Key Takeaways
- Zepto eliminates all handling fees and surge charges
- Free delivery threshold reduced to just Rs 99
- Move follows recent $450 million funding round
- Direct challenge to competitors Blinkit and Instamart
Quick commerce platform Zepto has removed all handling fees and surge charges while significantly lowering its minimum order value for free delivery. This strategic shift comes weeks after the company secured $450 million in fresh funding.
Under its newly launched ‘All new Zepto experience,’ the platform now offers zero handling fees, zero rain and surge charges, and zero delivery fees for all orders above Rs 99. The company has been promoting this change through WhatsApp messages to customers.
Previously, Zepto charged a handling fee that covered “handling of products in your orders at our stores.”
Intensifying Price War in Quick Commerce
This move establishes Zepto as the lowest-cost quick commerce platform, putting direct pressure on competitors who continue to charge various service fees.
Blinkit currently charges Rs 11 handling fee and Rs 30 delivery fee on orders below Rs 199. Instamart applies Rs 9.8 handling fee and Rs 30 delivery fee for orders below Rs 199. Both platforms also impose additional rain and surge fees.
The market shift was expected following Zepto’s recent funding round. Industry experts had predicted the injection would escalate competition and intensify discounting across the sector.
Zepto’s policy reversal marks a significant change from earlier this year. In June, quick commerce platforms had collectively introduced various fees—including platform, handling, convenience, and small-cart charges—to improve their unit economics.
These fees typically ranged between Rs 6 and Rs 30 per order as companies sought to increase earnings from each transaction.
