This foray into quick commerce comes as the sector experiences rapid growth in India, with Urban Company joining a rising number of startups tapping into the potential of fast, on-demand services
Just ahead of its much-awaited initial public offering (IPO), home services platform Urban Company is diversifying into the rapidly expanding quick commerce sector with the launch of its new service, Insta Maids. It is designed to offer fast, 15-minute booking services for home cleaning tasks such as utensil washing, mopping, brooming, and food preparation. These services are provided by hourly-paid maids, making it an on-demand maid service solution for busy individuals and families seeking quick household assistance.
Currently in the pilot phase, Insta Maids has been introduced in Mumbai, but sources indicate that its geographical expansion will depend on the response and market demand. Urban Company has not yet confirmed whether the service will be rolled out to other cities across India where it already operates.
This move into the quick commerce space comes at a time when the sector is booming in India, and Urban Company’s entrance adds to the growing list of startups exploring the potential of rapid on-demand services. Quick commerce, traditionally known for speedy grocery deliveries, is now expanding into diverse categories such as home services, medicines, and even expert services. Companies like Snabbit, Topmate, Swish, Zing, and FirstClub are among the rising players challenging major names like Blinkit, Zepto, and Swiggy Instamart, all of which dominate India’s quick commerce ecosystem.
Venture capital fuels quick commerce boom
These new entrants are attracting considerable attention from venture capital firms eager to back high-growth companies. For example, Snabbit, which also provides on-demand maid services, raised $5.5 million in Series A funding, led by Elevation Capital and Nexus Venture Partners, with notable angel investors like Meesho’s Vidit Aatrey and Unacademy’s Gaurav Munjal participating. Similarly, Swish, a 10-minute food delivery service, secured $14 million in a Series A funding round led by UK-based Hara Global.
The Indian quick commerce market has been experiencing rapid growth, with the grocery delivery segment expected to expand from $300 million in FY22 to $7.1 billion by FY25. According to a report by Blume Ventures, the sector is projected to skyrocket to $89 billion by FY31, with a 24-fold increase in gross order value (GOV) during this period.
Against this backdrop, Urban Company is set to file its draft IPO papers by the end of March, with an estimated valuation of ₹3,000 crore. The IPO, which is poised to generate significant investor interest, will enable the company to further solidify its position in the competitive Urban Company services and instant maid service markets, positioning itself for future growth and expansion.
Also Read: Urban Company may soon become $2 bn valuation company: Reports
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