When faced with an empty refrigerator and a sudden craving for an ice-cold beer, would consumers choose to wait for days-long e-commerce delivery or expect immediate gratification through "30-minute delivery"? Instant retail, this emerging business model, is reshaping the retail landscape with its unique appeal. For brands, however, it presents both opportunities and challenges. The critical question remains: how can brands position themselves effectively in this competitive market to achieve profitable growth?
The Evolution of Instant Retail
As an upgraded version of O2O models, instant retail's core value proposition lies in its ultra-fast fulfillment promise of "30 minutes to one-hour delivery." By combining online ordering with offline fulfillment, it precisely meets consumers' desire for immediacy. Unlike traditional O2O models (primarily focused on in-store consumption for local services like dining and beauty), instant retail emphasizes "to-your-door" services, naturally aligning with high-frequency essential categories like groceries, daily necessities, pharmaceuticals, and baby products.
While often categorized within digital marketing ecosystems as part of "contact points and content—digital touchpoint tracks," instant retail represents more than just an additional channel. It has emerged as a distinct third retail format, standing alongside pure e-commerce and traditional brick-and-mortar retail.
The fundamental logic of instant retail involves integrating online and offline resources to redefine retail efficiency across spatial and temporal dimensions, ultimately forming an independent commercial ecosystem. This business model's rise stems not from unilateral platform promotion but from the convergence of multiple factors including consumer demand, infrastructure maturity, and market competition.
Key Drivers of Instant Retail Growth
Consumer Demand: Platforms like Meituan and Ele.me have continuously expanded their service boundaries from food delivery to broader categories including supermarket convenience items, beverages, cosmetics, trendy products, sports goods, and even apparel. Notably, this growth demonstrates rational, organic characteristics—while platforms have made investments, they haven't reignited large-scale subsidy wars, indicating market maturation.
Infrastructure Maturity: The "30-minute delivery" promise relies on three foundational capabilities: high-density delivery networks, scalable rider teams, optimized front-end warehouse/store-warehouse systems, and continuously evolving digital dispatch tools. These infrastructure developments provide robust support for instant retail's rapid expansion.
Competitive Landscape: Since 2025, e-commerce giants including JD.com and Alibaba have intensified their instant retail investments, creating a tripartite competition with Meituan. However, the market structure remains fluid as players actively explore and adjust strategies. Current competition focuses on two fronts:
- Front-end Traffic Acquisition: Platforms employ short-term subsidies and price wars to rapidly boost user numbers and order volumes, seeking advantageous market positions.
- Back-end Infrastructure Investment: Platforms continuously strengthen rider dispatch, warehouse networks, and digital tool capabilities to solidify fulfillment foundations and enhance service quality.
Operational Models and Strategic Considerations
Instant retail demonstrates diverse operational approaches across two dimensions:
- Distribution Models: Options include store-to-online integration, dedicated front-end warehouses, and hybrid store-warehouse models, allowing brands to select optimal strategies.
- Operational Entities: Both platform-based (Meituan, Ele.me, Taobao Quick Purchase) and self-operated models (Walmart, Hema, Sam's Club, Watsons) coexist, each playing distinct market roles.
An emerging trend sees retailers adopting dual-track strategies—simultaneously operating proprietary mini-programs while partnering with major platforms. For instance, during Double 11 sales events, brands like Uniqlo and Decathlon have listed products on Taobao Quick Purchase, transitioning from pure self-operated O2O to platform collaboration for greater traffic and market share.
Instant retail service providers now perform functions far beyond traditional e-commerce TP/DP roles, encompassing not just online ad optimization but also offline product integration, promotion execution, inventory management, and even partial financing responsibilities. This hybrid service model demands cross-channel coordination capabilities beyond simple "digital touchpoint management" or conventional "e-commerce operations."
Strategic Challenges for Brands
Amid intense platform competition, brands face multiple strategic uncertainties requiring careful navigation:
- Cost Transfer Risks: Platform price wars and subsidy investments may ultimately transfer costs to brands through adjusted terms, increasing overall operational expenses.
- Profit Dilution: Shifting sales from "in-store" to "home delivery" doesn't necessarily increase total volume but raises fulfillment costs and management complexity, potentially compressing profit margins.
- Platform Selection Dilemmas: Vast differences in commercial terms across platforms and potential "exclusive choice" pressures may weaken brands' bargaining power.
Strategic Pathways for Brands
As an inevitable evolution in retail, all brands must incorporate instant retail into annual strategic planning. However, entry timing should be carefully considered based on three key factors:
- Product Category Characteristics: Not all categories suit instant retail—high-frequency essentials with standardized packaging and easy delivery hold natural advantages.
- Consumer Scenario Urgency: The intensity of immediate needs in specific scenarios determines instant retail's value proposition.
- Supply Chain Adaptability: Rapid, efficient supply chains and warehousing systems are crucial for achieving "30-minute delivery."
Based on these considerations, brands may adopt different entry strategies:
1. Channel Expansion: E-commerce brands can leverage platform front-end warehouses and precision distribution to bypass traditional offline expansion's high costs and channel conflicts, achieving offline breakthroughs.
2. Market Share Competition: In categories with existing offline distribution, operationally strong brands can use instant retail to surpass previous ranking limitations. As new channel competition remains fluid, refined operations yield more predictable returns.
3. Demand Creation: The most strategic approach involves moving beyond "channel transfer" thinking to innovate products and marketing around authentic scenarios. Examples include:
- Beer for impromptu social gatherings during sports events
- Feminine hygiene products for nighttime emergencies
- Snacks and beverages for afternoon tea or late-night cravings
This model's core value lies not in adding channels but in "scenario-based consumption fulfillment," requiring systematic coordination across four dimensions:
- Product: Identify or customize scenario-appropriate products rather than replicating existing SKUs.
- Content & Media: Deploy precise outreach based on temporal, geographical, demographic, and behavioral scenario factors.
- Omnichannel Marketing: Combine instant retail's "scenario conversion" with external seeding and search optimization for efficient conversion.
Core Competency Development
Successful instant retail operations require building key capabilities:
- Distribution Coverage: 30-minute fulfillment depends on high-density inventory placement within consumer proximity.
- Supply Chain Adaptation: Special categories like chilled foods require 5–10 minute fulfillment, necessitating packaging, temperature control, and dispatch upgrades.
- Search & Conversion Optimization: Adapt to platform algorithm scenario tags (e.g., "afternoon tea," "midnight snack") to improve recommendation conversion rates.
- Data Tool Application: Utilize platform marketing maps and store distribution diagnostics for precise decision-making.
Future Outlook
Consumer Side: Continued penetration and expectation escalation will drive purchases across broader categories at higher frequencies, shifting from pure price sensitivity to comprehensive service demands including delivery precision and product variety.
Brand Side: Significant differentiation will emerge—brands with deep understanding and execution capabilities will gain substantial market share, while those with vague strategies may face rising traffic costs and profit pressures.
Platform Side: Infrastructure competitions around rider expansion, warehouse network density, and digital tool upgrades will dominate, potentially reshaping the broader retail landscape.