This is a big number😱

Giving free deliveries

Higher the GMV, Higher the losses 😛 (poor unit economics business)

It takes ₹80 per delivery. Grocery, specifically packed goods, is a high volume, low margin business. Quick commerce grocery doesn't allow high AOV, by it's nature.

Zepto is struggling to expand beyond the top IT cities and Mumbai and that too is mostly contained to areas with young professionals.

Their stores are already cashflow positive, they are only burning due to corporate overheads. If you look at details by GS, they are only at single digit EBITDA loss and expect to breakeven next quarter. You are too hard on this company, how many commerce companies achieve this scale and breakeven in sight in less than 3 years. Flipkart is still losing billions after decades. You just love to bash companies & startups for silly reasons. We need to be happy that an Indian startup has achieved profitability in record time instead of bashing!

Flawed. The biggest piece which determines unit economics here is AOV (assuming all other costs are not directly passed pop n to the customer). If gmv goes up coz of AOV going up - best case scenario! (Not saying that's what's happening at Zepto)

Under which heads are they counting discounts and delivery charges though? Corporate overheads?