Quick delivery app Zepto witnessed a whopping 946 percent user growth between December 21 and March 22. Trailing behind are Dunzo and Big Basket, securing 94 percent and 58 percent growth, respectively.
A relatively new entrant in the Q-commerce segment Zepto had the highest number of active users on their app month on month, between December 21 and March 22, according to a report by Bobble Ai. Also, Zepto’s open rate was 63 percent on December 21, 76 percent on Jan 22, 60 percent on February 22, and 54 percent on March 22, much ahead of Dunzo, Blinkit, and Bigbasket. However, in terms of time spent by users on delivery apps, Dunzo topped the list.
Interestingly, Zepto’s market share is dominated by Delhi & Gurgaon (30 percent), followed by Bangalore (22 percent), Mumbai (21 percent), Hyderabad (15 percent), Pune, and Chennai (6 percent). The top competitors for Zepto are Blinkit in Delhi and Gurgaon, Dunzo in Bangalore and Chennai, and Big Basket in Mumbai, Hyderabad, and Pune, the report further stated.
Grocery shopping tops the list, with the most ordered items being milk, cooking oil, sugar, curd, rice, bread, onion, cakes, atta, and potato chips.
Tabrez Alam, Chief Data & Strategy Officer - Bobble AI, stated, “We realized that Zepto, although a relatively new entrant in the 10-minute delivery space registered such astounding growth in terms of the user base, leaving behind older players such as Dunzo, Blinkit (erstwhile Grofers), and Big Basket. The comparative study also revealed that quick commerce adoption saw unprecedented uptake in the post-Covid period. The burgeoning online population and their increasing preference for online shopping are facilitating the market to grow rapidly.”
People between the age bracket of 25 and 35 are the most prolific users of delivery apps promising fast and 10 minutes delivery. This is followed by the 18 to 25-year-olds.
As per Sanford C. Bernstein, India’s grocery market is estimated to be worth $25 billion by 2025, securing a 3.5 percent reach as compared to 1 percent now. The quick commerce model saw a rapid uptick in other markets as well, such as North America and Europe. Long-term structural drivers remain robust, such as rising income and affluence, lower-tier consumption, e-commerce penetration (~30 percent CAGR), and a young population (~50 percent under 25). Customers’ are ready to pay a premium for quality products and the burgeoning market for home delivery has contributed to the growth of quick commerce in India.