The next time an online order arrives at your doorstep within a day, it is easy to credit the app. Less visible is the network behind it: where inventory is stored, how quickly it is processed, which carrier is selected, and how service levels are monitored. India's logistics sector is undergoing a quiet transformation. Brands have shifted from general trade and modern trade to e-commerce, marketplaces, D2C, and now quick commerce. As the front end of consumer demand changes, the back end must evolve as well. Supply chains originally built for bulk movement are now expected to handle smaller orders, faster dispatches, reverse logistics, quick commerce replenishment, omnichannel complexity, and appointment-based deliveries.
In this race, warehouses have moved from the margins to the centre of business strategy. Against this backdrop, Gurugram-based Prozo, founded by a former Indian Navy doctor, identified a major opportunity. Dr. AshviniJakhar did not begin his career in business. A graduate of the Armed Forces Medical College, he served as a Surgeon Lieutenant Commander in the Indian Navy before moving into the corporate world and later founding Prozo.
"Supply chain is ultimately about managing complexity at scale. It comes down to discipline, coordination, and decision-making under pressure. Earlier, supply chains were optimised for cost. Today, they are being redesigned for speed, responsiveness, and visibility. Orchestration is the key," Dr. Jakhar said.
The shared warehousing bet
A key part of Prozo's model is shared, tech-enabled warehousing, where multiple clients operate out of common fulfilment centres on a flexible, pay-per-use basis. The model which was designed for D2C brands looking to scale without locking capital into fixed infrastructure has also seen adoption by SMEs and enterprises.
The idea emerged from a clear market gap. Large enterprises had scale, but many legacy supply chains were not designed for omnichannel commerce. New-age brands and SMEs had agility and demand, but often lacked the capital to build nationwide fulfilment networks. Shared warehousing became the bridge between the two.
For smaller brands, the model provides access to enterprise-grade infrastructure, manpower, systems, and transport networks without significant upfront investment. For enterprises, it offers an alternative to long-term leases or dedicated fulfilment centres at a time when demand patterns are shifting rapidly.
"A brand may need to serve marketplaces, D2C channels, quick commerce, B2B buyers, modern trade, and appointment-based delivery flows simultaneously. Each channel has a different fulfillment logic, documentation requirements, delivery windows, and SLA expectations. A fixed infrastructure model can lead to longer lead times, higher costs and significant underutilisation when demand shifts, whereas a shared model allows capacity to be used more efficiently," Dr. Jakhar said.
"Prozo has grown alongside India's changing commerce ecosystem. From around Rs 6 crore in revenue, the company reported Rs 174 crore in FY25 and is targeting has achieved ?27 crore in FY26 and targeting ?400-450 crore in FY27. It now operates more than 50 fulfilment centres across over 20 cities, manages nearly 3 million sq. ft. of warehousing space, and serves more than 120 clients across new-age brands, SMEs, and enterprises. Our network spans over 29,000 PIN codes and is supported by more than 30 courier and logistics partners," Dr. Jakhar added.
Is the market large enough?
Warehousing and logistics account for nearly 12% of India's GDP. The scale of the opportunity has attracted a wide range of players, from established firms to venture-backed enterprises. At the same time, India's warehousing, logistics, and broader supply chain market remains large enough for multiple business models and companies to coexist.
"Expansion is important, but efficiency is critical. You have to make the network work," Dr. Jakhar said.
As India's supply chains evolve, startups are positioning themselves not at the front end of commerce, but deep within its infrastructure. In a market where speed, flexibility, and visibility are becoming baseline expectations, the real competition is no longer visible to consumers. It is being fought deep within the supply chain.
