Quick commerce company Zepto has announced the expansion of its cafe service to 120 cities, including Delhi NCR, Bengaluru, Hyderabad, Chennai, and Pune.
This move follows the company’s achievement of an annualised revenue run rate of INR 160 crore from just 15% of its dark store network.
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Zepto runs Cafe service in Mumbai, offers 148 items
Currently operating only in Mumbai, Zepto Cafe offers 148 items, including beverages and snacks, with a 10-minute delivery promise. The menu features chai, coffee, breakfast options, pastries, and savoury snacks. “We have cracked 10-minute delivery with high-quality food preparation processes. Our team has researched and sourced equipment for cafes, including coffee machines that employ handcrafted brewing techniques,” said Zepto CEO Aadit Palicha.
Founded in 2021, Zepto pioneered 10-minute delivery in India, delivering over 25,000 products across categories through its dark store network. The company launched Cafe in Mumbai in 2022, which boosted average order values as users ordered beverages and snacks with groceries.
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Zepto raises $1 Bn in 2024
Zepto has raised over $1 billion in 2024, including $340 million at a $5 billion valuation in August and $665 million at a $3.6 billion valuation in June. The company plans to raise an additional $300 million from Indian investors.
With a GMV of over $1 billion in FY24, Zepto aims to expand from 350 to 700 stores, with 75% of stores achieving EBITDA positivity by May 2024. According to CLSA, the gross order value of major quick commerce players may reach $10 billion by FY26.
Looking ahead, the quick commerce platform plans to go public in the next couple of years and is in the process of redomiciling to India.
