CA Tapan Doshi’s Post

The Rise of Zomato: Dominating the Food Delivery Space In the dynamic world of food delivery, Zomato has emerged as a frontrunner, surpassing its competitor Swiggy in market share and innovation. What began as a neck-to-neck race in 2020 has seen a significant shift, with Zomato now leading the charge. In 2020, Swiggy held a commendable 52% market share, but Zomato's strategic maneuvers have flipped the script. By 2023, Zomato surged ahead, boasting a 54% market share. Fast forward to the latest reports, and Zomato's dominance has grown even more, now commanding a whopping 60% of the market, leaving Swiggy trailing at 40%. Zomato's success isn't confined to food delivery alone; its quick commerce arm, Blinkit, has also secured a comfortable lead with a 45% market share, surpassing competitors like Insta Mart with 27% market share. Even in Swiggy's home turf of Bangalore, Blinkit has emerged victorious over Instamart. So, what's driving Zomato's triumph? Firstly, it's the extensive reach of Zomato, spanning over 800 cities compared to Swiggy's 580. This widespread presence ensures accessibility to a larger customer base. Secondly, Zomato's strategic differentiation between food delivery and quick commerce, offering separate platforms for each, sets it apart from Swiggy's integrated approach. Zomato continues to redefine the food delivery landscape, it's crucial to understand the factors influencing consumer choices and preferences. Dr. John william #zomato #swiggy

The Untold Reality of Swiggy vs. Zomato In the ongoing rivalry between food delivery giants Swiggy and Zomato, a closer look reveals why Swiggy may struggle to surpass Zomato in the competitive Indian market. Key Insights: Strategic Moves: Swiggy’s decision to remove Zomato CEO Deepinder Goyal from the Shark Tank India panel was a distraction tactic. This move may backfire, as Zomato’s brand loyalty under Goyal remains strong. Copycat Culture: Swiggy often mirrors Zomato’s strategies, such as partnerships with content creators. This lack of originality raises concerns about Swiggy’s long-term market viability. Market Share & Profitability: Zomato holds approximately 60% of the market share, compared to Swiggy’s 40%. Zomato’s diverse services, including grocery delivery and restaurant reviews, contribute to its balanced revenue stream. Service Delivery Comparison: Zomato often excels in speed and reliability, with positive customer feedback on timely deliveries. Swiggy faces criticism for late deliveries and service issues. The Path Ahead: To compete effectively, Swiggy must focus on unique value propositions. Innovations in service delivery and customer experience are crucial for growth. While the rivalry is ongoing, Zomato's established brand loyalty and innovative strategies give it a significant edge that Swiggy may find difficult to overcome. #SwiggyVsZomato #FoodTech #DeliveryBattle #MarketShare #Profitability #ServiceDelivery #CopycatCulture #Zomato #Swiggy #DeepinderGoyal #SharkTankIndia #ContentCreators #Innovation #CustomerExperience #FoodDelivery #IndiaFoodMarket

🔥 The Battle of Food Delivery Giants: Zomato vs Swiggy - A Market Analysis In India's dynamic food delivery landscape, two titans are shaping the future of how millions get their daily meals. Let me break down this fascinating market rivalry with some compelling numbers. Market Leadership Zomato stands tall with a remarkable valuation of $29.44 billion, more than double Swiggy's $12.4 billion1. With 57% market share and 20 million active users, Zomato currently leads the space1. Operational Excellence Both players show impressive operational metrics: Zomato processes 1.5 million daily orders with a swift 30-minute delivery time Swiggy handles 1.4 million orders daily with a 30-40 minute delivery window1 Growth & Revenue What's particularly interesting is the growth trajectory: Swiggy demonstrates stronger order volume growth at 26% YoY Swiggy leads in revenue with $1.5 billion (F.Y.E March 2024) Zomato follows with $1.3 billion revenue and 21% YoY growth1 This competitive dynamics showcases the robust nature of India's food delivery ecosystem. The question remains: Will Zomato maintain its market leadership, or will Swiggy's aggressive growth close the gap? #FoodTech #StartupIndia #DigitalIndia #BusinessStrategy #FoodDelivery #MarketAnalysis Thoughts? Let's discuss in the comments below. 👇

