Naresh Purohit 🇮🇳’s Post

Why does Amazon Want to Buy a Stake in Swiggy? Has it Missed the Quick Commerce Bus Already? The race to deliver groceries to Indian households in under 30 minutes is heating up. Players like Zomato, Swiggy, Zepto, and BigBasket are leading the charge. Despite its deep pockets and vast logistics network, Amazon finds itself playing catch-up. The e-commerce giant’s traditional focus on next-day delivery through its Prime membership has been a successful model, but it's ill-equipped for the rapid-fire demands of quick commerce. As a result, Amazon has seen its market share eroded by nimbler competitors. - Blinkit's revenue jumped to Rs 2,301 crore in FY24 compared to Rs 806 crore in the previous financial year. - Swiggy Instamart reported Rs 950 crore in revenue for April-December 2023. Swiggy’s combined revenue stood at Rs 7,800 crore in FY23. - Zepto has raised $665 million in funding this year. To stay relevant, Amazon is exploring strategic options, including a potential investment in Swiggy. This move would grant Amazon instant access to Swiggy's well-established quick commerce infrastructure, Instamart. But, the road to quick commerce dominance is fraught with challenges. The market is highly competitive, and consumer preferences are evolving rapidly. Amazon will need to execute flawlessly to regain lost ground. Amazon needs to take a call - whether to double down on its efforts or partner with an existing player. Earlier, Flipkart also tried to buy a stake in Swiggy but it didn't work out. What do you think? #Amazon #Swiggy #zepto #blinkit #zomato #quickcommerce #ecommerce

Instamart is a goldmine for Amazon, but what's in store for Swiggy? - Despite spending a lot of money, Amazon has struggled to crack vertical commerce (food, groceries, medicines etc) worldwide. - Lately, it's been trying to enter the category through partnerships (Deliveroo in the UK, GrubHub in the US) - Amazon's supply chain is optimized to ship an average of 1 product/order from a distantly located warehouse, while Swiggy optimizes the picking, packing and shipping of multiple products/orders. Quick Commerce requires a very different supply chain and won't be easy for Amazon to build. It's almost building a new business line from scratch. - In India, The top 5% of the country's households, who make up the majority of the business on Amazon, are increasingly getting hooked to the fast delivery proposition. While these customers are common between the 2 brands, over time, they might adopt buying more categories from QC instead of Amazon. - By partnering with Swiggy, Amazon could gain invaluable insights into this complex ecosystem, with specific P&L details. What's in store for Swiggy? - It gets to remove Prosus' promoter tag by offloading a 7% share. But that can be done by selling the stake to any big player. - The Arc (also the image credit) says that the backing will improve its appeal among investors. I think there could be other choices as well. What value does Amazon bring to the table? Can Swiggy use this deal to become an exclusive Quick Commerce partner for Amazon? #Amazon #Swiggy #QuickCommerce

