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India’s online home services market is predicted to broaden at a compound yearly development rate (CAGR) of 18-22% to reach 85-88 billion by FY30, driven by a growing city need for benefit, dependability and speed, a report has actually stated.
Following the prevalent adoption of fast commerce,’ Instant Home Services’is becoming the next frontier in India’s digital economy, intending to produce a brand-new routine loop for time-pressed metropolitan customers, states specialist company Redseer.
India’s total home services market, valued at around 5,100-5,210 billion in FY25, stays controlled by the unorganised sector.
“Instant Home Services acts like an on-demand household support system, bridging the gap between informal domestic help and structured service platforms.
“… India’s home services market continues to be mainly unorganised and offline. Since FY2025, online penetration stands at less than 1% of net deal worth, highlighting how deeply established standard, casual service networks still are. The online section, though growing, is still fairly little at 41-43 billion. It is broadening quickly at a predicted CAGR of 18-22% through FY2030, as customers significantly look for benefit, dependability, and responsibility that offline options have a hard time to offer,” the report said.
The report draws a direct parallel with the rise of quick commerce, which “improved daily purchasing” by conditioning consumers to expect delivery in minutes. Similarly, Instant Home Services is beginning to train urban households to expect rapid fulfilment for their service needs, bridging the gap between informal domestic help and structured digital platforms.
Currently, India’s eight largest cities account for 85-90% of the online home services demand.
The growing demand is supported by four key trends: a cultural expectation for immediate gratification driven by quick commerce, an increased focus on trust and safety post-COVID, rapid urbanisation, and a consumer mindset willing to pay a premium for convenience.
While the opportunity for ‘Instant Home Services’ in India is substantial, its successful scaling depends on platforms navigating significant operational challenges through targeted expansion and deep consumer understanding.
The report highlights that to move from a niche offering to a mainstream service, platforms must address several critical questions. These include maintaining the economic viability of high-frequency, low-value tasks, ensuring a stable supply of service professionals during peak hours, and building trust in the presence of strong informal service networks. Another key challenge identified is the need to onboard and support a workforce that may lack digital fluency without compromising user experience or scalability.
“Immediate services seem like the natural next action– substantiated of the exact same customer frame of mind that’s driving fast commerce and food shipment– one formed by speed and digital benefit. This design brings its own set of difficulties. It stands to see whether platforms can resolve the intricacy of real-time fulfilment in high-density areas, where dependability and schedule can’t be jeopardized. If they get this right, it will not simply be a brand-new classification– it’ll be an entire brand-new routine for city India,” stated Rohal Agarwal, partner at Redseer Strategy Consultants.
Released – September 21, 2025 12:10 pm IST
