Groww has overtaken the Kamath brothers-founded Zerodha, becoming the platform with the highest number of active users in the country.
According to data available in the National Stock Exchange (NSE), as of September 2023, Groww has 6.63 million active users, edging out Zerodha’s 6.48 million.
The achievement isn't surprising as Groww has been gradually closing the gap with Zerodha over the past few months. In August, Zerodha had 6.3 million active users followed by Groww with 6.2 million and Angel One with 4.6 million.
While Groww takes the lead in user numbers, Zerodha demonstrates a robust financial performance, reporting a 38.5% growth in both revenue and profit during FY23, amounting to Rs 6,875 crore and Rs 2,907 crore respectively.
In contrast, Groww, despite an 11.7X jump in its revenue to Rs 351 crore in FY22 and a 3X increase in losses to Rs 239 crore, has not yet disclosed its financials for FY23.
Valuation wise too, Zerodha is the highest-valued startup in the stock broking space at $3.6 billion while Upstox and Groww are currently valued at $3.4 and $3 billion, respectively.
India’s active user base for retail stock investors stands at 32.56 million. Groww holds a substantial 20.35% of this active user base, whereas Zerodha commands 19.9% of the share.
Groww and Upstox have attracted customers by waiving charges for account opening or annual maintenance, a strategy that has proven effective in a competitive market.