According to market studies, at least two lakh Kirana stores had closed last year as consumers had shifted to quick commerce platforms such as Blinkit, Instamart, Big Basket and Zepto.
Further, a December 2024 study by JP Morgan on offline grocery stores in Mumbai showed that 60 per cent of them have seen a decline in their sales volume due to the mushrooming of dark stores of quick commerce platforms.
On the occasion of the 9th National Retailers Day, FRAI organised an event in New Delhi today and appealed to Government highlighting the urgent need for stronger support for small retailers as they face an existential crisis due to the rising threat of e-commerce and quick commerce platforms.
Federation of Retailer Association of India (FRAI) is an industry body representing over 80 lakh micro, small and medium retailers across the country with a membership of 42 Retail Associations.
Abhay Raj Mishra, Member & National Coordinator, Indian Sellers Collective and Honorary Spokesperson, FRAI, said, “Small retailers and kirana shopkeepers are facing an unprecedented challenge as e-commerce and quick-commerce platforms reshape the market.
These enterprises, built over generations, are now struggling to survive against players with deep pockets and aggressive strategies. We believe the government must urgently step in to create a fair competitive environment and empower local retailers with the right technology.
Platforms like ONDC show immense promise in restoring balance by giving small businesses greater visibility, digital access, and a level playing field. India’s retail future must protect entrepreneurship, livelihoods, and the neighbourhood stores that serve as the backbone of our communities.”
The retailers in the event urged the government to equip local Kirana stores with a dedicated technology platform that would enable them to compete fairly with quick-commerce companies and operate on equal footing.
Editor’s Note
Move over E-Commerce giants like amazon and Flipkart – Quick Commerce platforms represent the eulogy of “Elephant in the room”.
All along, small business owners have been highlighting their plight to the Government agencies, and there has been very little that has been accomplished yet.
While dark patterns on quick-comerce platforms have significantly reduced, small & entry-level pack sizes are also out from these platforms. This was one of the biggest pain points for neighbourhood shopkeepers.
However, brands continue to offer significant discounts on these platforms, which are not available otherwise at offline grocery stores.