Critical success factors for quick commerce grocery delivery in India: an exploratory study.

Abstract

On-demand delivery of groceries through quick commerce has gained traction after Covid-19 pandemic evincing the interest of regional and national level start- ups in India. This model of online grocery delivery has immense potential due to convenience for customers and speed of delivery. However, survival in this business needs infusion of funds for expansion, controlling costs and managing the efficient deployment of funds. Revenues cannot be earned only from delivery charges or from margins. Other sources of generating revenues are critical. Earlier, start-ups focused only on scaling up the business without an eye on profitability. But now earning profits from this model has become imperative. This has spurred consolidation among the market players. This research effort discusses these developments and attempts to identify critical success factors that can lead to long term sustainability of this business model. The paper also makes recommendations so that operations can be made profitable.