Quick commerce is the future of e-commerce, often referred to as E-commerce 2.0 and Q-commerce. The service is gaining popularity in developed countries and even in our neighboring country, India. In this article, I will discuss everything about quick commerce in Nepal, its growing popularity, potential, the companies currently adopting it, its future prospects and more.
What is Quick Commerce?
Q-Commerce is a relatively new term in the e-commerce industry. As the name suggests, it’s all about speed. In simple terms, it refers to how quickly an e-commerce company can deliver products to its customers.
Its main goal is to deliver daily necessities, such as groceries, medicines, snacks, Beverages, Personal Care Products, Household Essentials and other everyday products, as quickly as possible.
Quick commerce presents a significant opportunity not only for e-commerce buyers in Nepal but for the global market as well. Customers can receive the products they order online faster than ever before—often within 10-60 minutes.
It is not only beneficial for buyers but also for e-commerce owners. As an e-commerce owner, you can serve more customers in less time, which translates to more customers, more sales, and eventually, higher profits. In my opinion, if you are an e-commerce owner and start implementing quick commerce now, you have the potential to capture a large portion of the market. However, it does come with its own set of challenges.
Current Scenario of Quick Commerce in Nepal
Nepal is far behind other developed nations in the e-commerce industry. When it comes to quick commerce, none of the large e-commerce companies have implemented it in Nepal. However, I have noticed recently, and have even experienced, that companies like Daraz can deliver a few types of products on the same day, albeit rarely.
It’s true that no major e-commerce companies have taken quick commerce seriously in Nepal. If a company were to come forward and start quick commerce in Nepal, it could capture a large number of customers and significantly increase e-commerce sales. But it’s not that easy.
We do see a few small e-commerce companies delivering products within the same day in their local areas, especially those with Facebook and Instagram pages, which have a smaller customer base.
Food delivery services such as Pathao Foods and Foodmandu are engaged in quick commerce in Nepal, but they do not offer a wide range of products.
So, we can say that the current scenario of Q-commerce in Nepal is not ideal. Even in the capital city, Kathmandu, it sometimes seems impossible to deliver goods within an hour due to unmanaged roads and traffic jams.
Why Q-Commerce is Important
Imagine this scenario: you are a buyer. If you see a product online on ABC website, order it, and receive it delivered within a few hours, that’s great. In contrast, if you order a product from XYZ website and it arrives after two days or even longer, which experience makes you happier? Obviously, it’s the first one, right?
So, when you need something next time, would you choose ABC website or XYZ website? The answer is likely clear: ABC, of course.
From this example, it’s evident that quick commerce is beneficial not only for buyers but also for sellers.
Challenges of Starting Quick Commerce in Nepal
If you’ve read the previous sections and are an e-commerce owner, I’m sure you’re eager to adopt quick commerce to boost sales and revenue for your business. However, it’s not that simple, especially in Nepal. This is primarily due to our country’s geographical challenges.
Currently, most e-commerce companies in Nepal are based in the Kathmandu Valley, as the majority of orders come from this region, and it’s feasible to deliver quickly here. In my opinion, while quick commerce is not yet practical for larger e-commerce companies across the country, it is possible to implement it in Kathmandu Valley and a few other cities like Chitwan, Pokhara, and Butwal. However, each of these areas will require dedicated warehouses or local vendors to ensure smooth operations.
A few months ago, we tried to implement quick commerce at Online Tarkari Pasal in Kathmandu, aiming to deliver products within an hour. However, we faced challenges, with one major reason being the road conditions and heavy traffic jams in the city. Nowadays, we are delivering within 2–3 hours. While this is still an example of quick commerce, we have yet to achieve delivery within 60 minutes.
Here are the key challenges of implementing quick commerce in Nepal:
- Geographical Challenges: Due to Nepal’s difficult terrain, it’s challenging to deliver products as quickly as required for quick commerce.
- Transportation Issues: The current infrastructure and transportation system make it difficult to ensure fast deliveries.
- Manpower: Quick commerce requires a larger workforce to handle operations in a short time frame.
- Budget: More investment is needed for advanced technologies to perform tasks quickly and efficiently, as well as to monitor operations in a timely manner.
- City-specific Branches and Vendors: For multi-vendor e-commerce platforms, it’s essential to have city-specific branches and local vendors to meet the demand for fast deliveries.
Benefits of Quick Commerce in Nepal
- It can create more employment opportunities, providing jobs in areas such as warehouses, tech teams, and deliveries.
- It can transform the buying behavior of Nepali consumers.
- Nepali people can meet their immediate needs without having to leave their homes.
Future prospects of Q-commerce in Nepal
In the coming days, Nepali entrepreneurs can launch quick commerce in their local areas to serve their communities with specialized products.
This will benefit both buyers and sellers. Buyers can receive products quickly and access locally available, produced, or manufactured goods. For sellers, this approach does not require significant budgets or a large workforce.
Conclusion
Lastly, in a country like Nepal, which faces transportation and road problems, spreading quick commerce services to far-off villages is very challenging. While implementing quick commerce in larger cities like Kathmandu Valley, Pokhara, and Chitwan is feasible, rural areas present a different challenge. Only local entrepreneurs can operate quick commerce in these regions with very limited markets, as poor road conditions make it difficult.
I encourage everyone reading this blog to consider starting quick commerce in their own villages or towns to attract more customers on a modest budget and with minimal manpower. It is a new and promising business idea in Nepal that can be easily adopted locally on a small budget. Quick commerce is the future, so embrace it as soon as possible.
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