Blurry Blinkit, Invisible Instamart, And Zippy Zepto – Can Quick Commerce Find A Clear Path To Profitability?

Blurry Blinkit- Last month, Zomato released its quarterly profits, which did not fully satisfy investors. Although the company’s December 2024 quarter revenue increased, its profitability sharply decreased. The losses sustained by the company’s quick-commerce division, Blinkit, were the main factor affecting Deepinder Goyal’s leadership’s profitability. Hence, Blinkit’s vision seems blurry as of now.

Invisible Instamart- Swiggy’s stock has dropped to its lowest level since its public debut three months ago. That was a steep 40% drop from the top in December. It has rebounded from its intraday low, although it continues to trade considerably below the issue price. As reported a week ago, Instamart Expansion Weighs on Swiggy’s Margins as Net Loss Hits Rs 799 Crore. Hence, the route to Swiggy Instamart’s profitability seems invisible now!

Zippy Zepto- What to now about Zepto’s zippy, aka zepto’s speed at which the company is growing. With such colossal cash burning, hope zepto doesn’t become webvan one day.

Just a few years ago, the idea of getting groceries delivered in ten minutes or less seemed as plausible as finding a traffic-free road in Bangalore. But here we are, living in a world where Blinkit, Swiggy Instamart, and Zepto are battling it out for the title of Fastest Grocery Santa Claus—and they’re burning through mountains of cash to do so.

With Blinkit’s financial rollercoaster, Instamart’s disappearing act, and Zepto’s aggressive land grab, quick commerce is starting to look like a high-speed train heading towards a financial abyss. But hey, at least we can get ice cream before it melts, right?

Let’s break down the chaos, strategy, and the questionable sustainability of quick commerce in India.

The Quick Commerce High: Fast Growth, Faster Burn Rate

Quick commerce has had a meteoric rise—so much so that even venture capitalists are probably wondering if they accidentally funded a teleportation experiment instead of grocery delivery.

In the past six quarters:

• Blinkit’s contribution to Zomato’s revenue shot up from 10% to 33%.
• Blinkit grew by 120% YoY, while Instamart grew by 88%.
• Zepto claims to have crossed a USD 3 billion annualized GMV (which is VC lingo for “we’re selling a lot, but don’t ask about profits”).

But here’s the catch—profitability is now a moving target. What seemed just around the corner last quarter is now as elusive as a UPI payment going through on the first attempt.

Blinkit: From Almost Profitable to “Oops, Not Yet”

Ah, Blinkit. The golden child of quick commerce—or at least, it was supposed to be.

• In Q3 FY25, Blinkit’s adjusted EBITDA loss shot up 12x from -0.08 to -1.03.
• Revenue growth slowed from 23% to 21%, which is like going from “almost winning the race” to “tripping on your own shoelaces.”
• Zomato CFO Akshant Goyal confirmed that Blinkit will continue to be in losses for the next few quarters. Why? Because rapid expansion means more stores sitting empty until people realize they really do need to order a single banana at 2 AM.

Zomato is banking on NCR’s obsession with quick commerce to keep Blinkit afloat, but profitability is now a longer-term dream—one that might require a few reality checks along the way.

Swiggy Instamart: The Vanishing Act

If Blinkit is struggling, Instamart is performing a disappearing act that even Houdini would be jealous of.

• Revenue growth collapsed from 27% to 15% quarter-on-quarter.
• EBITDA losses deepened from -3.59 to -5.78.
• Investors are getting impatient, and Swiggy’s stock is currently on a 40% discount from its December peak—which is a nicer way of saying, “people are panicking.”

Instamart’s struggle is simple—it doesn’t dominate any single market. Blinkit owns NCR, Zepto is claiming Mumbai, and Instamart? Well, it’s… there.

Swiggy’s management is aware of the turbulence but has taken the “wait and watch” approach. As Group CEO Sriharsha Majety put it: “We are still in the early stages.”

Translation: “We’re losing money, but let’s see if things magically fix themselves.”

Zepto: The Chaotic Challenger With a Billion-Dollar Bet

While Blinkit and Instamart are worrying about quarterly reports, Zepto is in full-on growth-at-any-cost mode.

• Zepto’s dark store count exploded from 250 to 900 in five months (an expansion so rapid, it could rival political party manifestos during election season).
• Zepto has surpassed Swiggy Instamart in daily orders and is now eyeing Blinkit’s top spot.
• It’s spending around USD 150 million per quarter, because, why not?

Unlike Zomato and Swiggy, Zepto isn’t burdened by public market pressure yet. It’s got one clear goal—become the biggest player before its IPO later this year.

Will Zepto’s aggressive expansion pay off? Or will it be the WeWork of quick commerce? December 2025 might just have the answer.

The Real Problem: Is Quick Commerce Actually Sustainable?

Let’s be real—this industry burns more cash than a crypto investor in 2022.

• Discounts are bleeding the companies dry.
• Delivery is free, but it costs companies a fortune.
• Dark store expansion means high costs, but slow payoffs.

And let’s not forget the elephant in the room—customers are not loyal. One week they love Blinkit, the next they’re swiping right on Zepto. There is no real brand loyalty when all platforms deliver the same overpriced bag of chips in under 10 minutes.

Can Quick Commerce Actually Make Money?

Probable Option 1: Reduce Delivery Costs

The only way to make money is to reduce costs per delivery. This means:

• Shrinking delivery radius (some dark stores are now within a 1 km range!)
• Increasing order value (selling more than just onions and eggs)
• Boosting efficiency (because burning cash isn’t a long-term strategy)

Probable Option 2: Charge More (Which Nobody Wants to Do)

Customers expect free delivery and cheap groceries, but these companies are bleeding money. Someone will eventually have to break the news:

“Your 10-minute ice cream should cost you more than just your guilt.”

Probable Option 3: Wait for the Competition to Die

The real endgame? Survive until everyone else runs out of cash. Right now, it’s a waiting game. Blinkit and Instamart are hanging on, while Zepto is betting the farm on expansion.

The Final Verdict: Who Will Survive?

Quick commerce is at a crossroads:

• Blinkit is clinging onto NCR dominance but bleeding money.
• Instamart is slowly fading into the background.
• Zepto is burning VC money like it’s Diwali.

The next few quarters will decide if quick commerce is the future of retail or just another VC-funded fever dream. But one thing’s for sure—we’ll all continue ordering snacks at odd hours, completely oblivious to the chaos behind the scenes.

Until then, enjoy your 10-minute deliveries while they last. They may not be free forever.