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<ul><li>According to reports, the deal is in its final stages of negotiations. </li><li>The deal would give Swiggy a bigger hand to take on rival Zomato. </li><li>Swiggy had earlier announced that it is going to start grocery and medicine delivery too. </li></ul>Swiggy had a great 2018, grabbing the unicorn status. And now Swiggy wants a bigger share of the plate as it is in talks with Uber to take over the operations of <keyword id="4704786" type="PERSON" weightage="20" keywordseo="UberEATS-India">Ubereats India</keyword>. According to a report on the <a href="https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/uber-eats-india-likely-to-end-up-on-swiggys-plate/articleshow/68105369.cms">Economic Times</a>, the deal is in its final stages of negotiation and is expected to close by next month. The report further mentions that the deal could be a share swap, where Swiggy in exchange for taking over Ubereats will give the ride hailing company Uber a 10% stake. Earlier <a href="https://www.businesstoday.in/current/corporate/ubereats-on-sale-swiggy-zomato-competing-acquire-food-delivery-app-report/story/321164.html">reports</a> also suggested that Zomato and Swiggy both were looking at acquiring Ubereats India operations. Both the companies together hold 80% of the online food delivery space in India. With Swiggy reportedly leading the race for acquisition now, the deal would give the company a better stand to take on rival Zomato. Ubereats launched in India in 2016 and has grown considerably over time. Jason Droege, global head of Ubereats told <a href="https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/india-fastest-growing-market-for-ubereats/articleshow/66384076.cms">ET </a>that its India wing has grown seven fold in order volume in the past six months in India, while adding over 4,500 delivery partners each week. Swiggy became one of India’s fastest unicorn in June last year, getting the prime status in just four years of operations. In December 2018, the food delivery startup further raked up a whopping <a href="https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/with-1-b-new-money-and-3-3-b-valuation-swiggy-turns-swaggy/articleshow/67186809.cms">$1 billion</a> in funding, taking up its valuation to $3.3 billion. “With this funding, we will further invest in building differentiated offerings, plugging the white spaces in the ecosystem, and developing our technology while keeping superlative customer experience at the core," said Sriharsha Majety, CEO, Swiggy had then <a href="https://www.entrepreneur.com/article/308736">said</a>. The startup is also expanding its <a href="https://www.businesstoday.in/current/corporate/not-only-food-swiggy-will-also-delivery-groceries-medicines-vegetables-at-your-doorstep/story/318547.html">offering</a>, as it announced earlier in February, that it will soon start delivery of groceries, medicines and more. It has also been on an acquisition spree – it <a href="https://www.livemint.com/Companies/AOxcPY6Gu57vSsOLz5whiM/Swiggy-acquires-ondemand-delivery-platform-Scootsy.html">acquired</a> on demand delivery platform Scootsy to leverage the Scootsy’s existent network of restaurants and grow its consumer base. It had also acqui-hired the gourmet Asian food startup 48east. On the technology side, Swiggy had also taken over Bengaluru-based AI startup Kint.io. “This acqui-hire is part of Swiggy's strategy to scale our tech prowess by bringing in entrepreneurial teams that can solve unique customer problems,” said Dale Vaz, Head of Engineering and Data Sciences, Swiggy had told <a href="https://tech.economictimes.indiatimes.com/news/startups/swiggy-acquires-bengaluru-based-ai-startup-kint-io/67829829">ETtech</a>. See Also: <a href="https://www.businessinsider.in/swiggy-and-zomato-are-being-targeted-for-misusing-dominant-position-in-a-petition-filed-with-indias-competition-watchdog/articleshow/67376953.cms">Swiggy and Zomato are being targeted for ‘misusing dominant position’ in a petition filed with India’s competition watchdog</a> <a href="https://www.businessinsider.in/indian-food-delivery-startup-swiggy-raises-1-billion-in-nasper-led-funding-round/articleshow/67187165.cms">Indian food delivery startup Swiggy raises $1 billion in Nasper-led funding round</a> <a href="https://www.businessinsider.in/for-indian-startups-2018-has-been-a-year-of-bouncing-back-as-venture-capital-funding-doubles/articleshow/67286540.cms">For Indian startups, 2018 has been a year of bouncing back as venture capital funding doubles</a>

