Zepto rolls out in-app UPI as delivery platforms internalise payments

Zepto

• Zepto launches in-app UPI payments, letting users pay without external apps
• Move aligns Zepto with Swiggy and Zomato, who offer similar in-app UPI features
• In-app UPI speeds up checkout and reduces payment failures for delivery apps.

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Quick commerce firm Zepto has rolled out an in-app UPI payments feature, Moneycontrol has learnt, as large delivery platforms increasingly bring payments inside their apps to streamline checkout and reduce dependence on third-party UPI providers.

The feature allows users to complete UPI transactions within the Zepto app without being redirected to external payment apps such as Google Pay or PhonePe.

Zepto has not made a formal public announcement around the launch and did not respond to queries on the structure of the offering at the time of publishing.

The move places Zepto alongside food delivery rivals that have recently built their own in-app UPI flows, signalling a broader shift in how leading consumer internet platforms are approaching payments.

Swiggy and Zomato build in-app UPI rails

Zepto's rollout follows similar initiatives by Swiggy and Zomato, both of which have launched in-app UPI solutions over the past year.

Swiggy recently introduced Swiggy UPI using NPCI’s UPI plug-in framework, enabling users to complete payments entirely within the app after a one-time setup. The company has said the feature reduces checkout time and lowers payment failures by removing the need to switch between apps during transactions.

Zomato, meanwhile, rolled out its own UPI service in partnership with ICICI Bank, allowing users to create a Zomato-linked UPI ID and make real-time payments directly within the app. Zomato’s approach is closer to issuing a full UPI handle via a banking partner, compared with Swiggy’s plug-in-led integration.

Why are payments moving in-house?

Industry executives say payments have emerged as a critical control point for delivery platforms operating at scale. Even marginal improvements in checkout speed or transaction success rates can materially improve order completion, particularly during peak demand periods.

Internalising UPI payments also gives platforms greater visibility into transaction flows and reduces reliance on external apps they do not control — an important consideration in high-frequency businesses such as food delivery and quick commerce.

For Zepto, which has been rapidly expanding its dark store network and order volumes, tightening the payments experience aligns with its broader push on speed and reliability.

The rollout underlines how payments — once a background utility — are increasingly becoming a strategic layer for India’s largest delivery platforms as competition across food delivery and quick commerce intensifies.