The quick-fashion segment's aggressive expansion is revealing significant financial challenges. As of April 2026, at least three rapid-fashion startups are collectively burning approximately $3 million per month to deliver outfits in under an hour. This stark reality contradicts the initial thesis that what worked for groceries would work for garments, as fashion operates on completely different psychological and operational axes. The current model promises 30-60 minute delivery with 8,000 styles in dark stores, but faces fundamental challenges in unit economics and customer behavior patterns.
Fashion retailers are implementing different strategies to meet instant-gratification shopping demands driven by quick-fashion startups. According to reports from Mint, brands such as Biba and The House of Rare are adopting a more calibrated, infrastructure-led approach rather than rapid overhaul of existing store networks. Siddharth Bindra, managing director of Biba, explained that using retail stores as fulfilment hubs creates operational constraints, particularly given store sizes between 1,000 and 2,000 square feet. Instead, these brands are evaluating hub-based models in cities with higher store density to enable faster deliveries without disrupting in-store operations.
In contrast to the infrastructure-led approach, Libas, an IPO-bound apparel company, is reworking its operating model to integrate stores directly into a faster delivery system. As reported by Mint, the 12-year-old company is using stores and nearby warehouses as local fulfilment points, allowing orders to be serviced within 60-90 minutes maximum. The rollout has been gradual, starting with select cities and limited catchments typically within 7-10km radius. Bhavay Pruthi, senior vice president of e-commerce and product management, noted that quick commerce currently accounts for about 2% of overall sales with scope to grow as the model scales.
The quick-fashion segment has attracted significant investor attention despite heavy cash burn. According to Mint reports, Zilo raised $15.3 million in February led by Peak XV, while Knot secured $5 million in a round led by 12 Flags in December. Quick-commerce platforms such as Zepto, Instamart and Blinkit have expanded beyond basic fashion items to offer specialized assortments across party, work and occasion wear with rapid delivery timelines. Myntra's rapid commerce division, M-Now, accounted for about 10% of orders in available locations as of last November.
The push toward quick commerce faces significant challenges, particularly regarding customer spending patterns and fundamental fashion consumption behaviors. As reported by Mint, Pruthi noted that customers lack confidence to spend ₹5,000 for fashion products through quick-commerce channels. Early results show that while e-commerce sell-throughs were strong, they were cannibalizing existing store sales. Industry experts highlight that fashion's unpredictable nature and the complexity of managing multiple products across different channels present structural challenges for traditional retailers adopting near-instant delivery models. Recent research reveals that 90% of consumers are choosing depth over speed, preferring more options and longer delivery times for better decision confidence.
