- Zepto raises $340M, valued at $5B.
- Quick-commerce startup expands dark store network.
- Traditional e-commerce giants face increasing competition in India’s evolving retail landscape.
Zero to hero in a heartbeat
Zepto, India’s instant delivery startup, has secured a whopping $340 million in its Series G funding round, skyrocketing its valuation to $5 billion.
This latest investment, co-led by General Catalyst and Mars Growth Capital, marks a significant leap from the company’s $1.4 billion valuation just a year ago. Zepto’s rapid ascent underscores the fierce competition in India’s quick-commerce market.
The dark side of shopping (stores, that is)
The secret to Zepto’s lightning-fast deliveries lies in its network of strategically placed “dark stores.”
These discrete warehouses, positioned within miles of high-demand areas, enable the company to fulfill orders in minutes. Zepto plans to expand this network to over 700 stores by March 2025, further solidifying its presence in major Indian cities.
Zepto’s success story is part of a larger trend shaking up India’s $1.1 trillion retail market. Quick-commerce services are rapidly gaining ground, projected to generate $4.5-5 billion in revenue this year.
This growth is putting pressure on established players like Amazon, which some analysts believe have been slow to adapt to changing consumer habits in India.
