Amazon is committing Rs 2,800 crore (roughly $300 million) to scale its quick-commerce service, Amazon Now, from a handful of cities to 100 cities across India, backed by a network of over 1,000 micro-fulfillment centres. The move is one of the company's largest single bets on India's instant delivery market.

New cities in the rollout include Pune, Hyderabad, Chennai, Kolkata, Jaipur, Lucknow, Kochi, Amritsar, Mangaluru, and Visakhapatnam, alongside deeper penetration in Mumbai, Delhi-NCR, and Bengaluru. Amazon Now covers groceries, fresh produce, frozen foods, personal care, beauty products, small appliances, and pet supplies—all promised for delivery within minutes.

Why Amazon Is Moving Fast Now

Amazon has long led on same-day and next-day delivery, but the 10-to-30-minute segment has been dominated by Indian-origin players with hyperlocal warehouse networks built specifically for speed. Amazon Now is the company's answer: a shift from hub-and-spoke logistics to a dense grid of micro-fulfillment centres positioned close to residential demand clusters. That infrastructure model is expensive to build but hard to replicate quickly, which is why capital deployment at this scale matters.

Harsh Goyal, Vice President for Everyday Essentials at Amazon India, said the company is accelerating the rollout on the back of rising customer engagement. One concrete signal: Prime members who adopted Amazon Now have tripled their shopping frequency, according to Amazon. Higher order frequency is the core unit-economics driver in quick commerce, where small basket sizes only become profitable at high repeat-purchase rates.

Farmer Integration and Supply Chain Depth

Amazon also plans to source fresh produce directly from farmers, integrating more than 16,000 farmers into its supply chain so they can sell to consumers through sellers on the platform. Direct sourcing typically reduces intermediary costs and can improve freshness—two factors that matter in a category where perishables drive a large share of orders.

The broader Amazon India logistics stack remains in place alongside Amazon Now: over one million items available for same-day delivery and more than four million products deliverable the next day on its marketplace. Amazon Now sits at the fastest end of that delivery spectrum.

The investment signals a competitive escalation in India's quick-commerce sector. Rivals with established hyperlocal networks will face a better-capitalised Amazon pushing into cities where they already operate. For consumers in the 100 target cities, more choice and potentially faster delivery windows are the near-term outcome. Watch for how incumbents respond on pricing and coverage as Amazon Now rolls out city by city.