Delhivery Ltd, a prominent third-party logistics provider, anticipates that its newly launched rapid commerce division will generate revenues between ₹80-100 crore by the end of the current fiscal year. This projection highlights the increasing demand for ultra-fast delivery services within India’s e-commerce sector, as stated by co-founder and CEO Sahil Barua. The Gurugram-based company introduced its Rapid Commerce service, which offers sub-2-hour delivery, in January, aiming to assist direct-to-consumer brands and e-commerce platforms in minimizing delivery times and enhancing customer satisfaction.
Barua noted, “Rapid Commerce is an additional offering for the top eight cities, tailored for specific customers and SKUs. I expect this segment to contribute approximately ₹80 to ₹100 crore in revenue for Delhivery throughout the financial year, with a margin structure similar to our express business overall.”
As competition in the quick commerce sector intensifies, companies are ramping up investments in dark stores and workforce expansion to maintain swift delivery timelines. Recently, logistics provider DTDC launched a 2-4 hour express delivery service with its inaugural dark store in Bengaluru, while Shiprocket introduced ‘Quick’ in May to support small and medium-sized enterprises in the quick commerce market.
Barua mentioned that Delhivery’s initial dark stores are currently processing around 500 orders daily, with a break-even point expected at 700-800 orders. The contribution of direct-to-consumer brands to Delhivery’s express volumes has risen to 30%, while small and medium businesses now account for 50%. The company plans to establish up to 50 dark stores to cater to the top eight metro cities.
In its third-quarter performance, Delhivery reported a 114% year-on-year increase in profit after tax, reaching ₹25 crore, marking its third consecutive profitable quarter. Revenue from operations rose by 8% to ₹2,378 crore compared to the same period last year. Express parcel revenue increased by 3% year-on-year to ₹1,488 crore, while part truckload revenue surged by 22% year-on-year to ₹462 crore.
Additionally, Vani Venkatesh, the former global CEO of Airtel, has joined Delhivery as the chief business officer. With over two decades of experience across various industries, Venkatesh has held leadership positions at Airtel, McKinsey, Unilever, and Abbott Nutrition, including roles as CEO for Global Business and CEO for the Delhi NCR Region at Airtel.
