UK Quick E-Commerce Market Is Estimated To Witness High Growth...

UK Quick E-Commerce Market Is Estimated To Witness High Growth Owing To Convenience and Speedy Delivery

Posted 2023-11-03 12:39:20

120

The UK quick e-commerce (quick commerce) market is estimated to be valued at US$ 6.21 billion in 2023 and is expected to exhibit a CAGR of 19.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Quick e-commerce or quick commerce refers to online shopping and delivery model that provides delivery of goods within 60 minutes. It offers delivery of daily essential items like groceries, over-the-counter medications, household items etc within an hour from ordering through e-commerce mobile apps or websites. This fast delivery model allows urban consumers to get their everyday needs in least time.

Market Dynamics:

The growth of the UK quick e-commerce market is driven by convenience offered to customers and speedy delivery of orders within an hour. With hectic urban lifestyles, quick commerce fulfills the immediate shopping needs of consumers saving their time. Furthermore, proliferation of mobile apps and websites offering quick delivery even during non-working hours is fueling the adoption of this model. The COVID-19 pandemic has further boosted the growth as people preferred contactless shopping and delivery at doorstep.

SWOT Analysis

Strength: The quick e-commerce market in UK is highly developed with presence of global and local players. This has led to high levels of competition bringing innovation and affordable prices for customers. Also, large player bases have enabled efficient logistics and delivery capabilities within short time frames.

Weakness: Lower margins and higher operational costs pose challenges for sustainability of business models. Dependence on part-time workforce also impacts quality control and service consistency at times.

Opportunity: Younger population is increasingly adopting mobile-first lifestyles and prefer on-demand delivery over traditional brick and mortar stores. Further, trends indicate demand for niche products and personalized/hyperlocal experiences present new avenues.

Threats: Stricter regulations around worker welfare and supply chain transparency could raise compliance costs. Moreover, inconsistent customer experience and unreliable delivery times compared to large retailers weakens differentiation.

Key Takeaways

The UK Quick E-Commerce Market Demand in UK is expected to witness high growth, exhibiting CAGR of 19.4% over the forecast period, due to increasing preference for instant gratification and convenience among consumers. Younger demographics especially in urban centers have embraced the mobile-first on-demand delivery models of quick commerce platforms.

Regional analysis

The quick e-commerce market in UK is currently dominated by London which contributes over 30% share due to high population density, mobile penetration and willingness to experiment with emerging shopping models. Other major regions such as South-East and West Midlands are also growing rapidly on account of expanding customer base and talent pool available.

Key players

Key players operating in the UK quick e-commerce market are Buyk, Cajoo, Everli, Fancy, Weezy, Zoom2U, Deliveroo, Just Eat, Uber Eats, Getir, Gorillas, Flink, Zapp, Jiffy, Weezy, Dija, DoorDash, Stuart, Gopuff, Jokr. Among these Deliveroo and Just Eat dominate the food delivery space while Buyk, Cajoo and Getir are leading ultrafast grocery delivery startups.

Please log in to like, share and comment!