9:30 PM IST – Zepto has rolled out its own in-app UPI payment system. It allows users to complete UPI payments inside the Zepto app without switching to Google Pay, PhonePe, or Paytm. The feature did not come with a big announcement, but it has been live for select users for months and became public through media reports in early January 2026.
What exactly happened — and when
Reports on January 6–7, 2026, revealed that Zepto users can now link their bank accounts within the app and approve UPI payments directly during checkout. This means no app redirection, no switching screens, and fewer steps at the payment stage.
This is not a new payment method. Zepto already accepted UPI earlier. What is new is who controls the payment flow. Now, Zepto controls the entire payment journey.
As per industry reporting and moneycontrol, the rollout was gradual and silent, likely to test payment success rates and system stability before expanding it to all users.
Why Zepto is doing this
Quick commerce works on speed and volume. Even a small delay at checkout can lead to order cancellation. External UPI apps sometimes fail due to app switching, slow callbacks, or timeouts. By moving UPI inside the app, Zepto reduces these risks.
More importantly, in-app UPI gives Zepto better visibility on:
- Payment success and failure data
- Time taken to complete payment
- User behaviour during checkout
This data helps improve conversion and reduce losses in a low-margin business.
Zepto is not alone — others did this earlier
Zepto is following a path already taken by major Indian platforms.
- Zomato launched its own in-app UPI in May 2023 with ICICI Bank, allowing users to create a UPI ID inside the app.
- Swiggy introduced Swiggy UPI in mid-2024 to reduce checkout steps and speed up payments.
- Flipkart integrated in-app UPI to improve payment reliability at scale.
- CRED built its UPI system mainly to offer better cashback, rewards, and daily engagement.
According to payments experts, keeping UPI inside the app improves both speed and control, especially for high-frequency platforms.
Comparison snapshot
| Platform | In-app UPI launch | Main reason |
|---|---|---|
| Zomato | May 2023 | Faster checkout, control |
| Swiggy | Mid-2024 | Reduce payment failures |
| Zepto | Jan 2026 (reported) | Speed + payment data |
| CRED | 2022–23 | Cashback & user engagement |
One clear fact
UPI transactions in India crossed 100 billion transactions in a single year, making it the country’s most used digital payment system. Owning the UPI flow means owning a part of India’s daily spending habits.
The real insight
This move is neutral on the surface but important underneath. Zepto is not becoming a fintech company overnight. It is simply removing friction where it hurts the most — payment time. Once payments sit inside the app, future features like UPI-only offers, loyalty cashback, or faster refunds become easier to build.
According to platform watchers, this is less about competing with banks and more about protecting order success in a speed-driven business.
For users, the change feels small.
For Zepto, it quietly strengthens the backbone of its business.
