Why are Blinkit and Instamart taking different approaches to private labels?
Swiggy's Instamart expands its own private food brand No!ce, which appears in over 12% of orders and shows 15 percentage points higher customer retention. Eternal's Blinkit has ruled out private labels, instead generating revenue through brand advertising. Instamart justifies this approach as differentiated assortment becomes critical as speed commoditizes and aggressive pricing becomes unsustainable in quick commerce.
Key points
- Instamart invests in private label brands like No!ce for customer retention
- Blinkit relies on brand advertising revenue without creating competing products
- No!ce products appear in 12% of Instamart orders with 15-point retention lift
- Strategic divergence reflects different profitability and growth philosophies
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