𝗕𝗿𝗲𝗮𝗸𝗶𝗻𝗴 𝗡𝗲𝘄𝘀: 𝗔𝗺𝗮𝘇𝗼𝗻 𝗘𝘆𝗲𝘀 𝗔𝗰𝗾𝘂𝗶𝘀𝗶𝘁𝗶𝗼𝗻 𝗼𝗳 𝗦𝘄𝗶𝗴𝗴𝘆'𝘀 𝗜𝗻𝘀𝘁𝗮𝗺𝗮𝗿𝘁! Amazon is reportedly in talks to acquire Swiggy's quick commerce business, Instamart. This potential deal could be a game-changer for the industry, with implications for consumers, competitors, and the market at large. 𝐈𝐟 "𝐀𝐦𝐚𝐳𝐨𝐧" 𝐚𝐜𝐪𝐮𝐢𝐫𝐞𝐬 𝐭𝐡𝐞 "𝐒𝐰𝐢𝐠𝐠𝐲 𝐈𝐧𝐬𝐭𝐚𝐦𝐚𝐫𝐭" 𝐭𝐡𝐞𝐧 𝐭𝐡𝐞 𝐈𝐦𝐩𝐚𝐜𝐭 𝐨𝐧 𝐂𝐨𝐧𝐬𝐮𝐦𝐞𝐫𝐬 & 𝐭𝐡𝐞 𝐈𝐧𝐝𝐢𝐚𝐧 𝐦𝐚𝐫𝐤𝐞𝐭 𝐰𝐢𝐥𝐥 𝐛𝐞:- ➡️𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐈𝐦𝐩𝐚𝐜𝐭:- Currently Swiggy aims to raise over INR 10,000 Cr through its IPO, which will likely include a fresh issue of shares worth INR 3,750.1 Cr and an offer for sale (OFS) component of up to INR 6,664 Cr. The deal may not be valued Less than $10 billion. ➡️ 𝐒𝐨𝐜𝐢𝐚𝐥 𝐈𝐦𝐩𝐚𝐜𝐭:- ▶️The acquisition could lead to improved services by Amazon’s global expertise and resources, which could improve the quality and efficiency of Instamart’s services. ▶️Also increased competition in the quick commerce market, which may drive innovation and better services for consumers, and job security concerns. ▶️The deal could also lead to increased consolidation in the e-commerce market, which may reduce choices for consumers. ➡️𝐎𝐭𝐡𝐞𝐫 𝐢𝐦𝐩𝐚𝐜𝐭: ▶️Amazon may be interested in Instamart due to its own struggles to launch a quick commerce service in India. ▶️ The deal could be a way for Amazon to get a foothold in the Indian grocery market, which is a key segment for e-commerce companies Let's share your thoughts on this! How do you think it will impact the Indian e-commerce landscape? #Amazon #Swiggy #Instamart #Ecommerce #India #update #Businessnews with this it's Tapan_Kumar signing off. LinkedIn News India LinkedIn LinkedIn News

Is Amazon trying to gain a foothold in the growing quick-commerce Indian market? ➡️ Amazon has reportedly approached Swiggy for a potential deal regarding its quick-commerce vertical Instamart. Amazon is seeking to either acquire a stake in Instamart or buy it out entirely. Amazon has no official offer yet, and the deal has multiple roadblocks. ➡️ Swiggy has reportedly filed draft documents for an IPO with SEBI. ➡️ India's quick-commerce market has been attracting significant interest from companies like Swiggy, Zomato, and independent platform Zepto. ➡️ Amazon's India team has been working on launching its own quick-commerce initiative, but it requires global clearance. ➡️ Flipkart was also considering a partnership with a food delivery platform, but discussions fell apart. ➡️ Swiggy's early investors are selling their shares through secondary transactions as the company prepares for its IPO. ➡️ Swiggy's early investors sell their shares through secondary transactions as the company prepares for its IPO.

🚀 Amazon likely to Launch ‘𝗧𝗲𝘇’– A Bold New Rival for Swiggy, Zepto & Blinkit 🇮🇳⚡ Say hello to Tez, Amazon’s ultra-fast delivery platform! 🛒🔥 With Tez, Amazon is raising the stakes by delivering everyday essentials in minutes, making it the newest and toughest player in the quick-commerce arena. From groceries to snacks, household items to beauty products – Tez is here to deliver convenience faster than ever. For Swiggy Instamart, Zepto, and Blinkit, this isn’t just another competitor – it’s a 𝐰𝐚𝐤𝐞-𝐮𝐩 𝐜𝐚𝐥𝐥. With Tez, Amazon brings unmatched efficiency, a wider range of products, and its trademark customer-centric approach to the game. 𝐓𝐡𝐞 𝐪𝐮𝐞𝐬𝐭𝐢𝐨𝐧 𝐢𝐬: 𝐂𝐚𝐧 𝐭𝐡𝐞 𝐢𝐧𝐜𝐮𝐦𝐛𝐞𝐧𝐭𝐬 𝐤𝐞𝐞𝐩 𝐮𝐩? 🤔 Amazon’s entry into quick commerce signals bigger investments, faster deliveries, and tougher competition in the race to dominate India’s bustling instant delivery market. One thing’s for sure – the ultimate winner is the consumer. More options, better service, and blazing-fast deliveries are now the norm. Let the quick-commerce war begin! 🚀💥 #AmazonTez #QuickCommerce #SwiggyInstamart #Zepto #Blinkit #EcommerceInnovation #FastDeliveries #AmazonIndia #EcommerceRevolution #TechInnovation #InstantDelivery #Amazon #GameChanger

