Quick Commerce’s Labour Reckoning, OYO Pre-Files DRHP, and Zomato/Swiggy Raise Fees

Quick commerce in India didn’t slow down because consumers stopped caring about speed. It slowed down because the system finally ran into its own contradictions.

For a while, the model felt unbeatable. Dark stores everywhere, delivery in 10 minutes, aggressive discounts, and a promise that “this is how India will shop next.” Investors loved the scale story. Consumers loved the convenience. Founders loved the headlines. But what rarely made it into those headlines was how fragile the entire setup actually was.

At the heart of the problem is something unglamorous: cost stacking. A typical quick-commerce order today sits at an average order value of roughly ₹450-₹600. On paper, that sounds healthy. In reality, it’s barely enough. Even with private labels and brand commissions, gross margins hover around 18-22%. That leaves about ₹90-₹120 to cover everything else - last-mile delivery, store staff, rent, electricity, wastage, incentives, customer support, and tech.

Delivery alone eats up ₹60-₹80 per order in metros. Add picker costs and dark-store overheads, and the contribution margin is already in danger before discounts even enter the picture. This is why speed was never the real innovation. Subsidy was.

To keep the illusion alive, platforms quietly started changing the rules. Ten-minute delivery became 12–15 minutes. Platform fees appeared. Rain surcharges became acceptable. Minimum order values went up. Discounts got thinner. None of this was strategy - it was survival.

The stress showed up first where it always does: on the ground. Delivery partners were pushed harder, routes became tighter, and incentives more conditional. India’s labour framework was never designed for ultra-fast, on-demand logistics, and quick commerce tried to outrun regulation instead of adapting to it. That gamble is now being questioned by courts, unions, and state governments.

Globally, this arc is familiar. In China, Meituan faced intense scrutiny over rider welfare, forcing structural changes that raised costs and slowed expansion. In the US, Gopuff burned billions before retreating from its hyper-speed ambitions. Speed, everywhere, eventually collided with human and regulatory limits.

India adds another twist: price sensitivity. Indian consumers want convenience, but they don’t want to pay visibly for it. A ₹5 delivery fee increase triggers outrage. A ₹20 platform charge becomes a Twitter storm. That leaves companies stuck in the middle, unable to fully pass on costs, but also unable to keep subsidising indefinitely.

This is why the sector’s current moves matter. Private labels are being pushed aggressively because they offer 30-35% gross margins. Dark stores are being consolidated to improve utilization. Expansion into smaller cities has slowed. Profitability is now spoken about more than speed. These aren’t signs of maturity - they’re signs of correction.

Investors, too, have changed how they look at the category. Quick commerce is no longer being valued like pure tech. It’s being judged like retail logistics: capital-heavy, operationally complex, margin-thin. That means lower multiples, higher scrutiny, and far less patience for “growth at any cost.”

None of this means quick commerce is dead. It solves a real problem and will remain part of urban consumption. But the fantasy version - ultra-fast, ultra-cheap, and endlessly scalable - is over. What replaces it will be slower, more expensive, and far more honest about who actually pays for convenience.

The biggest mistake wasn’t betting on speed. It was assuming speed itself was the moat. It never was. Capital was. And once capital starts demanding returns, gravity always wins.

Let’s go through what else is happening in Indian startup world - Grab your simmering cup of StartupChai.in and unwind with our hand-brewed memes.

“Aa Dekhe Zara”: OYO Pre-Files DRHP For INR 6,650 Cr IPO

Hospitality unicorn OYO has pre-filed its DRHP, setting the stage for an IPO that aims to raise ₹6,650 Cr through a fresh issue, alongside an offer-for-sale component.

The public markets debut is pegged at a valuation sweet spot of $7 Bn to $8 Bn, signaling a quieter, more calibrated comeback after years of loud growth and louder scrutiny. ICICI Securities, Axis Capital, Goldman Sachs, and Citibank are steering the issue, suggesting OYO wants this one to land steady, not spectacular.

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“Ye Le Ghoos Khayega?”: Zomato, Swiggy offer increased payout to gig workers amid strike call by unions on New Year's Eve

Food delivery majors Zomato and Swiggy are dangling higher incentives before delivery partners as New Year’s Eve looms, a familiar festive tactic to keep the wheels turning amid a strike call by gig worker unions.

Unions like the Telangana Gig and Platform Workers’ Union and the Indian Federation of App-Based Transport Workers claim lakhs joined the nationwide protest, pushing demands for better pay and working conditions back into the spotlight.

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“Aaiye Aapka Intezaar Tha”: Former Steadview MD Puneet Kumar joins

Former Steadview MD Puneet Kumar has joined Mirae Asset Venture Investments (India) Private Limited as CEO, marking a quiet but consequential leadership shift in India’s private investing circuit.

Backed by parent Mirae Asset Global Investments, Kumar will now steer the firm’s venture capital and private investing strategy with an eye on long-horizon innovation rather than quick wins.

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1. Proptech startup Truva has raised $6.3 Mn from existing backers Stellaris Venture Partners and Orios Venture Partners, pushing its valuation past the $30 Mn mark. The round was structured through Series A CCPS, with the company issuing shares worth ₹56.72 Cr as it doubles down on its real estate playbook.

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