Swiggy wants more on its plate, in talks to acquire Ubereats India

<ul><li><keyword id="1042120" type="PERSON" weightage="20" keywordseo="Uber">Uber</keyword> invested $247 million into its India business, according to data intelligence platform paper.vc. </li><li>In October, Uber CEO <keyword id="1550747" type="PERSON" weightage="20" keywordseo="Dara-Khosrowshahi">Dara Khosrowshahi</keyword> visited India and launched the public transport feature in Delhi. </li><li>The money is reportedly set to boost the <keyword id="2960214" type="PERSON" weightage="20" keywordseo="ubereats">UberEats</keyword> business.</li></ul>Ride hailing giant Uber invested $247 million into its India business, according to data intelligence platform paper.vc. The investment which was approved on October 29, around the time Uber CEO Dara Khosrowshahi visited India. Uber recently moved its Indian ride sharing and UberEats business to an Indian entity – <keyword id="2502101" type="PERSON" weightage="20" keywordseo="Uber-India">Uber India</keyword> System Pvt Ltd. The investment came from the parent company’s Netherlands entity. "This is the single largest foreign direct investment by Uber into its Indian operations and follows the transfer of its India business from a Dutch entity to an Indian entity. We estimate that a large part of this allocation would go to Eats business, therefore posing a direct challenge to other food delivery companies such as Swiggy and Zomato,” said Vivek Durai, co-founder, paper.vc. Uber CEO Dara Khosrowshahi visited India in October to launch its public transport feature in Delhi. With this, India's national capital became the ninth city in the world and the first in Asia, to <a href="https://www.businessinsider.in/business/news/uber-ceo-dara-khosrowshahi-launches-its-public-transport-feature-in-delhi-its-first-for-asia/articleshow/71700978.cms">get the feature</a>. Khosrowshahi launched the feature in partnership with the Delhi Metro Rail Corporation. The feature allows users to check schedules for the Delhi Metro, based on pricing as well as timing. See Also: <a href="https://www.businessinsider.in/business/news/uber-ceo-dara-khosrowshahi-launches-its-public-transport-feature-in-delhi-its-first-for-asia/articleshow/71700978.cms">Uber CEO Dara Khosrowshahi launches its public transport feature in Delhi, its first for Asia</a>

Uber invests $247 million into its India business, after CEO Dara Khosrowshahi’s visit

<ul><li><keyword id="830092" type="COMPANY" weightage="20" keywordseo="Zomato">Zomato</keyword> will soon launch an online marketplace to help its restaurants procure eco-friendly packaging easily.</li><li><keyword id="6358977" type="UNKNOWN" weightage="20" keywordseo="swiggy">Swiggy</keyword> runs an initiative called Swiggy Packaging Assist with paper and glass as alternative options. </li><li>Prime Minister Narendra Modi has set the aim for 2022 to eradicate the use of single-use plastics.</li></ul>A restaurant owner in Delhi’s Rohini area has signed out of a food aggregator platform and asked a customer to come to the outlet with a tiffin box to collect food. What might sound like a funny incident, was actually a noble thought – the hotelier didn’t want to use plastic for <keyword id="6376068" type="UNKNOWN" weightage="20" keywordseo="food-delivery">food delivery</keyword>. While the Indian government might not have gone ahead with the <keyword id="6570438" type="UNKNOWN" weightage="20" keywordseo="single-use-plastic">single use plastic</keyword> ban, Prime Minister Narendra Modi aims to eradicate the use of single-use plastics by 2022. And, it seems to have turned people wee bit conscious. If you order food online from Zomato, Swiggy, <keyword id="2960214" type="PERSON" weightage="20" keywordseo="ubereats">UberEats</keyword> or others, you would know about the plastic wrapping that comes along with the food – from the signature tape to plastic boxes. But aggregators are aware of the rising use of plastics by restaurant partners. Now, they are beginning to take up an active role. A marketplace for alternative packaging Two years back, Zomato was one of the first to come with an option called ‘don’t send cutlery’. The foodtech unicorn is also working with research-based start-ups and firms to introduce high quality, eco-friendly packaging. “For a wider use-case, we will soon be launching an online marketplace (akin to an e-commerce portal), employing our network of suppliers for restaurants to easily procure eco-friendly packaging. Packaging offered which will include a segment of 100% naturally biodegradable units, largely consisting of sugarcane bagasse, bamboo, palm leaf and paper solutions,” said a Zomato spokesperson. Taking charge Meanwhile, Swiggy has been running a marketplace called Swiggy Packaging Assist for over a year now. “Packaging Assist enables restaurant partners to get access to a variety of packing solutions including (but not limited to) eco-friendly packaging options made of materials such as paper and glass. Hundreds of our restaurant partners across cities have slowly started using greener packaging solutions when possible,” said a Swiggy spokesperson. Swiggy said that it took up Extended Producer Responsibility (EPR) for 100 tonnes of plastic a month, and will grow six times over in the next six months. Zomato and Swiggy’s rival – UberEats educates its restaurant partners about the importance of right packaging. “We firmly believe that food delivery platforms can play a major role to empower restaurants and local businesses with sustainable packaging and encourage implementation of economical, plastic free packaging / eco-friendly options,” said Uber Eats.

