Back when it first emerged, quick commerce was seen as a shortcut revenue channel for D2C brands, helping them reach new customers faster than the costly, logistics-heavy route of physical retail. With consumers on these platforms eager to experiment, it quickly became an attractive growth path for emerging young brands.
A Redseer report (September 2025) notes that D2C brands generate 4x higher GMV share on quick commerce compared to e-commerce. By 2030, the report projects that 20–25% of D2C brand sales and nearly one-third of branded spends in metros will come from quick commerce.
(GMV stands for Gross Merchandise Value (or Volume) and represents the total monetary value of all goods and services sold over a specific period, before any deductions for fees, returns, or discounts)
But as the channel has grown, platforms have turned visibility into a high-stakes game. Earlier, quick commerce platforms largely monetised through commissions and consumer-side charges, with some also depending on direct onboarding fees from brands. But as the market has matured and competition intensified, these platforms have shifted focus, now expecting brands to invest in advertising, a practice that was uncommon in the early years of India’s quick commerce boom.
Akash Agarwalla, Co-Founder, ZOFF Foods, a brand featured on Shark Tank India Season 2, said that when they first entered quick commerce, commissions and onboarding fees were either waived or kept nominal. Over time, however, commissions have risen, ranging from the low to mid-teens, depending on the category. For instance, Blinkit now charges an onboarding fee of ₹25,000 per SKU (stock keeping unit).
He pointed out that earlier, advertising on these platforms was optional, and even small spends could help brands gain visibility. “Now ads have become central, with rate cards commonly ranging from ₹10–20 lakh packages per month,” Agawalla said, adding that visibility is often tied directly to ad spends.
According to him, platforms actively push brands towards advertising plans, making discoverability without ad spends increasingly difficult.
For platforms, this has become a high-margin business line: Blinkit and Zepto alone reportedly closed Rs 1,000 crore each in ad revenues in FY25.
The scale is undeniable. Statista forecasts that by 2030, 65 million Indians will regularly browse quick commerce apps for groceries, snacks, and daily essentials. Yet, the question remains: While quick commerce promises reach and discovery, can mid-to-small D2C brands truly sustain such steep costs in the long run?
Agarwalla further added that quick commerce currently offers lower margins and returns.
“Costs are high, competition is rising, and the number of quick commerce platforms is increasing,” he explains. The biggest hurdle, according to him, is listing and visibility.
“The listing fees are very high. Quick commerce players just start with 2-3 locations. Entry has become tougher than it was two years ago,” he adds. For ZOFF, however, the channel has become indispensable: 65–70% of its business now comes from quick commerce, with the brand spending 10–15% of GMV on the channel, depending on the platform.
Not every brand finds the ROI equation unfavourable. Nitpreet Chawla, Head of Marketing, Pee Safe, says quick commerce has proven to be a high-value channel for personal care.
“For us, the investment is justified as it not only boosts awareness and user acquisition but also drives higher order volumes and healthier cash flows compared to other marketplaces. In that sense, rising spending here is not just sustainable, but profitable in the long run,” she says.
Pee Safe currently allocates 30–40% of its budget to quick commerce channels. Earlier, this share was directed towards traditional e-commerce platforms.
Gaurav Manchanda, Founder & Director, Wellbe Foods & The Organic World, echoes a similar sentiment but admits margins are tighter. “We view promotional ads and discounts on quick commerce as an investment rather than an expense. While they may impact short-term profitability, they help drive trial and build trust. What we’ve seen is that once a consumer tries WellBe, they tend to come back, and that loyalty eventually evens out the cost of acquisition,” he explains.
For The Organic World, quick commerce now contributes 15–20% of its business, whereas earlier, this share was directed towards offline channels.
He says during the launch, 8% of the sales were invested in the platform; right now, it is 3% of the whole budget.
Before this, the whole investment was in the offline medium.
Deepti Karthik, Founder, Decision Pinnacle, a consultancy specialising in D2C growth, notes that brands now see quick commerce largely as an acquisition channel.
“Once they acquire customers, they want repeat purchases to shift to their own website. If the product is good and it results in retention, the desirable equation of LTV/CAC > 3 still works on this channel,” she says.
She points out that quick commerce is more plausible for brands with 70%+ gross margins, but for others, it remains a loss-making customer acquisition avenue due to the heavy upfront costs.
(LTV (Lifetime Value) is the total money a customer spends with your brand over time, while CAC (Customer Acquisition Cost) is how much it costs you to acquire that customer. The goal is to keep LTV much higher than CAC)
That said, advertising on quick commerce remains highly performance-driven compared to traditional media. Since the consumer is already on the platform with a buying mindset, every rupee spent on in-app visibility with banner placements, sponsored listings, or sampling can be directly measured in sales impact.
To navigate these challenges, Redseer suggests sharper strategies. Kushal Bhatnagar, Associate Partner, Redseer, says: “D2C brands need to sharpen their assortment by micro-market since consumption patterns vary significantly even within the same city, for example, RT Nagar is very different from Bellandur in Bangalore. Given their niche propositions, brands should focus on the right micro-markets that align with their target audience instead of spreading too wide.”
He adds that premiumisation is another lever, as quick commerce shoppers show a strong appetite for premium offerings that can offset incremental channel costs. “Ad spend optimisation is crucial. Since quick commerce journeys are largely high-intent, on-platform visibility can be costly for challenger brands. Complementing these with off-platform branding efforts can seed awareness more efficiently and improve recall among quick commerce users,” he highlights.
In many ways, quick commerce today stands at a crossroads for D2C brands. On the one hand, it offers unmatched reach, speed, and access to experimental consumers. On the other hand, it demands heavy investments and comes with tighter margins.
According to a report by Datum Intelligence, ad spends on quick commerce deliver 3–8% conversions for D2C brands, compared to 5–8% on Amazon and Flipkart, and just 1.5–3% on Google and Meta.
Quick commerce players are currently pushing brands to invest in them for visibility. But with a rapidly growing user base and an expanding range of SKUs, their position in the retail ecosystem is strengthening. What is being promoted today could soon become a requirement, potentially reshaping these platforms’ positioning in the market.
