The short commerce sector in India is witnessing a growth, with the market rising almost 60X within the final 5 years. The surge has prompted even conventional e-commerce giants to pivot in direction of quicker supply fashions.
In November 2024, Myntra introduced its foray into the 30-minute supply house with ‘M-Now,’ underscoring the growing competitors within the section. Amazon’s Prime service had already shortened supply timelines with same-day and one-day choices, and now others are following go well with.
With fast commerce gaining traction, questions come up over whether or not extra e-commerce gamers will enter this house. Vidit Aatrey, Co-founder and CEO of Meesho, shared his perspective on the Make investments Karnataka occasion in Bengaluru, suggesting that whereas fast commerce has achieved a product-market match, its enchantment stays restricted to sure classes and a selected client base.
“There are individuals shopping for issues from this section, however it’s restricted to sure classes, pushed primarily by the necessity for pace,” Aatrey stated. “Customers who prioritise comfort are keen to pay a premium, a platform charge, or a comfort charge. Nevertheless, nearly all of India will not be keen to do this—and that’s the true hole we’re working to bridge.”
Not like fast commerce gamers, Meesho has a distinct imaginative and prescient. “Our aim has by no means been simply to unravel for comfort, as there have all the time been gamers addressing that want, each previously and in the present day,” Aatrey stated. “Many individuals in Tier-1 cities have been purchasing on Amazon primarily due to its pace—one-day supply, same-day supply. As a substitute, our focus has all the time been on bringing nearly all of the nation on-line—each shoppers and small companies.”
For Meesho, the important thing drivers are affordability and accessibility, quite than ultra-fast deliveries.
In the meantime, the corporate just lately raised funding from Tiger World Administration, Assume Investments, and Mars Development Capital, with participation from Peak XV Companions and WestBridge Capital, in accordance with Tracxn. As Meesho gears up for an IPO, it has additionally moved the NCLT for reverse flipping to India, with plans to file its DRHP within the second half of this yr.
