These brands are looking not only to enhance their presence domestically, but also to capitalize on the surge in demand expected during the holiday season, executives say.
“We launched Blinkit in Vijayawada yesterday,” Albinder Dhindsa, CEO of Blinkit, posted on X on Monday. “We are happy to work with local brands like Vijaya Milk, Sri Lalitha and more.” He said a second Blinkit store would open in the city over the weekend.
Chennai-based Sweet Karam Coffee is also looking to grow.
A bigger market opens up
Sweet Karam Coffee, which originally planned to operate only in the south, is now aiming to get 15-20% of its sales in north India through flash trade, and is adding stock to take its business across the country, said K Sitaram, co-founder of Fireside Ventures, which has invested in the chain.
“That a snack brand from the south can deliver within minutes to any corner of India is a remarkable example of how fast commerce has bridged geographical gaps and made Local flavours accessible to a national audience“said Nalini Parthiban, co-founder and CEO of Sweet Karam.
He said platforms like Blinkit and Swiggy Instamart are “solving distribution problems for new-age brands”.
New Delhi-based snack maker Let’s Try, Pune-based Two Brothers, Indore-based Jeeravan, non-alcoholic beer Coolberg and coffee maker Bevzilla are among others that have jumped on such platforms.
“We offer a wide selection of products, from FMCG (fast-moving consumer goods) and D2C brands, as well as locally relevant options… from JK Spices in Kolkata and Sri Lalitha rice in Hyderabad to Milma Milk in Thrissur,” a Swiggy Instamart spokeswoman said. She said the range “ensures access to products that meet consumer needs.” regional tastes and preferences.”
Even large, established consumer goods companies such as Be protected, Debur, Unilever HindustanGodrej Consumer and CCI have been reporting a 25% to 50% increase in sales on fast-trade platforms. E-commerce sales at these companies have been growing at twice the pace seen in fiscal 2024, executives said on earnings calls for the past three to four quarters.
A senior executive at a retail company said on condition of anonymity that fast-trading companies are recruiting regional customers and small marks “Because the margins are substantial – more than 20% in some cases – unlike the big brands, which have strict commercial terms with fast-trade. “That’s why fast-trade companies are so interested in acquiring them (smaller players),” the executive said.
Two Brothers Organic Farms, an eight-year-old Pune-based brand that sells organic food products For example, Khapli wheat, marketed as low-gluten wheat flour, is experiencing double-digit sales growth through its own online store as well as through fast-track trade.
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