Zomato and Swiggy sell eco-friendly packaging to restaurants, to avoid single-use plastics

<ul><li>Indians love to have that ‘extra’ <keyword id="425731" type="UNKNOWN" weightage="20" keywordseo="FREE-FOOD">free food</keyword> with each delivery, according to Eat Cravings Report 2019 released by UberEats. </li><li>Extra Sauce’ topped the charts as the most popular food delivery request, followed by ‘Spicy’ and ‘Extra Onions.’ </li><li>According to a report by RedSeer Consulting, India’s food delivery industry is going to be worth $2.5-3 billion.</li></ul>When ordering food, Indians want a pinch of extra with everything be it extra sauce or extra mayo or even extra cheese. This is what a report by UberEats called Eat Cravings Report 2019 said. The report says that every order came with a special instruction. Topping this list is requests to make it ‘spicy’ along with extra onions. Chicken Biryani re-emerged as the favourite late night craving food in Hyderabad, Chennai and Kolkata. As per a report by <keyword id="6358977" type="UNKNOWN" weightage="20" keywordseo="swiggy">Swiggy</keyword> in May too, chicken biryani was the top favourite. Ludhiana topped the dessert category, as it received highest orders for Gulab Jamun. Meanwhile, Bengalureans who spend hours in traffic don’t want to wait for too long for their food. The city ordered two-minute food, Maggi in large numbers from UberEats. As the world celebrates International Sushi day, Swiggy too released a report which said that Delhites love Japanese dish. But cities like Guwahati, Ludhiana, Chandigarh and Amritsar seem to prefer Sushi dinner. According to a report by RedSeer Consulting, India’s food delivery industry will be worth $2.5-3 billion. <keyword id="830092" type="COMPANY" weightage="20" keywordseo="Zomato">Zomato</keyword> and Swiggy are the leaders in the space with their volumes hitting millions per month. In a report released earlier this month, Swiggy has <a href="https://qz.com/india/1635965/in-2018-swiggy-beat-zomato-olas-foodpanda-uber-eats-by-a-mile/">36% market share</a>, followed by FoodPanda with 32% while Zomato was trailing at 23%. See also: <a href="https://www.businessinsider.in/chennai-super-kings-mumbai-indians-final-swiggy-orders-and-zomato-predictions/articleshow/69290747.cms">From Chicken Biryani to Samosas, here’s what Indians ate while watching the IPL</a>

UberEats is making some 'extra' money while pushing its main menu into Indian homes

Uber, the cab aggregator service from San Francisco, is all set to bring <keyword id="2960214" type="UNKNOWN" weightage="100" keywordseo="ubereats">UberEATS</keyword> in India in the second quarter of the year, and has already started bringing restaurant partners on board. 
 
