Zippee and WareIQ, two startups that focus on inventory management and dark shop settings, are on the verge of becoming the first lucrative layer in the fast commerce ecosystem. By utilising AI-driven inventory management and developing capital-efficient infrastructure, these companies are outperforming giants like Zepto, Blinkit, and Instamart, who are struggling with growing losses.
Zippee and WareIQ are exempt from the high expenses of marketing and inventory management, in contrast to Q-comm players. Instead, they concentrate on optimising dark shop setups with little financial outlay, serving direct-to-consumer (D2C) businesses and marketplaces that value quicker delivery.
With an annual recurring revenue (ARR) of Rs 24 crore, the three-year-old logistics firm Zippee hopes to break even in the upcoming quarter. The business, which enables two-hour delivery for companies like Cadbury, Lenskart, and Haldiram, made Rs 10.1 crore in FY24 but lost Rs 7.4 crore. Revenues are anticipated to increase as the service spreads to metro areas thanks to its relationship with Myntra to enable 30-minute deliveries in Bengaluru. In contrast, WareIQ has generated an ARR of Rs 54–60 crore and has been cash-flow positive for eight months.
WareIQ offers same-day and next-day delivery through shared warehouses for over 400 companies, including Technosport and Lotus Herbals. The business is creating unique dark shops for major consumer brands in metropolitan markets with the goal of tripling its revenue in a year.
For online retailers like Amazon, Flipkart, and Nykaa, which now require local inventory for quicker delivery, these firms are essential in filling the gap. “Products won’t be visible in that region without regional inventory,” stated WareIQ co-founder Harsh Vaidya. These businesses guarantee high-density fulfilment while cutting costs by combining suppliers and streamlining delivery methods. Their lean methodology sets them apart from more established q-commerce firms.
“We don’t have marketing costs or inventory. Cost effectiveness is maximized by our operating approach, which incorporates multi-pickup and multi-drop systems,” Vaidya said. Startups may become profitable more quickly by investing Rs 8–15 lakh to set up a micro-dark shop that is 3,000–5,000 square feet in size. According to Zippee co-founder Madhav Kasturia, “dark stores that handle over 1,000 daily orders achieve 17% gross margins within three months.” Brands have minimum order agreements that guarantee ongoing facility use.
Investors have taken notice of these firms due to their success. Within six months, Zippee hopes to achieve $15 million in Series B fundraising, having recently raised $5 million in Series A capital led by CNC Alpha. As it expands, investors are also showing interest in WareIQ, which is supported by Y Combinator and logistics behemoth Flexport.
