Foodtech major Swiggy is set to foray into the social commerce and community group buying business with Swiggy Bazaar, and is putting together a team, said two people aware of the development, seeking anonymity.
The firm is in the process of identifying internal candidates and will also hire external talent to stitch up the initial team, and has put out alerts on professional networking platform LinkedIn, one of the two people said.
“Swiggy Bazaar is our latest foray into the trillion-dollar grocery market and will be a community group buying destination. Over the last year, consumers have discovered new ways to access better food and some of these behaviours have proved to be resilient, creating tailwinds that Swiggy Bazaar will aim to ride on. Swiggy Bazaar will operate like a startup and promises to be yet another big bet for us in the fast-growing e-grocery market,” Swiggy said in a post on LinkedIn.
Swiggy Bazaar will pilot new community-based marketing strategies, it said. Its core team will operate in three areas —product and engineering, community and marketing, as well as business operation. The firm will run a pilot on community-buying for groceries and other household perishables, the people said.
Swiggy declined to comment on Mint’s queries on its new initiative.
Social commerce has been on the rise with consumers turning to purchasing essentials, clothing and household items online. CityMall, backed by Accel Partners, Elevation Capital, and Jungle Ventures, is one such firm selling grocery, lifestyle and curated products through peer-to-peer referrals on WhatsApp.
Dealshare and Meesho are other social commerce startups that have witnessed high investor interest of late. Recently, YouTube marked its foray into the social commerce space, by signing a definitive agreement to acquire simsim.
Media reports said Swiggy is in talks with new and existing investors, including SoftBank and Prosus, to raise up to $600 million in a fresh round, at a valuation of $10 billion.