Also read: <a href="http://www.businessinsider.in/Uber-has-made-India-a-hub-as-it-scouts-for-markets-in-South-Asia/articleshow/55660804.cms">Uber has made India a hub as it scouts for markets in South Asia</a> 
 
On-demand food aggregator industry in India is currently seeing its major companies, including <a href="http://www.businessinsider.in/swiggy-reveals-what-people-are-eating-in-indian-cities/articleshow/56755802.cms">Swiggy </a>and <a href="http://www.businessinsider.in/march-saw-zomato-processing-2-million-online-orders-with-23-mom-growth/articleshow/57942655.cms">Zomato</a>, looking to strengthen their businesses with additional capital. Not only this, Google has also launched its hyperlocal services and food delivery app Areo, operational in Bengaluru and Mumbai, which passes on the leads from customers to partners like Faaso's, Freshmenu, and UrbanClap etc. 
 
UberEATS will have a different team from the one managing Uber cabs at national and city levels. The hiring for city general managers, city-level restaurant operations managers as well as branding and sales heads across Bengaluru, Hyderabad, Pune, Mumbai, Chennai and Gurugram has already begun. 
 
Also read: <a href="http://www.businessinsider.in/ola-founder-says-government-should-decide-if-us-internet-giants-are-capital-dumping-in-india/articleshow/58066428.cms">Ola founder says government should decide if US internet giants are 'capital dumping' in India</a> 
 
Manan Javeri, who joined Uber after leaving McKinsey in 2015, is heading the India launch. 
 
UberEATS began in Los Angeles in 2014 and is currently <a href="http://www.businessinsider.in/Youll-have-to-pass-all-these-tests-to-land-a-job-working-on-Ubers-food-delivery-service/articleshow/55433947.cms">operational in 62 cities</a> across the globe. 
 
(Image source TheVerge)

UberEATS is all set to debut in India

Delhi, well known for its love for North Indian and international cuisines, has a vibrant <keyword id="6181" type="COMPANY" weightage="20" keywordseo="Food">food</keyword> culture and Uber, today added to that craze by launching its <keyword id="2960214" type="UNKNOWN" weightage="20" keywordseo="ubereats">UberEATS</keyword> service to Delhi, NCR starting with Gurugram. Partnering with over 300 restaurants, UberEATS will give local restaurants in Delhi-NCR another reliable <keyword id="6355447" type="UNKNOWN" weightage="20" keywordseo="delivery">delivery</keyword> option. According to Redseer Consulting, Partners Satisfaction with growth in business from food tech players has improved from the last quarter primarily driven by: 1.Sustained growth in the order volume 2.The emergence of the delivery source as an additional revenue source.

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In the midst of many restaurants already partnering with companies like Swiggy, Foodpanda and Zomato alongside their own delivery boys, it’s questionable whether UberEATS is going to make an impact. The food business for Uber can be profitable in India as they rely on charging service fees and providing restaurant management tools to their partners for revenue. Uber has already turned profitable in some markets, according to the company. UberEATS was started in 2014 as a small delivery pilot in Los Angeles and launched as a separate application in Toronto in December 2015. In the past 18 months, it has grown incredibly fast, and is now a stand-alone app available in 29 countries and in 97 cities around the globe, including India. 

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The UberEATS app is separate to the Uber app people use to request a ride and has been built specifically to make food delivery as seamless as possible. Starting today, consumers can download the new app for iOS and Android from the iTunes/Google play store or go online at ubereats.com to order anywhere in Gurugram. 

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How is the app different: <ol> <li>Only Bike-delivery: The company will only deliver through their delivery partners who are using the two-wheeler to deliver the order.</li> <li>Track the progress of the delivery - Get updates as your order is prepared and watch in realtime as the meals is delivered to your destination</li> <li>Get Personalized Recommendations- The app picks up on ordering style as you order from the app frequently. It predicts if you prefer healthy food, or vegetarian food on some days of the week and gives recommendations accordingly.</li> </ol>

