Quick-Commerce vs e-Commerce: Know Their Differences, Features, & Better Business Model

This blog explains the world of quick-commerce and e-commerce, exploring their distinct features, examples, and operations.
Quick-Commerce vs e-Commerce | Complete Development Guide | Binmile

Modern customers riding on advanced technologies and multiple options demand speed. This shift in consumers’ instant expectations has led to the emergence of two distinct online shopping models; earlier it was e-commerce, and presently there’s been a surge in new mCommerce trends: quick commerce. From takeaway food to online shopping deliveries, the sooner a customer has their purchase in their hands, the better. While both involve selling products online, they differ significantly in terms of delivery speed and business strategies. After all, if you can get a packet of chips or groceries in a few minutes rather than a few days or a week, then surely you’d go for the apps that offer services super fast!

With the advent of technologies and rapid digitalization, a software development company dealing in app development services for electronic commerce has kept up with this continuous shift in delivery methods to meet the surging demand for speed and efficiency. Earlier it led to the emergence of e-commerce website development, and as technology advanced, this brought quick-commerce into the picture to meet the needs and expectations of the customers. Therefore, quick-commerce and PWA for e-commerce are both redefining the way we look and undertake purchasing goods and services. But what do both quick commerce and eCommerce mean? What makes them so different and still similar? Additionally, which model should your business go for? Let’s explore the key differences between these two models, highlighting their top features and helping you determine which one is best suited for your business.

Quick-Commerce vs E-Commerce: Differences, Key Features, and Which is Better

Quick-Commerce vs E-Commerce | Binmile

What is Quick Commerce?

Q-commerce, or Quick-commerce, is often known as ‘on-demand delivery’ and ‘e-commerce, but in a new, faster form. It has both features of traditional e-commerce with innovations in last-mile delivery. The concept focuses on delivering items such as perishable goods, like groceries, with speed of delivery—not in days but in 30 or fewer minutes, to be competitive.

How Does Q-commerce Work?

The idea behind it is simple: delivering a customer a missing ingredient urgently for a recipe that’s already in motion. Simply put, the sooner the customer has their purchase in their hands, the better, with time ranging from 2 hours to 6 minutes. However, the magic isn’t happening in front of you, but the bigger, less visible magic is happening on the backend.

These Q-commerce owners, though not following the same business, most of them use ‘dark stores’—strategically located warehouses— to ensure a quick turnaround from order to doorstep. Few of them also leverage crowdsourcing labor, providing them with a fleet of individuals ready to spring into action at any moment. Similarly, utilizing other combinations, such as including adoption of the latest software and the layout of dark stores themselves, gives them the ultimate agility and flexibility required to adeptly respond to customer demand around the clock.

Notable Examples: Uber Eats, DoorDash, BlinkIt, GoPuff, and Swiggy Instamart, among others.

How Does Q-commerce Work | Binmile

Top Features

  • Ability to deliver products within a short timeframe, often within minutes or hours.
  • Typically focuses on a limited range of products, such as groceries, household items, and essential goods.
  • A dense network of small warehouses or dark stores located close to consumers to enable rapid delivery.
  • Offers a high level of convenience for consumers, thus allowing them to order products and receive them quickly without leaving their homes.

What is e-Commerce?

Electronic commerce, popularly referred to as e-commerce, refers to buying and selling goods and services over the Internet by companies and individuals. This model can operate via different types of market segments and can be conducted over computers, tablets, smartphones, and other smart devices. Customers can get nearly every imaginable product and service through e-commerce transactions such as books, music, movie tickets, and even financial services such as stock investing and online banking.

How Does e-Commerce Work?

Once the customer has finalized a product to buy, the customer’s web browser communicates with the web server handling the website, which processes the order and sends it to the order manager. From here, the manager checks the stock availability in the database and if the item is in stock, the system confirms the order and provides an estimated delivery date. If not, then it orders new supplies from manufacturers or wholesalers. Later, the merchant system processes the customer’s payment details, confirming sufficient funds in the customer’s account.

Once the transaction is authorized, the order manager updates the web server, which informs the customer of the order confirmation and transaction details. The order management system then requests the warehouse to dispatch the goods. The fleet system collects and delivers the goods to the customer, and the warehouse system emails the customer about the delivery status. Finally, the goods are delivered to the customer’s address.

Notable Examples: Amazon, Flipkart, Ebay, and Myntra, among others.

How Does e-Commerce Work | Binmile

Top Features

  • Features a detailed catalog of products or services is essential for e-commerce with descriptions, images, pricing, reviews, and availability information.
  • Easy-to-access, high-quality, and responsive website with a search bar on the website and properly listed categories in the navigation bar.
  • Provides personalized offers and deals, as well as other useful features, to make them feel special.
  • Secured payment gateway for processing online transactions and protecting customer data, and around-the-clock customer support for inquiries, returns, or troubleshooting.

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Understanding Quick-Commerce vs E-Commerce: A Guide to Choosing the Best Option for Your Needs

When discussing quick commerce vs e-commerce, there’s no clear winner, on the one hand, quick commerce meets the demand for instant delivery, while on the other hand, traditional e-commerce offers variety and lower costs. Therefore, both have their distinct features, benefits, and challenges. So let’s understand the unique strengths of these two.

