Peak XV leads $15.3m series A in Indian fashion tech startup Zilo

Fashion quick-commerce platform ZILO has raised US$15.3 million in a series A funding round led by Peak XV Partners, with existing investors and angel backers participating.

The funding will support geographic expansion, platform development, and building a fast, vertically integrated supply chain.

The Mumbai-based startup, co-founded by former Flipkart and Myntra executives, aims to expand its operations, enhance technology, and grow into new markets.

ZILO offers on-demand fashion from over 200 brands, delivering within 60 minutes, and features like home trials and instant returns.

The company recently partnered with stylist Anaita Shroff Adajania as style director to improve curated fashion experiences.

ZILO plans to strengthen its presence in Mumbai and add new cities over the next 12-14 months, focusing on delivering a broad selection of fashion brands with quick delivery and personalized service.

🔗 Source: Zilo

🧠 Food for thought

Implications, context, and why it matters.

ZILO’s funding targets a fashion segment that is still 83% offline

The new funding backs India’s mass premium fashion market, where the average order value is around INR 1,000 and 83% of purchases still happen in physical stores 1.
ZILO’s plan to build a “vertically integrated supply chain” means a faster supply chain as it scales. The company has described a hybrid fulfilment model that mixes dark stores (small warehouses set up for fast delivery, not open to walk-in shoppers) with partner brand outlets 2.
ZILO gained early momentum by opening a second Mumbai dark store within three months. It also moved beyond apparel into accessories, footwear, bags, watches, and jewellery 2.

Quick commerce is expanding beyond groceries into higher-AOV categories

ZILO’s model works in part because grocery platforms have trained millions of urban consumers to expect instant delivery. ZILO has also said it is designed for the “quick-commerce era” 3.
The approach may raise the bar for fashion e-commerce, since ZILO offers home trials and instant returns alongside standard delivery and refund cycles 4.
The funding adds to a wider push toward higher average order value categories. Blinkit’s partnership to sell the iPhone 16 series on its platform offers one example 5.