Quick Commerce Is Fashion Retailers' Next Battleground

Reliance, Myntra, Libas aim to tap the preference for same-day deliveries among consumers

- Suneera Tandon

After getting urban Indians hooked to 10-minute groceries and electronics, India's online retailers will now battle for quick delivery of a category tailored to fuel instant gratification: fashion.

On Friday, Reliance Retail Ltd, India's largest retailer, rolled out Ajio Rush, the online platform's four-hour delivery service that is live in six cities. Earlier this year, Myntra expanded its quick commerce offerings with its M-Now services in Delhi and Mumbai. Brick-and-mortar retailer Libas is also increasing investments in quick commerce, using its own dark stores and partnering with third-party platforms.

Fashion retailers aim to tap the preference for same-day deliveries among consumers. India's quick commerce market has grown 150% year-on-year, reaching $10 billion in gross merchandise value and a monthly run rate of $900-950 million, according to Redseer estimates. However, it still accounts for only 15% of the e-commerce market, estimated at $70 billion, with significant headroom to grow.

Retailers have started by offering select and high-selling fashion items through quick commerce. Ajio's Rush has seen an encouraging response in its initial days, according to a senior company executive.