India: Swiggy eyes 100m customers using its app over 15 times a month in 10-15 yrs

Photo: Livemint

Swiggy, which is by far India’s best-funded food delivery start-up, has set ambitious targets for itself. The Bengaluru-headquartered firm aims to have 100 million customers transacting with it over 15 times a month in the next 10-15 years, said Sriharsha Majety, co-founder and chief executive officer, Swiggy, at Gigabytes, the company’s hyperlocal innovation summit, held on Friday.

Currently, Swiggy, India’s largest food ordering and delivery platform, clocks nearly 1.4 million food orders daily across India, compared with about 700,000 orders per day a year ago. Swiggy has a presence in over 500 cities and towns, 140,000 restaurants on its platform and 2.1 lakh active delivery partners.

“If some of our growth estimates come true, it won’t take long before we will be the third-largest source of employment in India,” said Majety.

Launched in November 2017, Swiggy Access allows its restaurant partners to set up kitchen spaces in neighbourhoods where they don’t currently operate, enabling expansion for its partners. Swiggy Daily allows users to schedule their meals in advance or opt for a daily, weekly or monthly subscription. Swiggy POP offers a curated menu of single-serve meals from neighborhood restaurants.

“We believe 75% of the demand will come from the supply which doesn’t exist today,” said Majety, adding that today Swiggy is the most frequently ordered service.

“We want to be the kings of convenience,” said Majety.

Swiggy’s investors believe the company can deliver on its “convenience offerings.”

“Swiggy has been able to significantly enhance its consumer base, usage frequency, brand and mindshare through product expansions such as Swiggy Pop, Swiggy Access, Swiggy Stores, among several others. I believe that Swiggy has a long runway of growth,” said Niren Shah, managing director and the head of Norwest India, an investor in Swiggy.

“Minimum wages will become a reality. There could be rules that could put a tab on the weight carried by e-commerce/food delivery partners. With the “Make in India” initiative, a lot of young people will go to the manufacturing industry. We are set to see expensive labour force in future, which means companies will have to spend more on their on-ground staff,” said Harminder Sahni, founder, and managing director, Wazir Advisors, a retail consulting firm.

To be sure, for the year ended March 31, 2018, Swiggy’s losses rose 93% to 397 crore. Its revenue grew 232% to 422 crore.

This article was first published on livemint.com.

Singapore Reporter/s

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Following vacancies can be applied for (only in Singapore).   

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  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.