Food delivery major Swiggy has crossed 10 million monthly delivery mark this month. This is an almost 2X surge in terms of monthly volume within six months. The Bengaluru-based company had achieved 5 million order mark in December last year.
Currently, the Tencent-backed company does about 330,000 to 350,000 order on a daily basis, said two sources aware of the matter on condition of anonymity. “Bengaluru and Hyderabad contribute about 60 per cent of total volume delivered by Swiggy,” adds one of the above sources.
In comparison, its arch-rival Zomato delivers about 7 million orders every month, says sources. Last year, the Alibaba-funded unicorn claimed to have narrowed the gap with Swiggy.
Meanwhile, Swiggy had achieved 1 million monthly order mark in April 2016. This essentially outlines that the company has grown over 10X in past two years.
Email sent to Swiggy for confirming monthly volume remains unanswered until the report was filed. We will update the story as the response comes in.
On the back of massive funding and spurt in Internet users, the food-tech space in India is on a rise. According to the Kotak Institutional Equities, the food delivery and takeaway market is set to grow to $29 billion by 2021 with the number of orders going up to 51 million on a monthly basis.
There is enough potential for both the companies to grow in this segment.
Just within two months of raising a sizeable $100 million Series F round from Naspers and Meituan-Dianping, Swiggy is currently negotiating a fresh funding round with DST Global. It’s also slated to become the twelfth Indian Unicorn if the ongoing talks get fructified.
So far, Swiggy has scooped up over $250 million in total risk capital while Alibaba-owned entity Alipay had pumped-in $200 million in the only Indian food tech Unicorn Zomato in February this year.
With over 10X growth in terms of volume, Swiggy journey has been exciting in the past one year. Interestingly, Zomato also has grown at a similar pace. While product-based e-commerce companies are facing stagnation of consumer base in the past 12-18 months, food and grocery verticals seem to have scaled quickly.