🚀 Swiggy vs Zomato: A Market Perspective 🚀 In the rapidly growing food delivery space, two giants dominate the Indian market – Swiggy and Zomato. 📲 But how do these platforms really stack up against each other? Let’s dive into their market strategies, user experiences, and differentiators. 🍽️ 🔍 Market Positioning: Swiggy holds a strong presence in tier-2 and tier-3 cities with ~45% market share, while Zomato aggressively expands internationally, operating in the Middle East and Australia 🌍. 💼 Revenue Streams: Swiggy: Hyperlocal deliveries (Swiggy Genie, Instamart) and delivery commissions. Zomato: A more diversified model with food delivery, restaurant advertising, and Zomato Gold. ⚡ Key Differentiators: Swiggy focuses on logistics and grocery delivery, offering a fast and functional user experience. Zomato emphasizes restaurant discovery, reviews, and premium services like Zomato Gold, delivering a rich, content-driven experience. Which platform do you think has the edge in the food delivery war? 💥 Click here to check out my detailed analysis 👉 [Link to the document or blog post] #FoodDelivery #Swiggy #Zomato #MarketAnalysis #ProductStrategy #UserExperience #BusinessModel

📈 Zomato vs. Swiggy: Navigating Profitability in India's Competitive Food Delivery Market🍽️ Hello LinkedIn Community! The battle between Zomato and Swiggy in India's food delivery market is heating up, and it's fascinating to observe their distinct paths to profitability. Here are some key insights: 𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐏𝐞𝐫𝐟𝐨𝐫𝐦𝐚𝐧𝐜𝐞: - Zomato: Significant improvements in EBITDA, driven by the strategic acquisition of Blinkit. This move has expanded service offerings and optimized costs, reducing losses compared to Swiggy. - Swiggy: Heavy investment in Instamart & Swiggy Mall incurred significant losses. While the upfront costs are high, this strategy might lead to sustainable profitability over time. 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐜 𝐃𝐢𝐟𝐟𝐞𝐫𝐞𝐧𝐜𝐞𝐬: - Zomato's Acquisition Strategy: Growth through acquisitions like Blinkit, providing immediate scale and capabilities despite integration challenges. - Swiggy's Growth Approach: Internal development of quick commerce platforms, ensuring control over operations and customer experience. 𝐂𝐡𝐚𝐧𝐠𝐢𝐧𝐠 𝐂𝐨𝐧𝐬𝐮𝐦𝐞𝐫 𝐁𝐞𝐡𝐚𝐯𝐢𝐨𝐫: - The resurgence of the dine-in restaurant business post-2022 poses challenges for food delivery apps. Consumers seek dining experiences that apps can't replicate, impacting high-value orders. - To counter this, Zomato and Swiggy may need to offer exclusive deals or partner with restaurants for unique at-home dining experiences. 𝐓𝐡𝐞 Open Network For Digital Commerce (ONDC) 𝐈𝐧𝐢𝐭𝐢𝐚𝐭𝐢𝐯𝐞 𝐚𝐧𝐝 𝐂𝐨𝐦𝐩𝐞𝐭𝐢𝐭𝐢𝐯𝐞 𝐏𝐫𝐞𝐬𝐬𝐮𝐫𝐞𝐬: - The Indian government's ONDC initiative aims to democratize digital commerce, potentially reshaping the competitive landscape. - Local restaurants could benefit from lowered entry barriers, challenging Zomato and Swiggy's dominance. 𝐅𝐮𝐭𝐮𝐫𝐞 𝐎𝐮𝐭𝐥𝐨𝐨𝐤 & 𝐌𝐚𝐫𝐤𝐞𝐭 𝐄𝐯𝐨𝐥𝐮𝐭𝐢𝐨𝐧: - Both companies are making strides toward profitability with increasing order volumes and revenue. - Long-term success will depend on adaptability to market dynamics and consumer behavior. - The evolving landscape, including rising dine-in preferences and ONDC impact, will require agility and customer focus. As the competition intensifies, it will be fascinating to see how Zomato and Swiggy leverage their strengths to navigate the challenges ahead and achieve sustainable profitability. 🔍 𝑊ℎ𝑎𝑡 𝑎𝑟𝑒 𝑦𝑜𝑢𝑟 𝑡ℎ𝑜𝑢𝑔ℎ𝑡𝑠 𝑜𝑛 𝑡ℎ𝑒 𝑠𝑡𝑟𝑎𝑡𝑒𝑔𝑖𝑒𝑠 𝑜𝑓 𝑍𝑜𝑚𝑎𝑡𝑜 𝑎𝑛𝑑 𝑆𝑤𝑖𝑔𝑔𝑦? 𝐻𝑜𝑤 𝑑𝑜 𝑦𝑜𝑢 𝑠𝑒𝑒 𝑡ℎ𝑒 𝑓𝑢𝑡𝑢𝑟𝑒 𝑜𝑓 𝑓𝑜𝑜𝑑 𝑑𝑒𝑙𝑖𝑣𝑒𝑟𝑦 𝑖𝑛 𝐼𝑛𝑑𝑖𝑎 𝑒𝑣𝑜𝑙𝑣𝑖𝑛𝑔? 𝑆ℎ𝑎𝑟𝑒 𝑦𝑜𝑢𝑟 𝑖𝑛𝑠𝑖𝑔ℎ𝑡𝑠 𝑎𝑛𝑑 𝑙𝑒𝑡'𝑠 𝑑𝑖𝑠𝑐𝑢𝑠𝑠! #FoodDelivery #Zomato #Swiggy #Profitability #ONDC #QuickCommerce #ConsumerBehavior #Innovation

