Delhivery Enters Hyperlocal Logistics With Delhivery Direct

SUMMARY

Under this, Delhivery will offer pickups within 15-minutes of booking for local deliveries using two-wheelers for parcels as well as three and four wheeler vehicles for larger consignments

Delhivery Direct will allow the customers to ship intercity shipments across small and large parcel types to anywhere across over 18,800 pincodes in India where Delhivery is active

The company had been been piloting the service in Ahmedabad during Q4 FY25 and had plans to expand it to Delhi, Bengaluru and Mumbai in month of June

Logistics major Delhivery has entered the on-demand transportation and delivery services for both businesses and individuals with a new app, Delhivery Direct.

Under this, Delhivery will offer pickups within 15-minutes of booking for local deliveries using two-wheelers for parcels as well as three and four wheeler vehicles for larger consignments.

The app, which is available on Google Play and Apple App stores, will allow customers to book their intracity orders on-demand. Delhivery Direct will allow the customers to ship intercity shipments across small and large parcel types to anywhere across over 18,800 pincodes in India where Delhivery is active.

During the company’s Q4 earnings call, Delhivery MD and CEO Sahil Barua had announced that the company had piloted the service in Ahmedabad during the quarter. In its pilot phase in the city, Barua had mentioned that the company intended to take the service live in Delhi, Bengaluru and Mumbai in the near future.

“We are now fully live with Delhivery Direct across NCR and Bengaluru – two of the largest markets for on-demand intracity service in India and will rapidly expand to key metros. This launch provides millions of consumers and SMEs across the country with a logistics solution that simply works: fast, affordable, and reliable and completes the spectrum of offerings to our customers who can now use us for intracity needs as well,” Barua said in a statement on the launch of Delhivery Direct.

Although it was still in its pilot phase in the previous quarter, Barua had attributed growth in its partial truck load (PTL) service for the quarter partially to the service. In Q4 FY25, the company registered a 24% YoY revenue growth to INR 517 Cr while volumes grew more healthily to 458K MT (metric ton), up 19% YoY.

During the Q4 earnings call, the company mentioned that the growth in the service came at the behest of Delhivery One, a service which sees its clients access all of Delhivery services both Express Parcel as well as PTL.

“And some are also coming in through our new service, which is an expansion of Delhivery Direct, which is our local service, which is essentially an on-demand three-wheeler, two-wheeler service that we’ve launched in the city of Ahmedabad and we’ve just gone live in Delhi. We also intend to go live in Bengaluru and in Mumbai over the next 45 days. So some of these are also SMEs coming into that platform,” Barua added.

Overall, Delhivery closed the fiscal year FY25 registering profits in all four quarters. In Q4 FY25, the company reported a consolidated net profit of INR 72.6 Cr as against a loss of INR 68.5 Cr in the year-ago quarter. Its operating revenue grew 6% to INR 2,191.6 Cr in Q4 FY25 from INR 2,075.5 Cr in the year-ago quarter.

Delhivery’s entry into the hyperlocal logistics market comes at a time when the space is seeing a fresh interest from more logistics players. Although Porter, the incumbent in the space, recently turned into a unicorn early in May, its incumbency has been challenged by players like Uber and Shiprocket in recent times.

Most recently, ride hailing major Uber announced the expansion of its courier service Uber Courier with the launch of Courier XL in India to deliver large goods.

In May, the company said that the Courier XL service has been launched in Delhi NCR and Mumbai and shared plans to launch the services in more cities of the country in the coming months.

Last year, IPO-bound Shiprocket announced the launch of its local deliveries ‘Quick’ offering, a same-day shipping service to enable SMEs across India to get their cargos transported at rates as low as INR 10 per kilometer.

In the case of Delhivery, the rollout of the service comes shortly after it completed its acquisition of competitor Ecom Express. On June 17, the Competition Commission of India (CCI) approved its acquisition of Ecom Express for $165 Mn (about INR 1,407 Cr).

Shares of Delhivery were trading at INR 357.45, up 0.72% from previous close, at the time of publishing this story.