Uber launched UberEATS in Delhi-NCR and this is why it’s different

<ul><li>Swiggy has launched a new service 'Swiggy Go' to run customer errands. </li><li>The service is currently only available in Bangalore but will be expanding to 300 cities by next year. </li><li>Swiggy is charging ₹29 for the first two kilometers and ₹15 for every successive kilometer. </li></ul>India's homegrown food delivery startup Swiggy is busy expanding its portfolio in India. Now, it will run errands for you. If you forget your keys or lunch at home, <a href="https://www.businessinsider.in/swiggy-completes-5-years-here-are-some-interesting-facts/articleshow/70566256.cms">Swiggy</a>'s new service — Swiggy Go — will pick it up and drop it off. The company's also offering to drop off your laundry and deliver packages at any location within the city. This new service will take on <a href="https://www.businessinsider.in/gurgaon-startup-sms-contraceptive-wants-to-deliver-condoms-under-30-minutes/articleshow/54524468.cms">Dunzo</a>, yet another homegrown start up. There are differences in the price, and also on how far each of these startups can go to run an errand. Choosing between Swiggy and Dunzo The price of the service will fluctuate depending on the distance. Currently Swiggy is charging ₹29 for the first two kilometers and ₹15 for every extra kilometer. In comparison, Dunzo charges ₹40 for four kilometers, ₹80 for eight kilometers, and ₹120 for distance greater than eight kilometers. <table style="border-width: initial; border-style: none; width: 468pt;"></colgroup><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;"> </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">Swiggy </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">Dunzo </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">Upto 4 kilometers </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">₹59 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">₹40 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">Upto 8 kilometers </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">₹119 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">₹80 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">Upto 12 kilometers </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">₹179 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">₹120 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">Upto 20 kilometers </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">₹299 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;">₹120 </td></tr></tbody></table> That being said, Dunzo delivers within a radius while Swiggy places no such restrictions. For instance, Dunzo is available in Delhi, Bengaluru, Gurgaon, Pune, Chennai, Mumbai and Hyderabad. Within Delhi however it doesn't extend to areas like Dwarka. Swiggy Go, on the other hand, is only available in Bangalore so far. But the company has plans to expand to the rest of India. Their resources and manpower are greater than what Dunzo has at its disposal. By 2020, Swiggy Go expects to be operational in 300 cities. Size does matter Another catch is the package size. Whatever errand you're running through Swiggy Go should fit within the confines of its delivery bag. So, if you're sending your clothes for wash, there are only so many that you can bundle together. "Swiggy's vision is to elevate the quality of life of urban consumers by offering unparalleled convenience. After enabling this with food delivery for five years and stores across the city with Swiggy Stores, Go will open the Swiggy delivery superpower to all consumers in the city," said Swiggy CEO Sriharsha Majety. Swiggy recently also launched its Swiggy Stores in Gurgaon and is now expanding its grocery service to Bengaluru and Hyderabad. The company also claims that they're expanding the categories in Swiggy Stores to include fruits and vegetables, kiranas and supermarkets, meat stores and pharmacies. See also: <a href="https://www.businessinsider.in/swiggy-completes-5-years-here-are-some-interesting-facts/articleshow/70566256.cms">Swiggy turns five – the unicorn has gone from 6 delivery partners in 1 city to 200,000 in 290 cities</a> <a href="https://www.businessinsider.in/swiggy-and-zomato-are-eating-into-dominos-slice-of-profit-hurting-jubilant-foodworks/articleshow/69952487.cms">Swiggy and Zomato are eating into Domino's slice of profit</a> <a href="https://www.businessinsider.in/swiggy-in-talks-to-acquire-ubereats-india-operations/articleshow/68110377.cms">Swiggy wants more on its plate, in talks to acquire Ubereats India</a>

Swiggy's pick up and drop service debuts with an advantage over Dunzo — but it may cost you a little extra

