Zepto to launch a separate app for Zepto Cafe as popularity boosts

Quick commerce unicorn Zepto plans to launch a separate app for Zepto Café next week, according to the company's Co-Founder and CEO Palicha.

"Café is scaling rapidly: we're launching 100+ Cafés a month and already clocking 30K orders/day," stated Co-Founder and CEO Aadit Palicha in a post on X.

While there is a separate tab for Cafe and Super Saver in the Zepto app now, but consumers are still able to place a combined order between cafe items and groceries. There is no clarity on whether this will be possible with the new app.

Zepto's plans to launch a separate app for Cafe hint at a broader difference of opinion in the sector. The remaining two bigger players are battling on the merits of Swiggy's super app strategy against Zomato's super brands' strategy.

Just last month, Zepto announced the rollout of its cafe services in major cities like Mumbai, Delhi, Bengaluru and soon in Hyderabad, Chennai, and Pune.

Its Cafe, which offers over 148 items, including freshly brewed chai, coffee, all-day breakfast, pastries, and savoury snacks, currently targets a revenue run-rate of Rs 1000 crore by 2026.

The company said in November that it is achieving an (estimated) Annual Run Rate (ARR) GMV of Rs 160 crore with just 15% of its expanding dark store network, which has proven unit economics.

Swiggy's Bolt, a 10-minute food delivery service, already accounts for 5% of its total food delivery orders, within just two months of its launch. The 10-minute food delivery segment has seen heightened interest with Swiggy's Bolt and Accel-backed Swish prompting other players like Zomato to offer something similar.

Last month, Zepto said it crossed Rs 1,000 crore in annualized advertising revenue, amounting to Rs 83 crore per month

Just a day ago, the company's Chief Human Resources Officer Martin Dinesh Gomez left the role amid 'toxic work culture' at the startup.