Quick Commerce Startup Zepto Raises $200 Million Series D at $900 Million valuation
With this capital, the startup aims to continue growing sustainably across India
India's quick commerce space continues to create buzz. Within nine months of launch, Zepto has announced its $200 million Series D fundraise, valuing the company at around $900 million. Y Combinator Continuity doubled down and led Zepto’s Series D, with new investor - Kaiser Permanente - joining in to back the company as well. All key existing investors, including Nexus Venture Partners, Glade Brook Capital, and Lachy Groom, have also increased their investments, marking another vote of confidence in the company’s trajectory.
Besides the fundraise, the last quarter has been incredible for Zepto. “We posted 800% Q-o-Q revenue growth, while burn has come down 5X on a per-order basis. Our team achieved this while continuing to delight our customers - we maintained a phenomenal 88-Point NPS and 60% Month-1 Buyer Retention at scale. This unbelievable execution over the past few months has made it clear to investors that Zepto will be one of the winners in Indian Q-Commerce,” said Aadit Palicha, co-founder and CEO, Zepto.
With capital now in the bank, Zepto plans to continue growing sustainably across India. The company has also grown the team to over 1,000 people in a few months - they continue to hire across all functions, including engineering, analytics, operations, marketing, finance, and HR.
“Our rigorous focus on Unit Economics is the main reason why we’ve had such an amazing trajectory as a company. We’ve turned micro-markets profitable and brought down burn significantly while growing to a scale of hundreds of thousands of orders per day!," said Kaivalya, co-founder and CTO, Zepto.
Zepto is also piloting a service to deliver Coffee, Chai, and other Café items in 10 minutes across select areas in Mumbai. The company claims that the new category - termed ‘Zepto Café’ - is being received well by early customers and if the pilot continues to go well, it plans to scale this service across India soon.