Amazon India is piloting a quick commerce service in India. Following this move, the Indian arm of the US-based retail giant is said to offer quick deliveries of groceries and other daily essential items in 15 minutes or less. Notably, in November, Amazon India was reported to launch its quick commerce service called Tez in the country by late December or early next year, and this rollout is now taking place.
Amazon’s Quick Commerce Service
India’s quick commerce market is currently dominated by players such as Zomato-owned Blinkit, Swiggy Instamart, and Zepto. It also has two other Indian companies, combined which bring in annual sales of reportedly approximately $6 billion (roughly Rs. 50,910 Crore). According to a TechCrunch report, Amazon will become the sixth major participant in this sector.
The pilot is initially rolling out in Bengaluru, as per the report. Customers are said to be able to order groceries and other daily essential items with a promised delivery within 15 minutes.
At the announcement, Samir Kumar, Country Manager of Amazon India said, “Our strategy has always focused on “Selection, Value and Convenience” and our vision is to build a large profitable business in India.”
Notably, the report highlights that India is the only market where Amazon is piloting a quick commerce service. Walmart-owned Flipkart, which is its main rival in the e-commerce space, already offers a similar service called Flipkart Minutes that launched in August this year. It offers quick delivery of groceries, electronics, and other items.
“So, while we focus on implementing our strategy to offer the largest selection at fastest speeds and greatest value to customers in every single pin-code across the country, we will soon be starting a pilot to give our customers a choice to get their everyday essentials in 15 min or less. We already have millions of customers across India including Prime Members who trust us and will look forward to this convenience”, the executive added.
However, the new service is not expected to replace Amazon Fresh — another service by the e-commerce platform for delivering fresh food, drinks, personal care, home care, and other daily essential items, according to Inc42. The report suggests it is likely to be a derivative of it instead.