A recent JP Morgan study revealed that 60% of traditional grocery stores in Mumbai, have experienced a decline in sales, primarily blaming the rise of dark stores operated by quick commerce (QC) companies. Conducted across 50 stores in seven suburban localities with a significant QC presence, the survey found that 82% of respondents attributed their drop in sales to these platforms, with 77% reporting losses exceeding 30%.
Click vs. Walk: The debate over customer base & market disruption
Despite these findings, officials from QC companies like Swiggy and Blinkit argue otherwise, stating that QC platforms target a distinct customer base and do not encroach on kirana store clientele.
However, the Confederation of All India Traders (CAIT) has criticised QC’s practices, claiming that foreign direct investment-driven businesses are unfairly disrupting the market. CAIT advocates for QC firms to partner with kirana stores for last-mile delivery instead of relying on dark stores.
Adapting to this challenge, 25% of kirana stores have diversified their offerings, introduced home delivery, and bulk discounts, and relied on customer loyalty to stay competitive.