<ul><li>Users in Bengaluru can already see the food delivery option under “Amazon Food”. </li><li>All the restaurants carry a “hygiene” tag. </li><li>The food delivery space which is dominated by <keyword id="6358977" type="UNKNOWN" weightage="20" keywordseo="swiggy">Swiggy</keyword>, <keyword id="830092" type="COMPANY" weightage="20" keywordseo="Zomato">Zomato</keyword> had also seen the entry of players like MakeMyTrip.</li></ul>E-commerce giant Amazon is finally launching its food delivery business in India. However, the service is currently live only in certain pincodes. Users in Bengaluru can already see the food delivery option under “Amazon Food”. It has already signed up several restaurants in the city and all the restaurants carry a “hygiene” tag. <div type="image" title="amazon food" msid="75864355" hostid="261"></div> “Customers have been telling us for some time that they would like to order prepared meals on Amazon in addition to shopping for all other essentials. This is particularly relevant in present times as they stay home safe. We also recognize that local businesses need all the help they can get. We are launching <keyword id="3365147" type="PERSON" weightage="20" keywordseo="amazon-food">Amazon Food</keyword> in select Bangalore pin codes allowing customers to order from handpicked local restaurants and cloud kitchens that pass our high hygiene certification bar. We are adhering to the highest standards of safety to ensure our customers remain safe while having a delightful experience," said an Amazon spokesperson. In February, according to <a href="https://tech.economictimes.indiatimes.com/news/internet/amazon-starts-piloting-its-food-delivery-service-in-bengaluru/74325907">ET</a> several vendors were signed up by Prione Business Services – a venture set up by Infosys co-founder Narayana Murthy’s Catamaran Ventures and Amazon. The venture was set up to help digitize and scale up India’s small businesses. The food delivery vertical is already hot in India, and has gained momentum even during the coronavirus lockdown. Zomato acquired UberEats in January 2020, giving Uber a 9.9% stake in the food delivery company. While sources claimed that Zomato will take its market share to 55% with the deal, a source told Business Insider that Swiggy’s revenue share continued to be at 60%. Meanwhile, travel aggregator MakeMyTrip too recently entered the food delivery vertical. The company has rolled out an online gourmet delivery service in partnership with luxury and premium hotel chains and independent properties across cities in India. Hospitality unicorn OYO too is experimenting in the food segment. According to <a href="https://www.moneycontrol.com/news/business/startup/exclusive-after-cloud-kitchen-tryst-oyo-eyes-ready-to-eat-food-segment-5263541.html">reports</a>, OYO is looking to enter the ready-to-eat food sector, an addition to its existing cloud kitchen network. See Also: <a href="https://www.businessinsider.in/business/startups/news/swiggy-zomato-start-home-delivery-of-alcohol-in-jharkhand/articleshow/75863251.cms">Swiggy and Zomato confirm home delivery of alcohol in Jharkhand – and it’s a lot easier than getting liquor in Maharashtra</a> <a href="https://www.businessinsider.in/business/startups/news/makemytrip-will-now-deliver-food-jumps-into-the-ring-where-zomato-and-swiggy-are-already-fighting-it-out/articleshow/75733805.cms">MakeMyTrip will now deliver food – jumps into the ring where Zomato and Swiggy are already fighting it out</a>

