Service Model
Zepto promises delivery of groceries and other essentials within 10 minutes. This swift service is achieved through a network of strategically located micro-warehouses, known as “dark stores,” situated in high-demand urban areas.
Funding and Valuation
Since its inception, Zepto has attracted significant investment:
June 2024: Raised $665 million, elevating its valuation to $3.6 billion.
August 2024: Secured an additional $340 million, increasing its valuation to $5 billion.
November 2024: Obtained $350 million in a funding round, maintaining its $5 billion valuation.
Market Presence
Operating in major Indian cities such as Delhi, Mumbai, Kolkata, Bengaluru, Chennai, and Hyderabad, Zepto competes with other quick-commerce platforms like Blinkit and Swiggy Instamart. As of January 2024, Zepto held a 28% market share in India’s quick-commerce sector.
Controversies
In March 2025, Zepto, along with competitors Zomato and Swiggy, faced an antitrust investigation by the Competition Commission of India. The inquiry was prompted by allegations of deep discounting practices that potentially harmed smaller retailers.
Recent Developments
In April 2025, Indian Commerce Minister Piyush Goyal criticized startups focusing on rapid delivery services, suggesting they should prioritize high-end technology development. Although no companies were named, the remarks were widely interpreted as directed at firms like Zepto.
Zepto continues to expand its operations and refine its service offerings, aiming to solidify its position in India’s competitive quick-commerce landscape.
Funding and Valuation
Zepto has experienced significant growth in funding and valuation since its inception:
August 2023: Zepto raised $200 million in a Series E funding round, achieving a valuation of $1.4 billion and becoming India’s first unicorn of 2023.
June 2024: The company secured $665 million, elevating its valuation to $3.6 billion.
August 2024: Zepto raised an additional $340 million, increasing its valuation to $5 billion
Operational Expansion
As of August 2024, Zepto operates over 250 dark stores across ten metropolitan areas in India.
Market Position and Competition
In India’s quick-commerce sector, Zepto competes with platforms like Blinkit, Swiggy Instamart, and BigBasket. As of January 2024, Zepto held a 28% market share, trailing Blinkit’s 40% and ahead of Swiggy Instamart’s 26%.
Controversies and Challenges
Zepto has faced several challenges:
Antitrust Investigation: In March 2025, Zepto, along with Zomato and Swiggy, faced an antitrust investigation by the Competition Commission of India over allegations of deep discounting practices potentially harming smaller retailers.
Government Criticism: In April 2025, Indian Commerce Minister Piyush Goyal criticized startups focusing on rapid delivery services, suggesting they should prioritize high-end technology development. Although no companies were named, the remarks were widely interpreted as directed at firms like Zepto.
Impact on Traditional Retail
The rise of quick-commerce platforms like Zepto has raised concerns about the viability of traditional neighborhood kirana stores. Reports suggest that such platforms could force over 25% of India’s kirana stores to close by 2030, with approximately 200,000 already shut in urban areas.