Amazon is set to enter India’s $6-billion quick commerce market, joining competitors like Blinkit, Swiggy Instamart, and Zepto. Pilots for its rapid delivery service, promising essentials in 15 minutes or less, will begin in Bengaluru this month. While the name of the service is undecided, Amazon aims to leverage its vast customer base, including Prime members, to compete. This marks a significant launch under Country Manager Samir Kumar, highlighting the shift in customer preference towards quicker deliveries. Follow us for more updates!   Email [email protected] to become a Channel Partner!   Visit www.biztrademart.com for more information. #Amazon #quickcommerce #IndiaEcommerce #Blinkit #SwiggyInstamart #Zepto #BigBasket #FlipkartMinutes #rapiddelivery #essentialsdelivery #Bengaluru #PrimeMembers #fastdelivery #ecommercenews #techinnovation #deliveryservices #AmazonIndia #Smbhav #IndiaStartups #businessstrategy #logistics

🚀Amazon Enters India’s Quick Commerce Race with Project Tez🚀 Amazon India plans to launch its quick commerce service, reportedly called "Tez," by late December or early next year. This move will put Amazon in competition with Blinkit, Zepto, and Swiggy Instamart in the fast-growing market for ultra-fast delivery of groceries and essentials, which is expected to reach $7 billion by 2024. PLANS FOR TEZ: Amazon India’s quick commerce service, code-named "Tez," is expected to launch by late December 2023 or early 2024, ahead of its original 2025 timeline. The service will focus on groceries and essentials, competing with Blinkit, Zepto, and Swiggy Instamart. Amazon is setting up dark stores, improving logistics, and hiring staff for the project. The final name of the service is yet to be decided. GROWING COMPETITION IN QUICK COMMERCE: Amazon is entering a competitive quick commerce market with rapid growth from rivals. Flipkart's "Minutes" is expanding in major cities, while Tata's Neu Flash and BigBasket are also in the race, with BigBasket reporting ₹900 crore in October sales. Zepto raised $350 million, surpassing $1 billion in reserves. Blinkit plans to raise another $1 billion through institutional funding. POTENTIAL OF QUICK COMMERCE IN INDIA: Morgan Stanley predicts the quick commerce market could reach $25–$55 billion by 2030, with high-frequency users generating 75–80% of the market value. The sector is set to surpass food delivery in gross order value by 2026. CHANGES AT AMAZON INDIA: Amazon India is preparing for its quick commerce launch with key changes, including Samir Kumar replacing Manish Tiwary as head. The company will also relocate its Bengaluru headquarters in January to cut costs. In FY24, Amazon India's marketplace revenue grew 14% to ₹25,406 crore, while losses fell 28% to ₹3,469 crore. However, growth has slowed compared to the pandemic years. Amazon will face strong competition from Blinkit, Zepto, and Flipkart in the quick commerce space. #AmazonIndia #QuickCommerce #ProjectTez #EcommerceIndia #GroceriesDelivery #UltraFastDelivery #QuickCommerceGrowth #IndianEcommerce #MarketplaceGrowth #EcommerceCompetition #FastDelivery #TezLaunch #AmazonGrowth #Tradesala

