What's Happening?
Quick-commerce platforms are significantly increasing their temporary workforce by 40-60% to handle the anticipated surge in demand during the festive season. According to staffing and recruitment services firms, this increase is driven by the expected growth in quick commerce deliveries, which are projected to account for 10% of the total e-commerce market this festive season, doubling from the previous year. Currently, about a million people are employed in the quick commerce sector. The gross merchandise value (GMV) for quick commerce is expected to reach between ₹11,000-12,000 crore during the 30-35 day festive period. Major platforms like Flipkart's Minutes, Amazon Now, Blinkit, Swiggy Instamart, Zepto, and BigBasket's BB Now are preparing for the Diwali season by scaling up their operations and hiring additional staff. Approximately 80,000 to 100,000 workers are expected to be hired for roles in dark stores, delivery, software development, and customer service, among others.
Why It's Important?
The expansion of the workforce in quick commerce platforms highlights the growing importance of this sector in the e-commerce landscape. The increased hiring reflects the competitive nature of the market and the need for companies to efficiently manage supply chains to meet consumer demand. This trend is particularly significant in Tier 1 cities, which are currently the primary drivers of volume, although Tier 2 cities are also showing rapid growth. The ability of these platforms to scale up operations quickly is crucial for maintaining service levels and customer satisfaction during peak shopping periods. The move also underscores the potential for job creation in the logistics and technology sectors, providing opportunities for a wide range of roles from delivery to backend operations.
What's Next?
As the festive season progresses, quick commerce platforms will continue to monitor demand and adjust their workforce accordingly. The success of these operations during the festive period could set a precedent for future hiring strategies and operational planning. Companies may also explore further expansion into Tier 2 cities, leveraging the increased workforce to capture new markets. Additionally, the performance of these platforms during the festive season could influence consumer preferences and expectations for quick delivery services, potentially leading to long-term shifts in shopping behavior.
