Zepto, once a formidable challenger in India’s rapid delivery space, has now fallen to third place in market share, as competition intensifies among quick-commerce giants.
The Rise and Repositioning of Zepto
Founded in 2021, Zepto quickly captured attention with its promise of 10-minute grocery deliveries. With over 250 dark stores across major Indian cities and a valuation north of $5 billion, the Bengaluru-based startup positioned itself as a fast-growing disruptor in Q-commerce
Market Share: Zepto Drops to Third
- Blinkit (Zomato) retains a commanding lead, holding approximately 46% of market share
- Swiggy’s Instamart hovers around 25–27%, positioning itself as a strong second player
- Zepto, once second, has now fallen behind Instamart, with a share in the 20–29% range
Citi and other analysts confirm the realignment: “Swiggy Instamart is in the third spot in quick commerce, behind Blinkit and Zepto”—implying Zepto has overtaken Swiggy at times. But updated data now places Zepto behind both Blinkit and Instamart. Another assessment suggests Blinkit leads with 41%, Swiggy has dropped to third, and Zepto is solidly in second—yet more recent sources reflect a continued slide for Zepto
What’s Driving The Shift?
Myriad Competition & Expansion
Blinkit’s expansive dark-store network—over 1,000—and Swiggy’s deep integration with its food delivery business provide immense scalability advantages
Zepto, on the other hand, has fewer stores (about 500–700) and is still expanding its reach
Profitability and Cost Pressures
Q-commerce remains largely unprofitable across the board. Swiggy has struggled with worsening unit economics and rising losses, while Blinkit and Zepto continue burning capital to sustain growth
Blinkit’s profitability approach and Swiggy’s cross-platform synergy give them an operational edge over Zepto, which continues investing heavily to catch up.
Deliveries and Speed as Differentiators
Although Zepto has broken records with ultra-fast deliveries, even boasting a 25-second fulfillment on one occasion, Blinkit and Instamart maintain solid performance and stronger back-end integration
What This Means for Zepto and the Industry
Zepto’s fall to third highlights the rapid maturation and consolidation of India’s Q-commerce sector. Leaders Blinkit and Instamart now enjoy deeper infrastructure, cost efficiencies, and larger customer bases.
Let’s examine what lies ahead:
| Trend | Implication |
|---|---|
| Consolidation | Market likely to narrow down to 3–4 dominant players soon |
| Profit Pullback | Sustainability will matter more than pure speed or discounts. |
| Differentiation | Strategies like private labels, subscriptions, and green delivery may define success |