Is it possible to be profitable on Swiggy / Zomato? A typical restaurant has the following cost structure for food delivery: 👉 25% for Food cost 👉 5% for Packaging 👉 29% Commission taken by aggregators** 👉 20% for Discounts (Without this its extremely tough to grow) 👉 10% for Ad spends on the platforms (This can be reduced as you become more popular on the platform) **Commission is usually a base % of 22-23%, a payment collection charge of 1.5-2% and a GST of 18% on both. Since the industry does not get input credit, the GST is a cost in the P&L. On top of this, Swiggy charges commission even on the GST collected from customers 😞** You are then left with just 11% out of which you need to account for all your fixed costs like rentals, utilities, salaries, miscellaneous charges, wastage and your MARGIN. Its a tough tough business to be in. According to me if a restaurant / cloud kitchen is dependant soley on Swiggy & Zomato for their orders, its extremely difficult to sustain, especially if you're starting now. The older and bigger players like a Dominos, Rebel Foods, etc. have the bargaining power for a better commission structure due to their scale. At Food Darzee, we have started Swiggy & Zomato in Mumbai but it is an extremely tough business in terms of unit economics. We are grateful that all our fixed costs our leveraged by our subscription business. Would love to hear from others and what their views are wrt above !!!! #Food Startups #Food Delivery #Cloud Kitchens

