Quick commerce startup Apna Mart has reduced its workforce by approximately 10%, impacting 35 to 40 employees in its first major layoff. The company attributed the decision to a strategic restructuring that includes adopting artificial intelligence and relocating its technology base to Gurugram. This move reflects a broader trend of operational optimization within the competitive Indian startup ecosystem.
Strategic Restructuring and Relocation
As part of its organizational realignment, Apna Mart is moving its product and technology divisions from Bengaluru to Gurugram. This strategic shift is intended to bring key teams closer to the company's core operational markets in northern and eastern India. Meanwhile, its operations teams will continue to be based in the cities where the company currently maintains a presence.
The relocation process resulted in job losses for employees who were unable to move to the new base location. Affected staff will receive a severance package equivalent to two months of their salary as part of the transition. The company confirmed this was a necessary step in aligning its organizational structure with its market-focused strategy.
The Role of Artificial Intelligence
A significant driver behind the workforce reduction was the integration of artificial intelligence into the company's business operations. Several roles were deemed redundant as AI-powered systems took over their functions, streamlining workflows and enhancing efficiency. This technological adoption is a key component of Apna Mart's plan to optimize its operational model for future growth.
Apna Mart's decision is consistent with a growing trend across the Indian technology sector where companies are leveraging AI for automation. Other firms, including Freshworks and Acko, have also recently announced layoffs citing similar reasons for role redundancy. This highlights a systemic shift as businesses increasingly prioritize AI-driven productivity and cost management.
Business Model and Market Position
Founded by Abhishek Singh and Chetan Garg, Apna Mart operates a distinctive franchise-led quick commerce platform. It focuses on delivering groceries and essentials within 15 minutes in Tier-II and Tier-III cities, a different approach from metro-focused rivals. The company utilizes an omnichannel model similar to Reliance's JioMart, combining online delivery with physical stores.
The startup has established a presence in over a dozen cities across states like Jharkhand, Chhattisgarh, and West Bengal. This strategy allows it to target underpenetrated markets, avoiding direct competition with giants like Blinkit and Zepto in major urban centers. Its network currently consists of nearly 200 franchise outlets, supporting its rapid delivery promise.
Financial Performance and Funding
The company is backed by prominent investors, including Peak XV Partners, Accel, and Fundamentum Partnership Fund. To date, Apna Mart has successfully raised approximately $40 million in total funding to fuel its expansion. Its most recent funding round secured about ₹214 crore in a mix of equity and debt.
For the fiscal year 2025, Apna Mart reported a net loss of ₹75.8 crore on revenues of ₹190 crore. The company has since claimed a significant 2.5-fold revenue increase to ₹500 crore for fiscal year 2026, though its bottom-line performance for that period remains undisclosed. These figures illustrate a trajectory of rapid growth alongside substantial operational investment.
Apna Mart's recent layoffs signal a pivotal moment for the company as it balances aggressive expansion with operational sustainability. The dual focus on AI integration and strategic relocation underscores a deliberate effort to build a leaner, more efficient organization. This restructuring will be crucial as the startup continues to carve out its niche in India's highly competitive quick commerce landscape.