Zepto's Meteoric Rise: Quick Commerce Unicorn Eyes ₹2.5 Lakh Crore Revenue

Zepto, the quick commerce unicorn, projects a potential revenue increase to ₹2.5 lakh crore in 5-10 years by expanding grocery and household essentials categories. With a current market share of 29% in 10-minute delivery services, Zepto's growth, aided by a recent $665 million funding round, is set to continue.

Quick commerce unicorn Zepto is poised for explosive growth, potentially reaching ₹2.5 lakh crore in revenue over the next 5-10 years, according to Co-Founder and CEO Aadit Palicha. Speaking at the 7th JIIF Foundation day, Palicha emphasized the significance of grocery and household essentials in the Indian market, valued at around USD 650 billion in FY23 and expected to reach USD 850 billion by FY29.

Palicha highlighted that grocery and household essentials are larger than all other categories combined on platforms like Amazon and Flipkart. Zepto's revenue has already surged over fivefold to ₹10,000 crore in FY24 from about ₹2,000 crore in FY23. This growth trajectory earned Zepto a valuation of USD 3.6 billion after a recent USD 665 million funding round, with participation from investors such as Avenir Growth Capital, Lightspeed, and Avra Capital.

Zepto plans to double its warehouses to over 700 by March 2025 to further its market share in 10-minute grocery deliveries. Currently holding 29% of this market, the startup aims to expand while maintaining profitability in 75% of its stores. Hiring talent with the right attitude remains a challenge, but Palicha is optimistic about sustaining the company's growth trajectory.

(With inputs from agencies.)