Zepto Removes Handling and Surge Fees to Strengthen Market Position After $450 Million Funding Boost

Quick commerce start-up Zepto has eliminated handling and surge fees across all customer orders, weeks after securing $450 million in fresh funding.

The move, combined with a lower minimum order value for free delivery, strengthens Zepto’s market position as the most competitively priced platform in India’s fast-growing quick commerce space.

Zepto Launches ‘All-New Zepto Experience’

Under its new initiative, titled ‘All-New Zepto Experience’, the platform now offers zero handling fees, zero surge or rain charges, and free delivery on orders above ₹99. Previously, Zepto applied a handling charge for product management and additional fees during adverse weather or peak demand hours.

The company clarified that, despite the fee removal, it will continue providing incentives to delivery partners, ensuring rider earnings are not affected.

Competitive Moves in the Quick Commerce Sector

Zepto’s move comes amid intensifying competition in India’s quick commerce industry, dominated by rivals like Blinkit and Swiggy Instamart.

• Blinkit continues to charge ₹11 per order as a handling fee and ₹30 for delivery on orders below ₹199.
• Instamart has waived handling fees for orders above ₹299 but still charges a ₹30 delivery fee for smaller orders.

Zepto’s latest $450 million funding round, finalised in October, consisted of a mix of primary and secondary investments, raising the company’s cash reserves to approximately $900 million.

Focus on Customer Experience and Value

In recent months, several quick commerce platforms have introduced multiple service fees, such as platform, convenience, or small-cart charges, to strengthen profitability.

These typically ranged between ₹6 and ₹30 per order. Zepto’s latest step reverses that trend, enhancing affordability and customer trust amid rising competition and user scrutiny.

Read More: Zepto To Lay Off Up To 300 Employees As Part Of Cost Optimisation Initiative.

Conclusion

By removing handling, surge, and rain fees while reducing the free delivery threshold, Zepto is doubling down on its value driven growth strategy. Backed by a strong funding base and operational focus, the company aims to consolidate its position in India’s fast-evolving quick commerce market.

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