Quick commerce startup Zepto is relocating its headquarters from Mumbai to Bengaluru. The decision, aimed at consolidating operations and optimising costs, is expected to be completed by early December, sources said.
Zepto, which has seen rapid growth in both scale and revenue since its inception three years ago, plans to bring its entire workforce of approximately 1,700-1,800 employees under one roof in Bengaluru. At present, the company houses its business verticals in Mumbai and tech and product teams in Bengaluru. In Mumbai, Zepto currently occupies an 80,000-90,000 square feet property, while in Bengaluru the company has a 30,000-40,000 square feet space. The company plans to give up both these buildings and move into the larger 150,000 square-feet property in the tech corridors of Sarjapur, HSR, or Bellandur. This Zepto campus will house both business, tech and product teams.
A Zepto spokesperson confirmed the development.
The move is expected to generate cost savings of around Rs 40-50 lakh in monthly rent expenses due to the differential between Mumbai and Bengaluru rental rates.
The company has offered a relocation package for willing employees, which includes expenses, that is projected to cost Zepto around Rs 3-4 crore as a one-time expense. However, the company views this as a strategic investment in its future growth and talent acquisition plans. This includes a plan to add around 500 new hires focused in Bengaluru, bringing its total workforce strength to around 2,200-2,300.
“Of the total 1,000 employees in Mumbai, around 90% are willing to move and the remaining are in discussions to relocate. If all goes to plan, just 5-7% of the 1,000 will be unable to move to Bengaluru,” sources said.