product quality is paramount. Failing to meet consumer expectations on either front will impact long-term brand loyalty.”
In conclusion, quick commerce is poised to disrupt India’s retail and D2C sectors further, but businesses must address the challenges of last-mile delivery, logistics optimisation, and sustainability to stay competitive. Collaboration, technology adoption, and a customer-centric approach will be key to ensuring the future success of this fast-evolving sector.
