Zepto, a quick commerce unicorn, is poised to surpass offline retail giant DMart in sales within the next 18-24 months, according to co-founder and CEO Aadit Palicha. Speaking in Delhi on July 6, Palicha highlighted that DMart, valued at $30 billion, is only 4.5 times larger than Zepto in terms of sales. He expressed confidence in Zepto’s ability to grow 2-3 times annually and potentially outpace DMart within two years, showcasing their strong execution and growth potential.
Focusing on the top 50-75 million households in the 40 largest Indian cities, Zepto aims to dominate the grocery and daily essentials market. Palicha projected that by FY29, the Indian grocery market would be worth $850 billion, with these top households accounting for $400 billion. He emphasized the significance of the grocery sector, noting its larger size compared to all categories served by Amazon and Flipkart.
Zepto recently secured $665 million in funding, bringing its valuation to $3.6 billion, as investors continue to bet on India’s growing quick commerce sector. Additionally, Zepto has attracted interest for another $250 million in a new funding round, which could increase to $400 million, valuing the company at approximately $4.6 billion. Major private equity firms like General Catalyst and KKR are expected to participate in this round.
The funds will be used to expand into new markets such as Jaipur, Chandigarh, and Ahmedabad, and to increase penetration in existing cities like Mumbai, Delhi, and Bengaluru. Zepto plans to double its number of dark stores from 350 to over 700 by March 2025. These expansion plans align with strategies of other leading companies in the sector, including Blinkit, which plans to open 1,000 stores by March 2025.
Founded in 2021 by Aadit Palicha and Kaivalya Vohra, Zepto processes 550,000 orders daily through its network of 350 dark stores across seven Indian cities. In comparison, Blinkit, the leading quick commerce player, handles over 700,000 orders daily and operates 526 dark stores. Zepto’s rapid growth and ambitious expansion plans position it as a major contender in the quick commerce market.
