Domestic
quick commerce
startup
Zepto
has announced that it is rolling out its paid subscription service,
Zepto Pass
, to all users. The company says that, apart from offering discounts and benefits, the new service also aims to drive greater adoption of quick commerce in India's rapidly growing on-demand delivery sector.
The company started testing Zepto Pass with select users earlier this month.
This service is now available for all users across the country. Zepto now becomes the second quick-commerce company to offer subscription benefits after
Swiggy Instamart
.
In 2021, former Stanford students Aadit Palicha and Kaivalya Vohra founded Zepto that promises
10-minute grocery delivery
from its national network of micro-warehouses or “dark stores.” The platform competes with Swiggy's Instamart,
BigBasket
's BBNow,
Zomato
's Blinkit and Dunzo in India's fast-growing quick commerce space.
What is Zepto Pass, subscription price and offers
The company claims that the Zepto Pass membership program offers benefits like free deliveries and discounts. As per the company, the subscription service will not only enhance the shopping experience but will also provide value to regular customers.
The membership is priced at Rs 299 per month. As an introductory offer, the company is also offering the service for a month at prices as low as Rs 39 to some customers.
With this subscription, customers can avail of free deliveries on orders above Rs 99. Customers can also get an extra discount of 20% on orders above Rs 799. Moreover, the subscription service also offers an extra 10% discount on purchase of fruits and vegetables from the platform.
In a statement to the Economic Times, vice president of strategy and head of Zepto Pass, Devendra Meel, said: “Over the discount threshold, we are offering prices comparable to discounted offline grocers like DMart… the threshold is determined by a number of user behaviour metrics that will make it tailor-made for individual users.”
What Zepto has to sayDuring its pilot phase, Zepto Pass subscribers have increased their monthly spending on the app by over 30%, the company claimed.
“We've seen rapid adoption of Zepto Pass, validating this as a model to sustainably deliver value to customers. We expect the growth through Pass to be cheaper than through pure marketing spend… eventually Pass will be bringing in a large chunk of the overall business,” Meel added.
Zepto also expects to get one million Pass subscribers in the first month from launch. This will help the company to cement its position as one of the major players in the quick commerce space. Currently, the platform has about 5 million registered users.
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