Why Zepto-Flipkart Deal Failed? 😮😮 #startup #entrepreneur #business

Flipkart was planning to acquire Zepto, but the deal has now fallen through. And here’s what you need to know about this.

Flipkart wanted to acquire Zepto to stay relevant in the E-commerce business. You see, the quick commerce is slowly taking over the e-commerce in India. In 2023, while the entire e-commerce market grew by only 15%, the quick commerce market grew by 77%.

And according to experts, as these quick commerce companies add more categories like Electronics and Cosmetics, it will further eat into e-commerce market share. This is what Flipkart is worried about and that is why they approached Zepto to acquire it.

However, the problem was, that Flipkart wanted a majority stake in Zepto, which its founders refused.

They didn’t want to give up control over their own company and have big plans with it.

They want to make Zepto the next D-mart of India and do an IPO sometime in 2026.

[agamer]

Sahi hai bhai people were trolling this zepto founders after watching some *Smarty* youtubers but still not gonna lie Zepto ki service sahi hai.

[barryobrien]

Flipkart is so much bigger than zepto that 15% growth is huge. Zepto cannot sell washing machines and tv off the back of a 2 wheeler. They don't have an e-commerce play so will have to invest in this and compete with Amazon, Flipkart and soon reliance. They will likely struggle

[spoofmy]

Common sense says quick commerce doesn't work in India.

1.Quick commerce by very character is small ticket size. No one expects a month groceries to get delivered in 15 mins.

2. Amazon pays 16rs per delivery to delivery partner. I Beleive that is the least price, as they are operating at a bigger scale. So to get profits within the margins of products it is very very difficult for quick commerce platforms.

4. You can't increase average ticket size beyond a point. Period.

Delivering Iphones in quick commerce is a MARKETING GIMMIK.

Who buys Iphones that impulsively..!! 😂😂

[xyuv]

Flipkart is already understanding this threat, and they have started same day delivery for a lot of products in NCR. I know a lot of people have bad experience with Flipkart but their service in really good in Noida.

[amnsbharath]

In 2years max, zepto will go bankrupt and dissappear.

[Rohitkumar-vgxi]

Most of the times this rejection might be nightmare. But in this case it might be a good Decision.If government also bring something which helps indian startup to beat/compete Amazon/Flipkart

[S_A_P_]

Flipkart is a big player and has alot of money to burn, if flipkart is really worried about quick commerce taking over e commerce market share, this refusal will only result in flipkart putting more efforts in quick commerce. They just tried their luck with acquiring an existing player.

[shoukathali-il]

Bad decision. Quick commerce is very competative and will reach saturation at some point. Adding electronic to quick commerce 😂 nice joke zepto😅

[mayankagrawal]

People need to be patient.. The cost difference between ecommerce and quick commerce is a lot

[atmakurinikhilesh]

Simple
Flipkart can not make replica of zepto fastly
But zepto can make replica of Flipkart very easily

[Justshorts-jc]

Zepto doesn't even have 20 percent market share and they want to become the next Dmart of India😂😂😂

[revanthkrishna]

They should have sold it. The service on zepto is terrible. I have always received faulty products.

[supriyochakraborty]

They are out of business, their model was not quite profitable and they kept burning
They tried to cover that up, but it was found eventually and the deal was scrapped of

[googlesai]

Bro... Flipkart is not giving pay later option 😢😢

[akashchetri]

Quick commerce can't easily breach into tier 3 cities and rural areas where E-commerce giants have asserted their dominance, this is one of the many drawbacks they face

[Keshavrathi]

Quick commerce is in a very early stage compared to overall e-commerce therefore there is such a huge growth percentage in few years it will saturate

[inforfact]

Not India but metro cities only to be precise

[nbaua]

Zepto is soon to sink like blinkit..dunzo etc... Flipkart is still going to remain stronger in the market

[IbrahimPirjadeComB]

Zepto is not eating e commerce buisness but the business of small retail stores

[girishpai]

Why didn't they become an Associate first then the parent