Zepto Aims to Surpass DMart in Sales Within Next 18-24 Months
7TH JULY BUSINESS NEWS AGNIBEENA GHOSH
Zepto, the burgeoning 10-minute grocery delivery service, is setting ambitious targets to outpace retail giant DMart in sales within the next 18 to 24 months, according to co-founder and CEO Aadit Palicha.
Speaking at the JIIF Foundation Day event in Delhi, Palicha highlighted Zepto’s rapid growth trajectory, noting that despite DMart’s $30 billion market cap, Zepto is only 4.5 times smaller in terms of sales. He expressed confidence in Zepto’s ability to sustain a growth rate of 2-3 times annually, potentially surpassing DMart due to its strong execution in the consumer market.
Palicha underscored the vast potential of India’s grocery market, projected to expand from ₹650 billion in FY23 to ₹8850 billion by FY29, growing at a rate of 9% annually. Zepto aims to capitalize on this growth by focusing on the top 40 cities, targeting 50 to 75 million households.
In the fiercely competitive quick commerce sector, Palicha emphasized Zepto’s rapid ascent, achieving ₹10,000 crore in revenue in less than three years. He proudly declared Zepto as the fastest company in Internet India to reach this milestone, surpassing the pace set by giants like Flipkart.
Looking ahead, Palicha outlined Zepto’s ambitious growth plans, aiming to scale its revenue from ₹10,000 crore to ₹2.5 lakh crore in the coming years.
Zepto’s recent fundraising activities reflect its robust growth strategy. Most notably, the company secured $200 million in a Series D funding round led by Y Combinator’s Continuity Fund, valuing Zepto at $900 million. Earlier rounds included a $100 million Series C round and a $60 million raise, bringing Zepto’s total funding to $360 million.
Founded in 2021 by Aadit Palicha and Kaivalya Vohra, Zepto operates a network of cloud stores designed to deliver groceries within 10 minutes. This model places Zepto in direct competition with major players like Blinkit, Swiggy Instamart, and Tata’s BigBasket (BB Now) in the burgeoning quick commerce landscape.
With its rapid expansion and substantial backing from investors, Zepto aims to revolutionize the grocery shopping experience, leveraging technology to meet the evolving demands of Indian consumers in an increasingly competitive market.
