Zepto Business Model
Zepto
Founder
A brief Introduction about the company
Kaivalya Vohra and Aadit Palicha, Stanford University dropouts, founded Zepto in April 2021.
The zepto business concept is based on fast-growing rapid commerce. Zepto become a faster-
growing grocery delivery platform in India. The company's promises of less than 10 minutes of
delivery to customers’ doorsteps have proven to be a game changer. Zepto has raised more
Aadit Palicha than $200 million in a new financing round to expand its network of dark stores.
More than 100 places are known as micro fulfillment centers or dark stores that lie in the
higher-demand area. This store used modern technology to perform different activities such as
product positioning. They also decide on the company finalizing the store’s location, and
mapping delivery routes to avoid heavy traffic congestion. The company delivers almost 2500
items, including fresh produce, cooking necessities, personal care items, home cleaning items,
and snacks and beverages.
Kaivalya
Vohra
Zepto
The Dark Store Model Concept
Traditional retail stores or supermarkets that have been turned into
eCommerce warehouses or distribution hubs are known as dark stores. The
dark store might appear ominous. They undercut clever strategies that kept
some retail establishments afloat during COVID-19.
Customers benefit from a dark store online order and purchase system,
same-day delivery, in-store pickup, and online shopping. The dark store
concept has helped the zepto to decrease the time to deliver goods to 10
minutes. With dark stores, zepto business model become the fastest
growing sector in the delivery sector.
Zepto
Delivery Types
Home Delivery
Home delivery refers to quick, convenient, and contactless delivery of items such as groceries and other
necessary products at the customer's doorstep within 10 minutes.
In-Store Pickup
A customer will be able to pick up the items from the store without having able to stroll through the entire
store. Customers can appreciate this option because it eliminates delivery costs.
Curbside Pickup
Curbside pickup often consists of a parking space design while retail staff will carry out the item without
the customer having to leave the vehicle. It's will help customers to the greatest extent possible in an event
like a pandemic.
Zepto
How Zepto Works?
Browse and Place an Order
Customers download the app & register into the app. They browse or filter product items
and place an order they want.
Packaging and Dispatch
The dark store receives orders, checks the stock, and fulfills packing and delivery
requirements.
Order Receive
A delivery person collects orders & provided them to the customer's doorstep. The
customer provided feedback about their experience.
Zepto
Advantages of Zepto Business Model
Faster Delivery
The dark store business model helps Zepto to fulfill multiple orders swiftly. Cold and micro warehouses offer different
distribution options, physically delivering groceries closer to a market group.
Boost Customer Reach
The cloud kitchen makes distribution hubs accessible to consumers; they accept round-the-clock services online.
Consumers are drawn to these grocery delivery platforms and employ the services as a result.
Contactless Shopping
Dark stores offer the convenience of online contact-free shopping with the benefits of instant delivery of your product.
Dark stores enable consumers to shop for meals and groceries without interacting with others or moving to physical
stores.
Improved Product Assortment & Inventory
Dark stores provide excellent inventory control, handle great order quantities, and have no consumers. Zepto’s AI-
powered platform enables inventory stock tracking and product assortment.
Zepto
Zepto Future Plans
The company looking to expand its client base, open dark stores, and hire more staff to ensure
smoother services for the customer. The company is planning to cover about 100 pin codes.
India’s quick commerce market is expected to reach around $5 billion by 2025. They are looking
to offer their service in other countries in the future. Also, a company looking forward to launching
pharmacy delivery services online.
The founder also concluded, “we have noticed median delivery times stabilize if not lower
because we scale our expansion and coverage; it ends up being an aspect of single cloud stores
and how they perform.”
Zepto offers express delivery services which became a back through for the success. The
delivery platform brings quick delivery to customers through the dark-store concept.
Zepto
Competitors
Blinkit
• The user interface is relatively easy to operate
• Instant, a real-time updates can be accessed
• No minimum order value
Big Basket
• Purchase farm products, and then manage the stock of all these items in its warehouse
• Big basket purchase product from some of the best and largest brands.
Instamart
• The average basket size for grocery top-up business is close to Rs.400-450
• The 3i frameworks: Intent, Indulgence, Inspiration
• Driving inspiration
Thank You
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