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Zepto pays ₹95 crore in April salaries, rivals Swiggy on employee costs
Quick commerce platform Zepto disbursed ₹95 crore in salaries to its 3,000-strong workforce in April, according to a report by Moneycontrol. This figure, though lower than the ₹115-120 crore reported in March and ₹105-110 crore in January and February, reflects the company's growing fixed costs.
The increase in employee expenses highlights Zepto's aggressive hiring and compensation strategy. The report said that the company often offers salaries 2-3 times the industry average to attract top-tier talent. The March salary spike was partly attributed to the company's relocation of employees from Mumbai to Bengaluru and the associated expenses of moving into a new office. April's payout suggests a return to baseline levels.
High wage bills draw industry attention
The scale of Zepto's salary bill has drawn comparisons with established competitors. 'Zepto's employee costs of about ₹100 crore is already 80 per cent of what Swiggy pays out, despite the latter being a much larger organisation,' a source said, as quoted by the report.
Facing off against industry majors
Zepto competes with Blinkit and Swiggy Instamart in the grocery and essentials delivery segment. The firm has also entered the food and beverages space through Zepto Cafe, where it competes with Eternal (formerly Zomato) and Swiggy.
Eternal, which rebranded from Zomato and operates a wider array of services including Blinkit, has over 5,000 employees and pays out ₹160-170 crore in monthly wages. 'Zomato has over 5,000 employees and pays around ₹160-170 crore in wages each month but Zepto, which is at a much smaller scale, paid ₹100 crore,' a source said, as quoted by the report.
Cash burn concerns and industry scrutiny
Last year, Zepto was reportedly burning ₹250-300 crore monthly, raising eyebrows among rivals. Eternal's co-founder Deepinder Goyal claimed in March that quick commerce players were collectively burning ₹5,000 crore per quarter, with Zepto allegedly responsible for more than half. Zepto CEO Aadit Palicha dismissed these claims as 'verifiably untrue'.
With Blinkit, Swiggy Instamart, and Zepto locked in fierce competition, companies are increasing compensation packages, ESOPs, and incentives to attract top performers. Talent is also being poached from giants like Flipkart and Amazon as these firms race to expand rapidly. In this high-stakes battle, swelling salary bills have become the new norm.
Firm launches 'Zepto Atom'
Zepto Atom will be accessible via a standalone website and mobile application, and is positioned as a comprehensive tool for businesses seeking to enhance their understanding of customer preferences and improve performance on the platform.
The platform will enable brands to access data such as pin code-wise market share, allowing for hyperlocal insights into how products are performing in specific areas.
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