As fast commerce becomes India’s next e-commerce battleground, Walmart-backed Flipkart said on Wednesday that its Minutes service has built a network of 1,000 micro-fulfillment centers – small, strategically located warehouses designed to enable minute-by-minute deliveries – in less than two years since its launch. This is also a milestone Amazon is targeting as it expands its fast delivery business in the South Asian country.
Flipkart said it plans to expand its network to 1,500 small fulfillment centers by the end of 2026. This is a rapid deployment that will further strengthen its position in India’s highly competitive quick commerce segment, where Blinkit, Zepto, Swiggy Instamart and Amazon are competing to add infrastructure and customers.
Based on its current store count and announced expansion plans, Flipkart could emerge as India’s second-largest fast commerce network by number of small fulfillment centers, behind Blinkit, which operates 2,243 centres, Jefferies said recently. Rivals Zepto and Swiggy Instamart are also expanding their networks.
India has emerged as one of the fastest growing fast commerce markets in the world. Companies are racing to build networks that can deliver everything from groceries and beauty products to electronics in minutes. Blinkit, owned by food delivery company Eternal, remains the market leader, while Zepto, Swiggy Instamart, Flipkart and Amazon are investing heavily to expand their reach and win over customers.
Competition has intensified in recent months as Amazon accelerates the rollout of Amazon Now, which is now available in more than 15 cities and operates more than 500 small fulfillment centers. The company plans to expand its services to 100 cities with more than 1,000 micro-fulfillment centers, while expanding its product line beyond groceries to categories such as clothing, electronics, and household goods.
This change is also being seen in shopping patterns with Flipkart Minutes, which was launched in August 2024. Kunal Gupta, Head of Flipkart Minutes, told TechCrunch. He said orders on the platform are up about 400% year-on-year and customer retention is up 20% year-over-year. Both figures come from the company and cannot be independently verified.
“What started as a way to meet daily necessities has evolved into a fundamentally new shopping habit for millions of Indians,” Gupta said. “Customers aren’t just ordering more; they’re ordering differently.”
Flipkart said it has expanded Minutes to more than 130 cities and 8,000 postal codes, with growth increasingly occurring in smaller cities beyond India’s largest metropolitan areas. According to the company, the market recorded more than 4,000% year-on-year growth, driven by expansion into 90 new cities.
Gupta said this trend is evident in the speed at which new markets are maturing. He cited cities like Patna, Guwahati and Siliguri as examples where new stores are growing faster than expected, and described Lucknow as one of Flipkart Minutes’ best-performing markets despite the company not yet covering the entire city with its network.
Amazon is also investing in demand outside of India’s metropolitan cities. The company told TechCrunch that 70% of new Prime members come from smaller markets and that it plans to double its Prime member base from 2023 levels by the end of the year. Everyday essentials now account for one in two products delivered on Amazon.in, Amazon said, adding that Amazon Now is increasing the frequency with which customers shop.
Gupta told TechCrunch that Flipkart sees customers using Minutes in conjunction with major e-commerce platforms, rather than replacing it, to increase purchase frequency and expand into categories like fresh produce and essentials. The company said average orders for fruit and vegetables were up 30% compared to the previous year.
Gupta said Flipkart plans to continue opening 75 to 100 small fulfillment centers every month while also expanding to additional cities across the country.
The rapid expansion of Flipkart and Amazon highlights how India has become a testing ground for the next phase of e-commerce, as companies race to transform quick commerce from grocery delivery services to broader shopping platforms. There are already more than 5,500 dark stores in the U.S., according to Bernstein, and industry analysts expect that number to grow to about 7,500 by 2030 as companies expand into smaller cities and broaden their product offerings.
“We will continue to expand rapidly and we will not slow down after 1,000 stores, we will go all in,” Gupta said.
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