New Delhi: Fast trading unicorn Zepto's revenue can grow up to Rs 2.5 lakh crore in 5-10 years if the company is able to execute the business well, a top company official said on Saturday.
Speaking at the seventh day of the JIIF Foundation, Zepto Co-Founder and CEO Aadit Palicha said that groceries and household essentials are the mother of all categories sold on major platforms e-commerce companies Flipkart and Amazon in India.
He said the grocery and household essentials market stood at around $650 billion in India in FY23 and is growing at a CAGR (compound annual growth rate) of 9 per cent and is It is expected to reach around $850 billion by FY29.
“If we execute well, we can realistically take this business from over Rs 10,000 crore top line today to potentially… Rs 2.5 lakh crore top line in the next 10 years or next five years. "Palicha said.
"Their grocery store is bigger than all the other categories that Amazon and Flipkart offer combined. If you look at electronics, clothing and furniture, it combines everything and doubles it, it is still not as big as groceries and items basic necessities for the home," Palicha said. .
The company's revenue has increased five-fold to over Rs 10,000 crore in FY24 from around Rs 2,000 crore in FY23.
Last month, Zepto raised $665 million in an investment round that valued the firm at $3.6 billion, nearly triple what it was worth a year ago, and is preparing to list soon.
The startup, founded three years ago, raised $665 million (around Rs 5,550 crore) from new investors including New York-based private equity firm Avenir Growth Capital, venture firm Lightspeed and Avra Capital , a new fund started by former Y Combinator Continuity. director Anu Hariharan and Andreessen Horowitz.
Existing investors including Glade Brook, Nexus and StepStone Group also participated.
Palicha said the biggest challenge for the company is hiring people with the right attitude.
The startup plans to double warehouses used to deliver groceries in 10 minutes within a two-kilometer radius to more than 700 by March 2025 by reinvesting sales from mature stores to fund expansion.
Zepto has about 29 percent market share in the 10-minute grocery delivery service (known as fast e-commerce), up from 15 percent in March 2022. Blinkit is the market leader with nearly 40 percent. cent and the rest is in Instamart.
"We have made 75 percent of our stores fully profitable and so we want to continue that trajectory even as we are expanding into new cities," Palicha said.
Speaking at the seventh day of the JIIF Foundation, Zepto Co-Founder and CEO Aadit Palicha said that groceries and household essentials are the mother of all categories sold on major platforms e-commerce companies Flipkart and Amazon in India.
He said the grocery and household essentials market stood at around $650 billion in India in FY23 and is growing at a CAGR (compound annual growth rate) of 9 per cent and is It is expected to reach around $850 billion by FY29.
“If we execute well, we can realistically take this business from over Rs 10,000 crore top line today to potentially… Rs 2.5 lakh crore top line in the next 10 years or next five years. "Palicha said.
"Their grocery store is bigger than all the other categories that Amazon and Flipkart offer combined. If you look at electronics, clothing and furniture, it combines everything and doubles it, it is still not as big as groceries and items basic necessities for the home," Palicha said. .
The company's revenue has increased five-fold to over Rs 10,000 crore in FY24 from around Rs 2,000 crore in FY23.
Last month, Zepto raised $665 million in an investment round that valued the firm at $3.6 billion, nearly triple what it was worth a year ago, and is preparing to list soon.
The startup, founded three years ago, raised $665 million (around Rs 5,550 crore) from new investors including New York-based private equity firm Avenir Growth Capital, venture firm Lightspeed and Avra Capital , a new fund started by former Y Combinator Continuity. director Anu Hariharan and Andreessen Horowitz.
Existing investors including Glade Brook, Nexus and StepStone Group also participated.
Palicha said the biggest challenge for the company is hiring people with the right attitude.
The startup plans to double warehouses used to deliver groceries in 10 minutes within a two-kilometer radius to more than 700 by March 2025 by reinvesting sales from mature stores to fund expansion.
Zepto has about 29 percent market share in the 10-minute grocery delivery service (known as fast e-commerce), up from 15 percent in March 2022. Blinkit is the market leader with nearly 40 percent. cent and the rest is in Instamart.
"We have made 75 percent of our stores fully profitable and so we want to continue that trajectory even as we are expanding into new cities," Palicha said.