Amazon, with its unmatched global presence and a net worth of over $1.4 trillion, is finally stepping into India’s quick commerce market with Tez. The move raises a crucial question—can Amazon disrupt a segment already dominated by Zepto, Blinkit, and Swiggy Instamart? Each of these brands has its own strengths—Blinkit with its dedicated dark stores, Instamart leveraging local shops, and Zepto’s lightning-fast deliveries. The market is crowded, but if there’s one player that can shake things up, it’s Amazon. By setting up dark stores and leveraging its logistics expertise, it could potentially expand and streamline operations faster than anyone else. Still, it won’t be a walk in the park. Consumer loyalty, operational efficiency, and local insights are key, and Amazon will need to deliver on all fronts to make a mark in this highly competitive market. Having worked with multiple quick commerce businesses in the past, I understand how challenging this industry can be. But with consumer behavior evolving so rapidly, this could be a critical—and even necessary—move for Amazon. While many have struggled, Amazon’s strong network could give it the edge to scale quickly and make a real impact. With its history of redefining industries, this is definitely a story to watch. What’s your take—late entry or a smart strategy? #AmazonIndia #QuickCommerce #Ecommerce #TechInnovation

Amazon's Strategic Move: Exploring Acquisition of Swiggy's Instamart Amazon is reportedly in talks to acquire Swiggy's quick commerce arm, Instamart, as part of its strategy to strengthen its presence in India's burgeoning quick commerce market. This move positions Amazon to better compete with rivals like Flipkart, Zepto, and Blinkit by offering rapid delivery of groceries and other essentials. Why the Acquisition? 1. Market Expansion: The quick commerce sector in India is expected to grow to $5 billion by 2025. By acquiring Instamart, Amazon can tap into this fast-growing market, expanding its footprint and capturing a larger share. 2. Competitive Edge: This acquisition will provide Amazon with a significant advantage over competitors, allowing it to offer faster delivery times and a broader range of products. Benefits to Amazon 1. Increased Market Share: Integrating Instamart's established network allows Amazon to immediately increase its market presence in quick commerce. 2. Enhanced Customer Experience: Faster delivery of essential items improves customer satisfaction and loyalty, contributing to long-term growth. 3. Service Diversification: Instamart’s diverse product range, including groceries, electronics, and household items, complements Amazon's existing offerings and attracts a wider customer base. Potential Plans Post-Acquisition 1. Expansion of Services: Amazon could extend Instamart’s rapid delivery services to more cities, leveraging its extensive logistics network. 2. Integration with Amazon Prime: Offering exclusive deals and faster delivery options to Prime members can drive subscription growth. 3. Technological Enhancements: Utilizing Amazon's technological expertise to optimize Instamart’s supply chain and inventory management can enhance efficiency and reduce costs. Impact on Amazon 1. Strengthened Market Position: Acquiring Instamart positions Amazon as a leader in the quick commerce sector, enhancing its overall market dominance. 2. Revenue Growth: Tapping into the quick commerce market can significantly boost Amazon’s revenue streams. 3. Operational Synergies: While integration might pose initial challenges, Amazon’s resources and expertise can facilitate a smooth transition and operational efficiency. By strategically acquiring Instamart, Amazon aims to enhance its market presence, improve customer experiences, and drive significant growth in the quick commerce sector. #Amazon #SwiggyInstamart #QuickCommerce #Ecommerce #MarketExpansion #CustomerExperience #TechIntegration #BusinessGrowth #IndustryTrends

https://lnkd.in/dAWUF5v2 Any start up joining hands with Amazon India in quick commerce business should be a well thought strategy and not in a hurry. we have seen cases like Amazon with Future Group where Indian laws never allowed them to fund or enter physical Retail sector. so ,they took stakes in future coupan and they thought once govt ease laws then they can buy full stakes in future retail. During corona , Future Group business affected and finally they had to shut down stores . in this situation ,Amazon did not allow them to sell future retail to Reliance because of contract signed. Even CCI also penalised them but till now no solution happened even after six years. All shareholders,vendors , and employees are badly affected. Amazon could have saved them because any funding is peanuts for them. They neither eat nor allowed anyone to eat . So ,how they use dark stores. I believe dark stores are already filled with SKUs so it's something different from the warehouse concept even though delivery is done at different places. This should be coming under the physical Retail concept. Their entry will kill competition completely in the physical Retail sector. The government has to interfere. it should not be too late after they fund the business. They should make it clear before they act. Zomato Swiggy PharmEasy Zepto Netmeds.com