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India's online home services market is projected to grow at a CAGR of 18-22%, potentially reaching INR 85-88 billion by FY30, driven by urban demand for convenience, reliability, and speed. While the overall home services market was valued at INR 5,100-5,210 billion in FY25, online penetration remains low at less than 1% of net transactions. The rise of instant home services, influenced by quick commerce trends, is reshaping consumer expectations, particularly in India's eight largest cities, which account for 85-90% of current online demand.
India's online home services market is on track for strong growth, with projections showing a CAGR of 18-22%, reaching INR 85-88 billion by FY30. Urban consumers are increasingly seeking reliable, quick, and convenient solutions for home tasks, driving this growth. Advertisement
The overall home services market in India remains dominated by the unorganised sector, valued at around INR 5,100-5,210 billion in FY25. Despite its small size, the online segment, currently estimated at INR 41-43 billion, is expanding rapidly as platforms offer structured and accountable services compared to traditional informal networks.
'Instant Home Services' is emerging as a major trend, offering on-demand household support that bridges the gap between informal domestic help and organised digital platforms. The model is being shaped by consumer expectations established by quick commerce, where speed and convenience have become the norm.
Currently, India's eight largest cities generate 85-90% of online home services demand. Growth is supported by four trends: expectations of immediate fulfilment, increased trust and safety post-COVID, rapid urbanisation, and consumers willing to pay a premium for convenience.
Scaling this sector successfully requires addressing operational challenges such as maintaining the economic viability of low-value, high-frequency tasks, ensuring steady supply of service professionals during peak hours, and onboarding digitally less-fluent workers without compromising service quality. Platforms must also build trust in areas where informal service networks are strong.
Rohal Agarwal, Partner at Redseer Strategy Consultants, said that instant services are a natural next step following quick commerce and food delivery trends. However, platforms must navigate real-time fulfilment complexities in dense urban areas, where reliability and availability cannot be compromised. Success in this area could turn instant home services into a regular habit for urban households.
Source PTI
5th Jun, 2025
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