Quick-Commerce vs E-Commerce Guide | Binmile

#1 Delivery Time

  • E-commerce typically offers standard shipping that takes 1-7 days, with expedited options available for 1-3 day delivery. Some e-commerce platforms may offer same-day delivery in certain urban areas, but this isn’t universally available.
  • Quick Commerce promises ultra-fast delivery, usually within 10–30 minutes and rarely exceeding 2 hours. The platform relies on a network of local fulfillment centers to achieve these rapid delivery times and often uses bicycle or scooter couriers for last-mile delivery in urban areas and a few Tier 2 and Tier 3 cities as well.

#2 Product Range

  • E-commerce offers a vast array of products across multiple categories, often stocking millions of SKUs (stock-keeping units). This includes both essential and non-essential items, as well as niche products. The platform frequently has products from various brands and sellers on a single platform.
  • Quick-Commerce, on the other hand, focuses on a curated selection of typically 1,000-5,000 SKUs. It emphasizes fast-moving consumer goods, groceries, and convenience items. While quick commerce may include some electronics, personal care products, and over-the-counter medications, its product selection is optimized for immediate consumption or urgent needs.

#3 Inventory Management

  • E-commerce utilizes large, centralized warehouses for storage and distribution, employing advanced inventory management systems to track stock across multiple locations. This model can afford to stock slow-moving items due to larger storage capacity and often uses predictive analytics for demand forecasting and inventory optimization.
  • Quick-Commerce relies on micro-fulfillment centers or dark stores located in urban areas. It requires real-time inventory management to ensure item availability for rapid delivery and focuses on high-turnover items to maximize limited storage space. The model uses data analytics to predict hyperlocal demand patterns.

#4 Technology Focus

  • E-commerce emphasizes website and mobile app optimization for seamless browsing and purchasing. It invests in personalization algorithms to improve product recommendations, focuses on developing robust search and filtering capabilities, and implements complex logistics systems for efficient order processing and tracking.
  • Quick-Commerce prioritizes route optimization algorithms for efficient delivery, develops real-time inventory management systems for accurate stock information, invests in location-based technologies to ensure precise and rapid deliveries, and focuses on creating intuitive mobile apps for quick ordering and real-time order tracking.

#5 Customer Experience

  • E-commerce offers a comprehensive shopping experience with detailed product information, reviews, and comparisons. It provides a wider range of payment options and often supports installment plans. Customer service may not be immediate but usually offers multiple contact channels. The returns process can be more complex, often requiring shipping items back.
  • Quick commerce emphasizes speed and convenience over extensive product information. It typically offers limited payment options for faster checkout, may provide real-time chat support with delivery personnel, and often allows for immediate returns or exchanges through the delivery personnel.

#6 Business Model and Profitability

  • E-commerce can achieve economies of scale due to centralized operations. It often operates on thinner margins but compensates with higher volume. E-commerce may rely on advertising revenue or marketplace fees from third-party sellers, and profitability can be achieved through efficient operations and scale.
  • Quick-Commerce faces higher operational costs due to decentralized fulfillment and rapid delivery. It often charges premium prices or delivery fees to offset higher costs and may struggle with profitability, especially in the early stages or in less dense areas. It relies on the high frequency of orders and customer loyalty to drive sustainability.​​​​​​​​​​​​​​​​

Also Read: eCommerce Best Practice for Security

Choosing the Right Model for Your Business: 4 Scenarios

Both platforms have different purposes and benefits for the businesses, but certain factors set them apart. So, if you’re planning on launching your retail business via any of these platforms, know which one you should go for:

Quick Commerce or eCommerce - Right Business Models | Binmile

  • Immediate Need for Products: If your business caters to customers who require products immediately, such as groceries, pharmaceuticals, or cosmetic items, quick commerce is the ideal choice. The rapid delivery times and limited product range align with the needs of this customer segment.
  • Diverse Product Offerings: Go for e-commerce when you plan to offer a wide range of products, from electronics to clothing. The ability to showcase a variety of products and potentially offer personalized recommendations is a significant advantage of this model.
  • Cost-Sensitivity: If cost is a major concern, e-commerce may be more suitable. While quick commerce can be expensive to implement and operate, e-commerce often has lower operational costs due to its larger scale and centralized operations.
  • Customer Preferences: Consider your target customers’ preferences. If they value convenience and speed, quick commerce is a strong option. However, if they prioritize a broader product selection and potentially lower prices, e-commerce may be more appealing.

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The Bottom Line

Without a doubt, digitalization has transformed the way people shop online, and the urgency in the online retail market earlier brought in e-commerce and then later quick-commerce. Thus, it’s from technology that q-commerce was born, and it is with technology that it will thrive. After all, quick-commerce is an evolution of e-commerce that caters to the growing demand for instant gratification and convenience. While e-commerce offers a broader selection and serves larger markets, quick commerce focuses on speed and immediacy for urban consumers. Both models have their place in the retail landscape, with quick commerce complementing rather than replacing traditional e-commerce. So what should you choose for your business between quick-commerce and e-commerce?

Ideally, businesses should choose based on their audience’s needs. Moreover, the choice between the two depends on many factors that we’ve discussed in the blog. While it can be difficult to know if it’s right for your business, with the right D2C e-commerce strategy and fallback plan, you can test the waters. Additionally, take assistance from an app development company, its web app development experts can help you build a robust, secured, and scalable online store or app that stands the test of time and technology.

Author
Arun Kumar Sharma
Arun Kumar Sharma
AVP - Technology

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