Highlights
PhonePe Enters Quick Commerce Market with Pincode
PhonePe, supported by Walmart, is preparing to launch its quick commerce service through its e-commerce initiative, Pincode, as reported by various media outlets. This move marks the company’s third foray into online retail under the leadership of Sameer Nigam.
Pincode’s Current Operations
In April of the previous year, the Pincode app discontinued its non-food services on the Open Network for Digital Commerce (ONDC). Presently, the app exclusively provides food delivery and unreserved ticket booking through ONDC.
Expansion into Quick Commerce
According to a report by ET, Pincode has transitioned entirely to the quick commerce model, initiating 15-minute delivery services in selected areas across six key cities:
- Bengaluru
- Mumbai
- New Delhi
- Pune
- Hyderabad
- Varanasi
The company aims to enhance its coverage to approximately 25% within these regions in the coming weeks. A comprehensive rollout of services is anticipated between April and June 2025.
Market Competition
Startup Superb has reached out to PhonePe for further comments regarding this development. Following in the footsteps of Flipkart, PhonePe will become the second entity from the same parent group to delve into the instant delivery sector. Other prominent players in this industry include Zomato and Blinkit.
In recent months, both established firms and newcomers have entered the quick commerce market. Notable leaders such as Blinkit, Zepto, and Instamart dominate the industry, while Flipkart, BigBasket, and Amazon are increasing their market footprint. The trend of 10-15 minute food deliveries is also on the rise, with major players like Swiggy, Zomato, Blinkit, Zepto, Ola, and Magicpin announcing their entries into this burgeoning market.