As big smartphone brands rush to sell on platforms like Zepto and Blinkit, offline retailers clash with quick commerce, warning it fuels the grey market. AIMRA address this concern to vivo.
Offline mobile retailers are opposing the rise of quick commerce, claiming that it disrupts the established retail landscape and encourages the grey market.
In recent weeks, prominent smartphone brands such as Samsung, Motorola, itel, Lava, POCO, and Xiaomi have begun listing their products on Zepto. This partnership has also extended to vivo, India’s leading smartphone brand, which is selling its budget models Y18i and Y29 with a special discount through ICICI Bank on purchases over Rs 5,000.
In a similar move, Blinkit has partnered with Xiaomi and Nokia, expanding its smartphone portfolio beyond Apple devices. Blinkit’s CEO, Albinder Dhindsa, announced that more phones and brands would be added soon. Abhimanyu Singh, Zepto’s Business Head for Electronics, confirmed that the platform’s delivery times remain consistent at 10 minutes, with discussions underway to bring even more smartphone models on board.
However, offline vendors argue that this new business model undermines traditional retail structures and weakens the market’s long-term stability.
Some analysts agree that quick commerce’s impact on smartphone sales will be limited, given its low order volumes. They caution smartphone manufacturers against focusing too heavily on quick commerce, as it could harm the interests of mainline retailers.
According to Kailash Lakhyani, founder of the All India Mobile Retailers Association (AIMRA), quick commerce partnerships create new competitors for retailers, endangering the long-term health of the retail ecosystem.
AIMRA has written to vivo’s CEO, urging the company to reconsider its involvement with quick commerce platforms. They emphasised that a stronger bond with traditional retailers would protect Vivo’s brand integrity and maintain the trust built over time.
Industry experts predict that while quick commerce platforms will continue to add smartphones, only fast-selling models will likely be featured. They believe that quick commerce is still more of a marketing tool than a significant sales driver.
In a Moneycontrol report, Tarun Pathak from Counterpoint Research pointed out that, while it boosts visibility, it is not yet a major sales channel. However, platforms like Blinkit will likely play a more prominent role in selling entry-level smartphones, iPhones, and accessories in the future.
The report cited another expert from IDC, who added that quick commerce is set for rapid growth this year, with more models expected to be stocked. Analysts predict that the quick commerce sector will eventually include a broader range of electronic devices, including smartwatches, wireless earbuds, and accessories.
Despite its expansion, analysts believe that quick commerce will remain a niche player in the smartphone sales market due to its limited order volumes. In contrast, major e-commerce giants like Flipkart and Amazon are seen as more substantial competitors due to their extensive reach and infrastructure.
Notably, India’s leading PC brands such as HP, Lenovo, Acer, and Asus have also started listing their products on quick commerce platforms. HP, for instance, has partnered with Blinkit to sell laptops and accessories. As both smartphone and PC makers venture into this space, it remains to be seen whether quick commerce will become a significant sales channel or remain a niche market driver.
