Law has mandated green crackers this Diwali, but there’s likely to be a rainbow on the quick commerce landscape.

Shoppers beat the inflation woes during Diwali last year and splurged a record INR 1.25 Lakh Cr. With retail inflation pegged at a chilling 2.6% and economy zipping at 6.8% this fiscal, you can’t blame the quintessential Indian buyer for being a little more extravagant this time.

The festive season is in full swing and the buying binge is in full throttle. With quick commerce reshaping the way people shop, there’s a frenetic rush among platforms to launch private labels and cash in on the frenzy.

In fact, in the last four years, private labels clicked more resoundingly than perhaps imagined in markets that fostered countless luxury marques. Nearly 75% US and 85% European consumers have switched to platform-owned brands or private labels.

In India, the raging popularity of private labels is more pronounced during these festive days. Although there’s no specific data available on their share in the retail pie, they make up a substantial chunk of total sales, given that over 52% Indian shoppers are more inclined to private labels than traditional brands.

Quick commerce platforms paved the way for a niche category of D2C brands, but now those very same brands may have to contend with platform-owned private labels.

After crossing $5 Bn in gross merchandise value (GMV) in FY25 and reporting more than $1 Bn in revenue combined, the quick commerce Big Three – Blinkit, Instamart and Zepto – proved that they have aced the volume game, though their struggle on margins continued.

In sync with a sustained rise in online buying, Blinkit has transitioned from a marketplace model to an inventory-led model, while Instamart has scaled its private label business to control pricing, assortment, listing on apps and eventually make profits.

The inventory-led model, enabled by its Indian-Owned and Controlled Company (IOCC) status and effective from September 1, allows Blinkit direct sourcing and stocking of private labels like Whole Farm. It boosts both margins and control.

Instamart, on the other hand, had a significant presence in the daily staples category through its private label Super........

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