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Aadit Palicha-led quick commerce giant Zepto has broadened its presence in Tamil Nadu, extending services beyond Chennai to districts such as Coimbatore, Tiruchirappalli, Madurai, Vellore and Salem.
As part of its wider growth plan, the startup has also reached a significant milestone for its rapid food delivery segment, Zepto Cafe, which recently crossed 1 lakh orders per day.
Zepto Café has hit 100K orders/day. That's closing in on a $100M Ann. GMV with a ~50% steady-state GM.
— Aadit Palicha (@aadit_palicha) February 22, 2025
It hasn't been easy to get Café the ground and many challenges are still work-in-progress, but I believe this is the beginning of a revolution in India's QSR industry.
Expansion in Tamil Nadu
Zepto now operates more than 20 dark stores across Tamil Nadu, each covering a 2–3 km radius to make deliveries both safe and fast.
According to the company, its delivery partners generally travel at 15–20 km/h, allowing Zepto to maintain a 10-minute delivery promise.
Connecting farmers and customers
In Tamil Nadu, over 100 farmers supply tender coconuts and green vegetables from places such as Palacode and Pollachi, providing fresh produce to Zepto users.
Zepto Chief Growth Officer Divesh Sawhney said Tamil Nadu is a key market due to its dynamic urban centers and growing demand for convenience. He also said that expanding services creates new opportunities for local businesses while offering customers faster deliveries at affordable prices.
"We are committed to bringing speed, quality and affordability to every doorstep while deepening our connection with the community," Sawhney added.
Financial growth
Zepto reported revenue from operations of Rs 4,454 crore in the 2024 fiscal year (FY24), a 120% increase compared to the previous year. The company anticipates continued growth as more customers adopt quick commerce for their daily essentials and ready-to-eat meals.
However, a recent Blume Ventures report noted that Indian quick commerce may encounter difficulties in sustaining its current growth rate, as expansion beyond major cities remains limited and competition from larger e-commerce players intensifies.
Currently, the quick commerce market is dominated by Zepto, Swiggy Instamart, and Zomato-owned Blinkit.