# E-commerce and digital marketplaces and Household and personal care

Online marketplaces and quick-commerce apps have become a fast-growing route to market for soaps, shampoos, detergents and skin care in Indian cities. Quick commerce now makes up most online FMCG sales and a large slice of metro sales, so brands are reshaping packs, pricing and distribution around a few platforms while still relying on kiranas for most volume.

Source page: https://www.materialinsights.org/links/e-commerce-and-digital-marketplaces-and-household-and-personal-care/

[E-commerce and digital marketplaces](https://www.materialinsights.org/industries/ecommerce/) (industry) and [Household and personal care](https://www.materialinsights.org/industries/household_care/) (industry): 5 relationships.

## How they are linked

### 1. Buys from

*Physical flow · ₹17.6 per ₹100 · Household and personal care buys from E-commerce and digital marketplaces*

Brands pay platforms commissions, advertising, warehousing and delivery fees to reach shoppers online, and the input-output data group these distribution services with the e-commerce industry.

- **₹17.6** of every ₹100 of Household and personal care output, all rounds (India 2022)
- **₹8.8** bought directly

The figure is high because it captures trade and distribution services in general, not only online sales, so it overstates what brands pay to platforms alone. US producer price indices show a link over a year (12-month correlation about 0.41) though almost none month to month, with e-commerce prices leading by about four months.

Sources: [OECD](https://www.oecd.org/en/data/datasets/input-output-tables.html); [Material Insights (World Bank, FRED, IMF data)](https://www.materialinsights.org/industries/ecommerce/price-links/)

### 2. Buys from

*Physical flow · ₹1.8 per ₹100 · E-commerce and digital marketplaces buys from Household and personal care*

Platforms that hold their own inventory buy branded and private-label goods, and warehouses and delivery fleets use cleaning products.

- **₹1.8** of every ₹100 of E-commerce and digital marketplaces output, all rounds (India 2022)
- **₹0.6** bought directly

Most product on marketplaces is sold by third-party sellers, so the flow is recorded as their sales through the platform rather than as platform purchases, which keeps this figure small.

Sources: [OECD](https://www.oecd.org/en/data/datasets/input-output-tables.html)

### 3. Industry input

*Physical flow · Criticality 2 of 5 · E-commerce to Household and personal care*

Household and personal care makers depend on retailers, kiranas, quick-commerce and e-commerce platforms for online and quick-commerce sales.

The rating is low because general trade still carries most volume and brands can shift spending between channels. It is rising in metros, where online is a much larger share.

Enterprise types that depend on it:

- Retailers, kiranas, quick-commerce and e-commerce platforms: online and quick commerce (criticality 2 of 5)

Sources: [Material Insights](https://www.materialinsights.org/industries/household_care/); [NielsenIQ](https://nielseniq.com/global/en/news-center/2026/niq-gst-2-0-transition-reshapes-indias-fmcg-growth-landscape/)

### 4. Industry input

*Physical flow · Criticality 1 of 5 · Household and personal care to E-commerce*

Brands, manufacturers and third-party sellers of beauty and home care are one of many categories on marketplaces.

No single category is critical to a large marketplace, but everyday essentials drive the frequent orders that quick-commerce models rely on.

Enterprise types that depend on it:

- Retailers, kiranas, quick-commerce and e-commerce platforms: online and quick commerce (criticality 2 of 5)

Sources: [Material Insights](https://www.materialinsights.org/industries/ecommerce/); [BW Retail World (Bain and Flipkart report)](https://bwretailworld.com/sector/e-commerce-marketplaces/indias-e-retail-market-crosses-65-bn-set-for-20-growth)

### 5. Quick-commerce channel

*Transition · Rising · Sales shift from kiranas to platforms in metros*

Ten-minute delivery apps sell frequent, small-basket essentials, which suits personal and home care, so they are taking share from neighbourhood stores in large cities.