The Indian food delivery space is currently a duopoly with Zomato holding about a 55% market share and the rest being cherished by Swiggy. However, IPO-bound Swiggy is far behind its listed rival👇 🔶 In the Q1 of FY25, Zomato’s food delivery GOV stood at INR 9,264 Cr, while Swiggy’s stood at INR 6,808.3 Cr. In Q1, Zomato also had a higher average monthly transacting customers at 20.3 Mn users compared to Swiggy’s 14.03 Mn. 🔶 Notably, in FY24, Swiggy posted a GOV of INR 8,068.6 Cr in quick commerce, up over 57% YoY. Meanwhile, Zomato’s Blinkit clocked INR 12,469 Cr in FY24 GOV, up 93% YoY. This was despite an equal number of dark stores at around 520 at the end of FY24. 🔶 Quick commerce has become the dominant force in India’s ecommerce structure – however, Swiggy is trailing behind Zomato in this area, too. 🔶 Meanwhile, #Zomato is way ahead of Swiggy in the going-out segment. Given this, and the fact that #Swiggy has hefty losses on the books along with a high valuation – will the foodtech major be able to replicate Zomato’s success on the bourses? Let us know your thoughts in the comments! #ipo #quickcommerce #delivery

Looks like Zomato and Swiggy are adding a little extra spice to their fees! 🌶️💸 (Delhi and Bengaluru For now). The food delivery giants have been adapting their pricing strategies over time, from ₹2 per order in 2023 to ₹6 per order in 2024. This trend reflects the growing demand for food delivery services and the companies' efforts to optimize their earnings. 💲 20% hike in platform fees, from ₹5 to ₹6 per order, may seem small but will have a significant impact on revenue. Maybe it's time to get creative with our budgeting and consider adjusting for that "meal inflation." 🍽️💰 How do you think Zomato and Swiggy's move will impact the food delivery landscape and will it leave a bad taste in customers' mouths 🤢 #productmanagement #pricingstrategy #Revenuemodel #fooddelivery

Can We Trust Zomato and Swiggy Beyond Food Orders? Zomato and Swiggy have revolutionized 💥food delivery, but their financial performance reveals much more about their potential as investment opportunities. Zomato’s profitability and diversification suggest a promising future, while Swiggy's rapid revenue growth showcases its market strength despite operational challenges. Are these companies poised to deliver value beyond just meals? dive into the numbers below and understand their path forward. 🤞Hopefully, whatever's cooking in their #financial_kitchen will serve up a feast that satisfies the #portfolio's appetite! 🙌 Deepinder Goyal Sriharsha M. Swiggy Zomato #food_tech_giants #foodtechecosystem

Zomato Surpasses Swiggy: A Market Share Surprise! For years, Swiggy and Zomato were closely in this race of food delivery business in fact in 2020, Swiggy was ahead with 52% market share, but Zomato has turned things around. In 2023 Zomato's market share went up to 54%, and in the latest report, it's now around 60%, leaving Swiggy behind at 40%. Zomato's smart moves and hard work have pushed it to the top of the food delivery game. Every year, it keeps getting stronger, changing how things work in the industry and showing others how it's done. Not only does Zomato lead in food delivery, but it is quick commerce too, Zomato's Blinkit has a comfortable lead with a 45% market share. Others like instamart and Zepto follow behind with 27% and 21% respectively. This shows Zomato's strength not just in delivering food but also in quick shopping, making it a top choice for many. Even in Bangalore, Swiggy's stronghold, Blinkit has surpassed Instamart in market dominance. so why is this happening? First, Zomato is in more cities—over 800, compared to Swiggy's 580. This means Zomato can reach more places and serve more people. secondly, Zomato's strategy of focusing on food delivery and and quick commerce as distinct businesses sets it apart from Swiggy. While Swiggy offers both services within a single app, Zomato's separate focus allows for targeted strategies and enhanced customer experiences to each segment's unique demands. Also, Zomato keeps improving. They're always coming up with new ideas and making sure deliveries are fast and food is good. Plus, Zomato is really good at letting people know about them. They have strong ads and people trust them. Zomato is winning because they're everywhere, they focus on what they do separately, they keep getting better, and they're good at telling people about it. What are your thoughts? which app do you prefer most for ordering food online? ✅ Follow Naresh Purohit 🇮🇳 for more insights! 😀 LinkedIn Guide to Creating Guide to Networking for LinkedIn LinkedIn Guide to Networking LinkedIn News India LinkedIn #Zomato #Swiggy #FoodDelivery #MarketLeadership