Swiggy and Zomato beware! Amazon begins food delivery in India

<ul><li>Goldman Sachs maintained ‘Sell’ rating on <keyword id="95677" type="CITY" weightage="20" keywordseo="Jubilant-FoodWorks">Jubilant Foodworks</keyword>, which sells Domino’s pizza in India. </li><li>Aggressive growth plan of food delivery aggregators like <keyword id="6358977" type="UNKNOWN" weightage="20" keywordseo="swiggy">Swiggy</keyword> and <keyword id="830092" type="COMPANY" weightage="20" keywordseo="Zomato">Zomato</keyword> as a risk for Domino’s sales, according to analysts.</li><li>Swiggy is now delivering in over 200 Indian cities, while Zomato is in more than 300 cities. </li></ul>Indian foodtech giants Swiggy and Zomato both house Domino’s in their list of restaurants to order from, but it seems the aggressive growth plans of the two delivery firms will leave Domino’s hungry for revenue. The share price of Jubilant Foodworks, which sells Domino’s and Dunkin Donuts in India, has plunged over 12% in the last three months. Goldman Sachs maintained ‘Sell’ with a price of ₹1,129 for shares of Domino’s parent company Jubilant FoodWorks. It said, “Dominos will find it challenging to deliver double digit same-store sales growth in FY20/21,” citing risk from aggressive expansion of Swiggy and Zomato in smaller Indian cities. Domino’s has over 1,227 restaurants in over 270 cities. Jubilant Foodworks had reported an operational revenue of ₹35.3 billion in FY19 as compared to ₹29.8 billion in FY18. Meanwhile, ICICI Securities in its report has pointed out that the “aggressive discounting by food aggregators over the past few months continues to impact the dine-in industry and Jubilant Foodworks’ dine-ingrowth in the top-10 cities”. Swiggy is present in over 200 cities while Zomato has gone beyond 300 cities in India. Their deep dive approach into tier-2 and tier-3 cities could result in Indians preferring to order in instead of going to restaurants to eat, something that has helped Domino’s same store sales so far. In the US too, Domino’s saw a similar turn of events, with food delivery aggregators like DoorDash, UberEats, GrubHub with their deep discounts and variety of options, impacted the sales of Domino’s. In <a href="https://retail.economictimes.indiatimes.com/news/food-entertainment/food-services/dominos-hurt-as-delivery-firms-offer-more-choice-shares-fall-10-pct/68108049">February 2019</a>, the shares of Domino’s fell by 10% for the same reason. See Also: <a href="https://www.businessinsider.in/dominos-operator-jubilant-foodworks-launches-its-own-budget-chinese-food-chain-called-hongs-kitchen/articleshow/68390170.cms">From Domino’s to Hong’s Kitchen – India's Jubilant Foodworks enters the Chinese fast food segment with its own budget brand</a>

Swiggy and Zomato are eating into Domino's slice of profit

<ul><li>After a couple of dull years and a few failures, online grocery in India is back with a bang. </li><li>SoftBank has put in fresh funds in Grofers while Reliance Industries Limited is reportedly looking to buy a majority stake in Grab. </li><li>Swiggy had recently announced its foray into online grocery delivery with Swiggy stores. </li></ul> There was a time when the online grocery vertical had become the hot favourite with major players trying their luck in the game. But soon with failures piling up one over the other, exits were announced. Come 2019 and it seems like it’s going to be the year hyperlocal grocery delivery again. Sector leader BigBasket may become the first unicorn – clock a valuation of $1 billion – of 2019, and food delivery startup Swiggy threw in its hat into groceries with Swiggy Stores. Swiggy, which raised a whopping $1 billion in funding in December, has already piloted the operations in Gurugram and has tied up with <a href="https://www.business-standard.com/article/companies/swiggy-takes-on-bigbasket-grofers-to-deliver-groceries-from-local-stores-119021201294_1.html">3,500</a> local stores. However, these startups will be battling the deep pockets of Mukesh Ambani and the Japanese Softbank. Reliance Industries Limited is <a href="https://timesofindia.indiatimes.com/business/india-business/ril-in-talks-for-majority-stake-in-startup-grab/articleshow/68192744.cms">reportedly</a> in talks to buy a majority stake in Grab, a hyperlocal delivery startup for groceries, medicines and food based out of Mumbai. Grofers has raised <a href="https://tech.economictimes.indiatimes.com/news/internet/grofers-raises-fresh-funds-from-existing-investor-softbank-as-e-grocers-valuation-hits-425m/68203728">fresh funds</a> from SoftBank Vision Fund (the Japanese firm had earlier too invested in the e-grocery company) which takes its valuation to $425 million. This excitement was missing in the space the last few years. E-grocery startup PepperTap had to shut its operations in 2016. In a blog on <a href="https://yourstory.com/2016/04/peppertap-journey-navneet-singh">YourStory</a>, Navneet Singh, founder of PepperTap, wrote about the problem they faced. “The integration of our app with our partner stores was not great. In the race to pepper the whole country with PepperTap, we had brought too many stores online far too quickly,” he wrote. Another unicorn startup Paytm too had explored the e-grocery space with Paytm Zip, only to shut shop in 2015. So, even with clear failures in the past, what makes today’s unicorns still find their way into the space? A simple answer - the demand still exists. Grocery stores aren’t called convenience stores for nothing. For today’s millennial who is busy with work to order groceries on a tap is an easy, convenient way out. A report on the online grocery space in India by Red Seer consulting states, “Inspite of all these disruptions and changes, one thing that did not change was the massive potential for online grocery- as indicated by India’s USD 500+ Bn grocery market out of which a mere 0.2% is online (~USD 1.2 bn overall and ~USD 1 Bn considering only hyperlocal grocery).” The proof that it still works is seen in BigBasket’s <a href="https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/bigbaskets-wholesale-unit-revenue-up-35/articleshow/67358734.cms">revenue</a> report. In the year 2017-18, BigBasket saw its revenue grow by 35% while losses dropped by 53%. In FY19, the company expects the revenue to grow by <a href="https://www.moneycontrol.com/news/business/companies/bigbasket-chief-hari-menon-expects-75-revenue-jump-in-fy19-to-rs-3500-crore-3183251.html">75%</a>. Grofers which had posted a net loss of <a href="https://tech.economictimes.indiatimes.com/news/internet/grofers-narrows-loss-to-rs-258-cr-as-sales-double-in-fy2018/68105608">₹268 crore</a> in FY 17, managed to post a loss of ₹258 crore in FY18. The company has also added <a href="https://www.moneycontrol.com/news/business/grofers-eyes-rs-2500-crore-revenue-in-fy19-adds-2-5-lakh-new-customers-in-january-3453911.html">2.5 lakh</a> new customers in January, while also aiming for a revenue of over ₹2500 crore. And with big backers like Mukesh Ambani and Softbank entering the fray, the competition, too, will be intense. The battle for dominance may mean more discounts and cashbacks for consumers. See Also: <a href="https://www.businessinsider.in/swiggy-in-talks-to-acquire-ubereats-india-operations/articleshow/68110377.cms">Swiggy wants more on its plate, in talks to acquire Ubereats India</a> <a href="https://www.businessinsider.in/for-indian-startups-2018-has-been-a-year-of-bouncing-back-as-venture-capital-funding-doubles/articleshow/67286540.cms">For Indian startups, 2018 has been a year of bouncing back as venture capital funding doubles</a> <a href="https://www.businessinsider.in/these-are-the-25-most-sought-after-startups-in-india-report/articleshow/65866420.cms">These are the 25 most sought after startups in India: Report</a>

