Quick commerce unicorn Zepto has initiated a large-scale automation and restructuring drive, leading to the exit of over 500 employees both on-roll and off-roll over the past six months. The move is part of the company’s effort to improve cost efficiency and streamline operations as it prepares for the next phase of growth.
The restructuring comes at a time when Zepto is doubling down on process automation to strengthen its financial and operational backbone. Fresh off a $450 million funding round led by the California Public Employees’ Retirement System (CalPERS), valuing the company at $7 billion, Zepto is now focused on scaling sustainably in India’s fast-growing quick commerce market.
Founded in 2021 by Aadit Palicha and Kaivalya Vohra, both Stanford dropouts, Zepto started with a bold mission to redefine urban convenience with ultra-fast grocery delivery. What began as a 10-minute delivery experiment soon became one of India’s fastest-growing consumer-tech stories.
The company is now building in-house software to automate key functions such as invoice processing, inventory replenishment, and real estate management. While most job cuts affected contractual roles, some on-roll employees in operations, customer support, and expansion teams were also impacted.
The restructuring follows challenges in Zepto’s food delivery vertical, Zepto Café, which recently shut down about 45–50 outlets due to supply chain and staffing issues. The segment’s order volumes have dropped temporarily, signaling a pause in its aggressive expansion plans.
Despite the short-term slowdown, Zepto’s leadership remains upbeat. Cofounder Aadit Palicha recently mentioned that the company holds nearly $900 million in net cash reserves, giving it the financial strength to continue investing in technology and innovation.
As competition heats up with Blinkit, Swiggy Instamart, and Flipkart Minutes, Zepto’s automation-first approach reflects its intent to build a leaner, smarter, and more resilient business model balancing high-speed growth with operational discipline.
