Temasek unfazed by quick commerce wars, says ‘it’s just the tip of the iceberg’

Singapore state investor Temasek remains firmly bullish on India’s quick commerce opportunity despite intensifying competition from Amazon, Flipkart and Zepto, saying the sector is still in its infancy and has a long runway for growth.

“It’s only just started. It’s just the tip of the iceberg,” Ravi Lambah, Head of Strategic Initiatives and Head of India at Temasek International, told CNBC-TV18.

The comments come at a time when the sector is entering a new phase. Zepto is preparing for a public listing, while Amazon and Flipkart have rapidly expanded their quick commerce offerings, triggering another round of investment and raising fresh concerns among investors over competitive intensity and cash burn, just as the industry’s focus had begun shifting towards profitability and stronger unit economics.

Temasek, which is an investor in Eternal, believes the long-term opportunity remains intact despite the crowded market.

“There’s a lot of value to be created.”

Lambah said the eventual winners would be determined not by aggressive expansion alone, but by execution.

“You have to execute well. You have to use the right cost structure and plan the technology in such a way that it can help you scale profitably.”

According to Kotak Institutional Equities, India’s top three quick commerce players ended FY26 with 4,525 dark stores, ₹92,000 crore of gross merchandise value and nearly 2 billion annual orders, highlighting the scale the industry has already achieved. Meanwhile, Bernstein estimates the top five players added almost 900 dark stores between April and July, as competition intensified.

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Drawing parallels with the evolution of e-commerce, Lambah said Temasek sees quick commerce as a long-term structural opportunity rather than a short-term competitive battle.

“E-commerce had a long runway 10 years ago. Quick commerce is part of e-commerce… this is a space that we understand very well.”

While Temasek declined to comment on individual companies, the remarks signal the investor remains committed to the broader quick commerce theme even as public markets increasingly scrutinise profitability over growth at any cost.

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