Amazon India advances qcom venture 'Tez' launch, likely by late Dec

Amazon had planned to introduce the service in the first quarter of 2025, but the timeline has reportedly been expedited with the launch scheduled for this year-end or early 2025

As the quick commerce race in India heats up, now Amazon has decided to throw its hat in the ring. The e-commerce giant is reportedly preparing to launch its quick commerce delivery service, currently codenamed Tez, by late December or early next year, according to a Reuters report.

 

This move will position Amazon to tap into a booming market that achieved gross sales of $5.5-6 billion this month, driven by players like Blinkit, Zepto, and Swiggy Instamart.

 

Initially, Amazon had planned to introduce the service in the first quarter of 2025. However, the timeline has been expedited as the company seeks to establish itself in India's fastest-growing online business sector, where it currently lacks a presence, the report said.

 

 

Amazon looks to tap in q-comm growth in India 

The quick commerce segment, known for ultra-fast delivery of groceries and daily essentials, is projected to grow rapidly. If launched, Tez would mark Amazon’s first venture into quick commerce globally.

 

Plans for the initiative are expected to be discussed during Amazon’s monthly review meeting in early December, ahead of its annual Smbhav event, the report added. Meanwhile, the company has begun recruiting talent for the high-priority project, with its India grocery and essentials team referring to it as a “ground-up initiative in a fast-growing e-commerce space.”

 

The launch will likely follow a model similar to Amazon’s competitors, focusing initially on groceries and everyday essentials. To support its operations, Amazon is setting up dark stores, managing stock-keeping units (SKUs), and enhancing its logistics infrastructure.

 

Quick commerce competition rising 

Amazon’s entry comes as its rivals in the quick commerce space continue to scale up. Flipkart, Amazon’s key competitor, introduced its Minutes quick-commerce service earlier this year, rapidly expanding it across major cities. The Tata Group has also made inroads with Neu Flash under its super app Tata Neu, while BigBasket has transitioned to the quick-commerce model, reporting gross sales exceeding Rs 900 crore in October.

 

Other players are solidifying their positions as well. Zepto recently raised $350 million, boosting its cash reserves to over $1 billion, and Blinkit, operated by Zomato, received shareholder approval to raise an additional $1 billion through qualified institutional placements.

 

What is the quick commerce market potential in India 

According to a Morgan Stanley report, the quick commerce market in India could reach $25 billion to $55 billion by 2030, depending on growth conditions. The report highlights that high-frequency users, who constitute about one-third of the current customer base, are projected to contribute nearly 75-80 per cent of the total market value by 2030.

 

The sector is also expected to surpass food delivery in gross order value by 2026, cementing its status as a critical focus area for e-commerce players. With Amazon joining the race, the competitive landscape is set to become even more dynamic.