Priyanka Tiwari
Share
Swiggy Instamart, the quick commerce arm of online food delivery company Swiggy, has expanded operations to 100 cities across India. In an exchange filing on March 17, Swiggy cited increasing demand from Tier II and Tier III cities as a key driver of this growth.
The company stated that the expansion aligns with the rising preference for 10-minute deliveries in smaller cities, reflecting the growing adoption of quick commerce across India.
Strengthening Dark Store Network and Delivery Operations
Swiggy Instamart CEO Amitesh Jha emphasized that the expansion will further support the platform’s dark store network and delivery partners.
“In 2025, one in four new users came from Tier II or III cities, highlighting the strong demand for quick commerce. With this growth, we are excited to offer convenience, choice, and value to a much larger customer base,” Jha said.
The company has now made over 30,000 products available for instant delivery, including groceries, daily essentials, electronics, fashion, makeup, toys, and more.
Introduction of 'Megapods' for Enhanced Product Availability
To bolster its supply chain, Swiggy Instamart is expanding its dark store network by introducing large-scale fulfillment centers, called ‘Megapods,’ ahead of the upcoming cricket season. These warehouses, ranging from 10,000 to 12,000 square feet, can accommodate up to 50,000 stock-keeping units (SKUs), offering three times the product variety compared to existing dark stores.
Tier II and III Cities Drive Growth
Swiggy shared several insights into consumer trends from Tier II and III cities:
- The highest single-day spend recorded was Rs 69,993 by a customer in Thiruvananthapuram.
- The highest total spend by a single customer stood at Rs 3.34 lakh, recorded in Dehradun.
- The top-selling categories include fruits, vegetables, snacks, dairy, bread, and eggs.
- Onions were the most ordered item in smaller cities, followed by tomatoes and coriander.
Certain cities showed rapid adoption of Swiggy Instamart:
- Patna achieved 1,000 daily orders within four days of launch.
- Raipur reached 300 orders on its first day.
- Hubli recorded the highest-value order on launch day, with a purchase of wireless earphones worth Rs 8,980.
Swiggy's Vision for Quick Commerce Expansion
Amitesh Jha noted that convenience-driven retail demand is no longer limited to metro cities. “Our expansion to 100 cities strengthens our reach and allows us to better serve growing consumer needs in underserved regions,” he said.
The quick-commerce model continues to evolve, shaping consumer behavior and market dynamics beyond traditional urban centers.
Swiggy Stock Performance
On March 17, Swiggy shares were trading at Rs 355.60 per share, remaining relatively flat. The stock is currently hovering near its 52-week low of Rs 317 per share, significantly lower than its 52-week high of Rs 617 per share.
Read More: Swiggy Instamart Expands to 100 Cities in India Amid Rising Demand
