IPO-bound Zepto leans on ads to offset lower commissions, keep prices low
BENGALURU, June 9 -- IPO-bound Zepto is increasingly relying on advertising revenue from consumer brands on its platform to offset lower merchant commissions and keep product prices competitive, in a sign retail media could emerge as a key growth lever in the cash-intensive quick-commerce business.
Zepto's advertising revenue rose to Rs.1,636 crore in FY26, up 151% from FY25. By comparison, revenue from operations grew 104% during the same period to Rs.22,624 crore, while order volume increased 93% to 640 million. Advertising accounted for more than 7% of Zepto's operating revenue in FY26, up from about 6% a year earlier, Mint's analysis of Zepto's updated draft IPO filings showed.
Since the beginning of FY26, Zepto has kept gross profi...
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