Fashion-Tech Startup Zilo Raises $4.5 Million in Seed Funding

June 27, 2025

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Why in the news?

Fashion tech startup Zilo has raised $4.5 million in a seed funding round co-led by Info Edge Ventures and Chiratae Ventures.

Zilo, founded by Padmakumar Pal (ex-VP Flipkart & Myntra) and Bhavik Jhaver (ex-Head of Product at Myntra), is a platform that aims to deliver fashion to your house in under 60 minutes. Zilo beta is live in Mumbai.

Zilo’s vision is clear: It aims to build a hybrid shopping experience by focusing on factors such as speed, quality, and curation.

How does Zilo work?

Let’s say Rekha wants a new pair of jeans. She opens the Zilo app, which offers over 250+ brands, including well-known names like Levi’s, Puma, and Reebok, alongside new-age disruptors like Snitch, The Souled Store, and Rare Rabbit.

Rekha selects a pair of trending blue denim jeans, but she’s unsure about sizing.

With Zilo, she doesn’t have to guess. She orders multiple sizes, and within the hour, a Zilo-style runner arrives at her doorstep.

The runner waits patiently as she tries them on. She either keeps the size that fits and returns the rest or returns everything she ordered: no fuss, no delay. The process is designed around flexibility and customer comfort.

Zilo also integrates smart tools like Ask ZILO, an AI-based styling assistant for quick outfit suggestions, and a Style Planner that helps users put together looks for specific events. With Scheduled Home Trials, shoppers can try items at home and instantly return what they don’t want—making shopping both convenient and personal.

Fashion Tech and E-commerce: A growing market

The online retail market, valued at $147 billion in 2024, is expected to reach $125–$163 billion by 2025, growing at a strong 10–18.7% CAGR. This is strongly dominated by players like Zepto and InstaMart, which provide groceries and essentials; fashion has remained untapped till now.

Globally, the fashion tech market was valued at $239.6 billion in 2024 and is projected to grow to $345.4 billion by 2030, expanding at a CAGR of 6.3% between 2025 and 2030.

Startups like Zilo are leveraging AI and machine learning for personalised recommendations, predictive trend analysis, and dynamic inventory management to reduce waste and avoid overstocking.

Let us take a moment back and see how apps like Slikk and Zilo make their mark in a growing industry.

[Credits for header image: Inc42
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