Cost to Develop a 10-minute Grocery Delivery App Like Zepto

Kathlyn Ocean
4 min readNov 28, 2024

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The grocery delivery industry is booming, with apps like Zepto leading the way by offering ultra-fast delivery in just 10 minutes. In today’s fast-paced world, convenience is king, and Zepto’s success proves that speed can be a game-changer.

For businesses and entrepreneurs, this presents a golden opportunity to tap into the growing demand for instant delivery services. But creating a Zepto-like app isn’t just about replicating its speed — it’s about understanding the technology, logistics, and customer-centric approach that power it.

So, how much does it cost to build a grocery delivery app like Zepto? What features make such apps successful? In this guide, I’ll break down Zepto’s business model, its key features, and the required budget to develop a similar app.

What is Zepto?

Zepto is a hyperlocal grocery delivery app that promises ultra-fast delivery — within 10 minutes. Launched in 2021, the platform gained massive popularity for its speed and convenience. It connects customers to nearby micro-warehouses (also known as dark stores) to deliver essentials faster than traditional delivery services.

Zepto’s success lies in its simplicity: customers place an order through the app, and it arrives at their doorstep almost instantly. This convenience has made Zepto a leading player in the grocery delivery business, attracting millions of users and significant investor attention.

How Does Zepto Deliver So Fast?

The secret behind Zepto’s 10-minute delivery lies in its dark store model and optimized logistics. Here’s how it works:

Dark Stores
Zepto sets up micro-warehouses, also known as dark stores, in high-demand areas. These are not open to the public and are designed solely for fulfilling online orders.

AI-Driven Inventory Management
These warehouses stock high-demand items based on local customer preferences, ensuring quick picking and packing.

Optimized Delivery Routes
Zepto uses advanced algorithms to map the shortest delivery routes, minimizing time spent on the road.

Rider Density
The company ensures that a sufficient number of delivery personnel are available within each service zone.

Understanding the Zepto Business Model

Zepto operates on a hyperlocal delivery model, combining speed and convenience. Here’s a breakdown:

Revenue Streams

  • Delivery Charges: Customers may pay a small delivery fee, especially on smaller orders.
  • Commissions: Zepto earns a percentage of the order value from partnered stores or brands.
  • In-App Advertising: Businesses can promote their products within the app for visibility.

Customer Retention

  • Subscription Plans: Offering benefits like free delivery or priority service.
  • Discounts and Offers: Regular promotions to attract and retain users.

Cost Management

  • Dark Store Optimization: Maintaining low inventory wastage and high turnover.
  • Partnerships: Collaborating with local suppliers to reduce procurement costs.

How Much Does It Cost to Build an App Like Zepto?

Building a grocery delivery app like Zepto requires thoughtful planning and a solid budget. To replicate Zepto’s speed and efficiency, your app will need a combination of core functionalities and advanced tech solutions.

At its core, the app must let users:

  • Quickly search for products and place orders.
  • Track their delivery in real time.
  • Pay easily through multiple options like cards or UPI.

On the backend, the app should:

  • Manage inventory in nearby warehouses (called dark stores).
  • Use GPS to find the fastest delivery routes.
  • Help delivery agents complete orders quickly.

Factors affecting development cost:

  • Complexity: A basic app with simple order and delivery features might cost around $20,000–$40,000. If you add advanced features like AI-powered route optimization or personalized recommendations, expect the budget to go up to $60,000 or even more.
  • Platforms: Building an application for just one platform (iOS or Android) costs less, but launching on both platforms would cost you more.
  • Development Team: Developer rates vary significantly based on location. For instance, developers in the US or Europe charge $100–$200/hour, while those in regions like South Asia charge $20–$50/hour.

To reduce costs, start with a Minimum Viable Product (MVP), focusing on core features. Once the app gains traction, you can gradually introduce advanced functionalities like loyalty programs or AI-driven recommendations.

Conclusion

Developing a 10-minute grocery delivery app like Zepto requires significant planning, investment, and the right technology. Zepto’s success proves that speed and convenience can win over customers in today’s fast-paced world. If you’re looking to build a similar app, focus on creating a seamless user experience, leveraging hyperlocal logistics, and investing in a strong tech team. By aligning your business goals with customer needs, you can launch a competitive app that captures the market’s attention and drives growth.

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Kathlyn Ocean
Kathlyn Ocean

Written by Kathlyn Ocean

Hi, I am Kathlyn, a digital marketer at PeppyOcean, which is a leading on demand app development company. https://www.peppyocean.com/

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