Online grocers are back in business in India with billions more to burn – and that may be good for consumers

<ul><li>A report by YouGov – <keyword id="226155" type="COMPANY" weightage="20" keywordseo="BrandIndex">BrandIndex</keyword> – shows that <keyword id="6355629" type="DEFINITION" weightage="20" keywordseo="google">Google</keyword> is the most positively perceived brand in India. </li><li><keyword id="6358977" type="UNKNOWN" weightage="20" keywordseo="swiggy">Swiggy</keyword> ranks higher than <keyword id="830092" type="COMPANY" weightage="20" keywordseo="Zomato">Zomato</keyword> in the list. </li><li>UberEats ranks first in the most improved brands list in India.</li></ul>Google has ranked to be the most positively perceived brand in India, as per a report by YouGov. In fact, Google ranked higher than WhatsApp and YouTube, which took the second and third positions respectively. Four Indian brands made it to the list of top 10. Food aggregator Swiggy ranked fifth, MakeMyTrip ranked sixth, <keyword id="6354720" type="UNKNOWN" weightage="20" keywordseo="ola">Ola</keyword> ranked ninth while Zomato ranked tenth. Interestingly, <keyword id="1042120" type="PERSON" weightage="20" keywordseo="Uber">Uber</keyword> ranked two spots higher than Ola. The YouGov BrandIndex measures overall brand health. “The score takes into account consumers’ perception of a brand’s overall quality, value, impression, reputation, satisfaction and whether consumers would recommend the brand to others,” said YouGov. The report also shows the ‘most improved brands’ in India and surprisingly, UberEats tops the list. Globally too, Google is ranked the top brand, followed by WhatsApp and YouTube, while Facebook ranked fifth.

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