Borzo eyes B2B push as quick commerce war heats up
BENGALURU: India is the largest market for urban delivery platform Borzo, accounting for 60-65% of gross goods value and 78% of global deliveries. The new country’s president now wants to maintain that leadership while reshaping where growth will come from and at whatever cost.
Darryl Dias, who recently took over as Borzo country president for India, is pushing a shift from a customer base dominated by individuals and small businesses to a more balanced mix that includes medium and large businesses. This development becomes the center of competition in the segment as urban deliveries become faster and unit economics become tighter.
“We no longer want to be overly dependent on a single segment of individuals and SMEs,” Dias said. Mint in an interview. “We want to grow our customer base.”
Today, roughly 85% of Borzo’s revenue in India comes from individuals and small and medium businesses, with the remaining 15% coming from large enterprises and B2B segments. Dias wants to rebalance that split to roughly 50-25-25, with individuals and small- and medium-sized businesses (SMBs), middle-market customers, and enterprise customers each owning a separate share.
The flash commerce model, which democratizes warehousing through dark stores and promises delivery in minutes, is now expanding into B2B fulfillment. Mint In July last year, it reported that faster deliveries were vital for supply chain companies to strengthen loyalty and keep up with increasing competition.
As the focus in India’s distribution ecosystem shifts from mere speed to unit economics and service reliability, competition is expanding beyond food and consumer goods to the last-mile needs of businesses.
In India, Borzo competes with Porter, Delhivery, Shadowfax and Swiggy Genie in the urban category. Dias recently joined Borzo as country manager after an eight-year stint as co-founder of electric vehicle startup Magenta Mobility.
According to estimates by Redseer Strategy Consultants, the size of India’s urban logistics market was USD 700 million in FY25 and is expected to cross USD 2 billion in FY30.
Profitability pressure
Borzo says it has been profitable in India for the last two years despite intensifying competition. “In the last two years, the India vertical has been profitable, and that is no small profit,” Dias added. Operating margins are also growing in double digits, according to the executive.
He attributes this to three factors: a high repeat rate, which keeps customer acquisition costs low; focusing on maintaining a reliable driver base rather than aggressively expanding; and a technology stack that supports multi-order deliveries and API integrations for B2B customers.
Borzo has 35,000-40,000 monthly active users and doesn’t want to be aggressive in increasing that number as it helps keep customer churn low and therefore consistent quality.
“When it comes to B2B, it is intense technology integration that is imperative for us to enable faster deliveries,” Dias said. “Knowing the customer’s orders and pin codes in advance allows us to plan batch processing and driver assignments in advance rather than scrambling on the spot.”
Dias said the company is trying to use artificial intelligence (AI) more consciously in revenue-related functions while preventing overuse. “You don’t need a chainsaw to do scissor work. The investments we’ve already made in artificial intelligence [chatbots, driver-assignment algorithms] table stakes,” he said.
The next phase will focus on areas with a “direct impact on revenues”, such as using delivery density heat maps to position passengers in high-demand areas during peak hours.
Borzo operates in 23 cities, but volumes are highly concentrated. 80% of the orders are from Mumbai, 15% from Delhi-NCR and the remaining 20 cities account for only 5%. Dias plans to address this problem by replicating Mumbai’s model in Delhi-NCR and Bengaluru and expanding to cities like Pune, Ahmedabad and Indore later in the year.
The company is also open to fundraising or acquisitions, although Dias says those discussions have not yet occurred at the board level. For now, the focus is on building a local team and scaling profitably in a market where efficiency and reliability are becoming as important as speed.
