On this page
Instamart bets on exclusive packs and challenger brands to stand apart in quick commerce
Our read
Instamart can turn exclusive value packs and challenger-brand discovery into a margin-enhancing loyalty layer, but only if repeat purchase—not discount-driven trial—sustains the 15% category-sales contribution.
For operators
Instamart’s 15% sales contribution from Switch to Better eligible products shows exclusive packs and challenger-brand curation can create meaningful differentiation in quick commerce.
Watch
Switch to Better share rises above 20% of sales in applicable categories without a corresponding increase in discount spend.
The report,
Swiggy Instamart is pursuing exclusive pack sizes and challenger-brand products under Switch to Better to differentiate against Blinkit and Zepto. The platform says qualifying products generated over 15% of relevant-category sales in June-quarter FY27, though established FMCG brands remain cautious.
One email each morning: the day’s top moves in Indian retail, why each matters and what to watch. Free. Stop any time.
Reported figures
From the report. Source details below
| 2025 quick-commerce market share: | Blinkit 47%, Zepto 24%, Instamart 22% |
|---|---|
| Beco laundry-liquid sales on Instamart grew 9-13% month-on-month versus | 6-8% category growth |
| Instamart net average order value was ₹691 in June quarter, versus | ₹612 a year earlier |
| Parle’s quick-commerce pack prices are | about ₹30-80 |
| Swiggy shares closed 0.7% lower at | ₹284.55 |
Also in the report
- Instamart is steering shoppers to more than 400 alternative partner brands
- Quick commerce contributes 85% of The Baker’s Dozen revenue
- Zoff Switch-tagged product sales roughly doubled over two months
- Quick commerce accounts for 20% of Beco revenue
- Quick commerce accounts for 4% of Parle Products revenue
Why it matters to operators
Brands with distinctive products, flexible pack formats and appetite for platform-specific launches are becoming high-value partnership targets for Instamart’s differentiation strategy.
What to watch next
- Growth in repeat rates for alternative brands after first trial versus incumbent-brand cohorts.
- Number of platform-exclusive SKUs and whether exclusivity extends beyond pack sizes into formulations or launch windows.
- Gross-margin movement in affected categories relative to Instamart's overall assortment.
- Blinkit or Zepto launching equivalent challenger-brand programs, exclusive packs or supplier-financed value tiers.
- Substitution acceptance rates and customer ratings for switched products.
Likely next moves
Our read of what comes next — analysis, not reported by the source.
- Expand Switch to Better from commodity staples into high-repeat personal care, snacking, home care and baby categories.
- Use search ranking, substitutions and replenishment prompts to convert out-of-stock occasions into challenger-brand trials.
- Negotiate exclusive pack sizes, launch windows and joint marketing funds in exchange for demand data and guaranteed visibility.
- Build private-label-adjacent products with successful challenger partners once demand and quality signals are established.
- Measure repeat purchase, complaint rates and post-promotion retention by SKU to avoid discount-led switching masquerading as loyalty.
The counter-case
The case against this reading — not reported by the source.
A 15% sales contribution in selected 'applicable categories' may be more a merchandising artifact than proof of durable differentiation. Exclusive packs can create short-term conversion through discounts, placement and limited comparability, but they also raise inventory complexity, forecasting risk and dependence on smaller suppliers. Challenger brands may lack the awareness, funding and fulfilment consistency needed to sustain repeat demand. Competitors can replicate private-label-like exclusives, lock in the same emerging brands, or undercut on price and delivery speed.
The source
First seen