Quick Commerce

Amazon is accelerating its quick commerce strategy with the nationwide launch of “Amazon Now,” promising 30-minute or less deliveries. This expansion targets tens of millions of consumers by year-end, intensifying competition with gig economy platforms. The service leverages micro-fulfillment centers and Amazon Flex drivers to offer rapid delivery of groceries, electronics, and essentials, aiming to boost conversion rates and customer loyalty.

Alibaba’s fiscal second-quarter revenue exceeded expectations, driven by a 34% surge in cloud computing revenue attributed to AI investments. Cloud Intelligence Group saw triple-digit growth in AI-related product revenue for the ninth consecutive quarter. Despite a drop in overall profitability due to investments in quick commerce, Alibaba’s shares rose. The company plans increased capital expenditure on AI infrastructure. Qwen, Alibaba’s ChatGPT competitor, achieved over 10 million downloads in its first week. Quick commerce emerges as a strategic pillar with ambitious GMV targets.

Amazon is launching “Amazon Now” in the UAE, promising deliveries in 15 minutes or less for groceries, cosmetics, and electronics. This follows similar debuts in India and signals a broader push into the competitive “quick commerce” sector. Amazon leverages strategically located micro-fulfillment centers and its established logistics network to achieve these speeds. The company faces competition from existing players and the challenge of profitability seen by struggling quick-commerce startups in the US. Success hinges on optimizing its network and leveraging its Prime membership program.