- **18%** e-commerce share of FMCG sales in India's top 8 metros, Q4 2025
- **over three-fourths** quick commerce share of e-commerce FMCG sales, Q4 2025
- **16 to 17%** quick commerce share of India's e-retail GMV, 2025
- **1.9%** home and personal care volume growth, Q4 2025

Across all metros online is 14% of FMCG sales and in urban India as a whole about 6%. Quick commerce GMV was about US$ 10 to 11 billion in 2025 and is projected at US$ 65 to 70 billion by 2030. HUL's quick-commerce sales doubled in FY26 and its e-commerce turnover grew over 25%, and it has set up dedicated teams for the channel while also investing in general trade.

Sources: [NielsenIQ](https://nielseniq.com/global/en/news-center/2026/niq-gst-2-0-transition-reshapes-indias-fmcg-growth-landscape/); [BW Retail World (Bain and Flipkart report)](https://bwretailworld.com/sector/e-commerce-marketplaces/indias-e-retail-market-crosses-65-bn-set-for-20-growth); [The Week (PTI)](https://www.theweek.in/wire-updates/business/2026/04/30/hul-sales-from-q-com-double-in-fy26-e-com-turnover-up-25-pc.html)

## For investors

### Key learnings

1. Quick commerce is now most of online FMCG and close to a fifth of sales in the top metros, so platform terms increasingly shape brand margins in cities.
2. Online growth is concentrated in metros; for national volume, general trade and rural demand still matter more.
3. Platform concentration gives a few apps bargaining power over fees and advertising, which can offset the growth that the channel brings brands.

### What to track

- **E-commerce and quick-commerce share of FMCG by city tier**: Shows how fast the channel shift is spreading beyond metros (Quarterly · NielsenIQ)
- **Brand disclosures on online and quick-commerce growth**: Signals channel mix and margin pressure (Quarterly · HUL and peer results)
- **Quick-commerce GMV and dark-store counts**: Indicate platform scale and bargaining power (Quarterly · platform results, Bain)

## For policymakers

### Key learnings

1. Quick commerce is taking share from kiranas in large cities, which affects small-retailer livelihoods and is a live issue for trade policy.
2. India's e-retail market, about US$ 65 to 66 billion in 2025, is expected to reach US$ 170 to 180 billion by 2030, so rules on platform conduct and discounting will affect FMCG distribution.
3. Tax changes reach this category quickly: home and personal care volume growth slowed to 1.9% in Q4 2025, sharper than food, which NielsenIQ linked to its exposure to GST revisions.

### What to track

- **Kirana and general trade sales growth**: Measures the impact of quick commerce on small retailers (Quarterly · NielsenIQ)
- **Competition and consumer authority actions on platforms**: Shape fees, discounting and private-label practices (As announced · CCI, Department of Consumer Affairs)

## India

Online was 18% of FMCG sales in India's top eight metros in Q4 2025, and quick commerce was over three-fourths of that, while across urban India online was only about 6% and kiranas still carry most volume.

## Sources

1. [OECD Input-Output Tables 2025 edition, India 2022](https://www.oecd.org/en/data/datasets/input-output-tables.html), OECD
2. [Price correlation, Material Insights](https://www.materialinsights.org/industries/ecommerce/price-links/), Material Insights (World Bank, FRED, IMF data)
3. [Industry map: Household and personal care](https://www.materialinsights.org/industries/household_care/), Material Insights (2026)
4. [Industry map: E-commerce and digital marketplaces](https://www.materialinsights.org/industries/ecommerce/), Material Insights (2026)
5. [NIQ: GST 2.0 transition reshapes India's FMCG growth landscape](https://nielseniq.com/global/en/news-center/2026/niq-gst-2-0-transition-reshapes-indias-fmcg-growth-landscape/), NielsenIQ (2026)
6. [India's e-retail market crosses $65 bn, set for 20%+ growth](https://bwretailworld.com/sector/e-commerce-marketplaces/indias-e-retail-market-crosses-65-bn-set-for-20-growth), BW Retail World (Bain and Flipkart report) (2026)
7. [HUL sales from Q-com double in FY26, e-com turnover up 25 pc](https://www.theweek.in/wire-updates/business/2026/04/30/hul-sales-from-q-com-double-in-fy26-e-com-turnover-up-25-pc.html), The Week (PTI) (2026)
