After destroying Kinana source with quick commerce, now the startup is behind the restaurant owner. Among these startups, there are Zomato, Swiggy and Zepto. But Zomato and Swiggy’s main business comes from the restaurant. So why would anyone ruin their business? In today’s case study, we are going to understand these things. In the last few times, we have seen the magic of quick.
Commerce, where people are able to buy products in their homes in 10-15 minutes. When this thing started, many people didn’t understand. Everyone thought that this profitable business won’t be able to be made. But companies like Zepto and Blinket have made it profitable. Where many of their dark stores are operating profitably. They have chosen a simple model that take a warehouse, put.
All the products there that people around you like to buy. Choose a place where many people like to buy. And your store will look profitable. Now because of these dark stores, many Kinana stores are facing losses. Many Kinana stores’ business seems to be down. This quick commerce model is being taken on a quick food model. Where you will get hot food in 10 minutes.
Now don’t expect that you will get Dal Makhni, Shahi Paneer or Butter Chicken. Here you will get Patties, Croissant, Tea, Coffee. These types of items which are already ready to eat. They are just sending it to you after heating it. And those who think that this is a new thing. In 2023, Swiggy tested this in Bengaluru. Zepto tested it in Mumbai. Both failed badly.
But when we saw the success of quick commerce in 2024. Now these brands are seeing this as an easy thing. So Zepto has launched their Cafe. Swiggy has launched Snack. And Zomato has launched Bristo. All these will work on a quick commerce model. The same dark store is going to be there. A section will be made in that. Where you will get ready to eat items.
You will order. A person will come, pick it up and deliver it to your house in 10 minutes. Recently, Zepto’s founder said that the demand for Zepto Cafe is increasing. In December, they achieved an average of 50,000 per day. There is so much demand. So when Zepto entered this, no one made any noise. But when Swiggy and Zomato entered this, many people are.
Making noise. Because of this, the restaurant business will be seen to go down. Zomato and Swiggy already have a lot of knowledge base. They have a lot of data analytics. Which locality is the best? Where do you get the most orders? What type of items can be sold there? And if their own platform is used, then they will.
Prioritize their products more. Recently, Blinkit’s CEO has clarified that we will not use Zomato’s platform. So they are launching a different app. Swiggy is doing the same. They are launching a different app. But there is a big dark secret here. Zomato and Swiggy are delivering in 10-15 minutes on their platform.
But they are not selling their own products. They have partnered with a restaurant. If there is a restaurant near your locality which has ready-to-eat items, then you can take it home in 10-15 minutes. So the question is, the restaurants near your house from where you are taking orders in 10-15 minutes, will these platforms not use that data? If we talk from an investor’s point of view, then another.
Question arises. Will this be a profitable business? Because if I talk about quick commerce, then the grocery category and food category are not that profitable. Today, quick commerce is able to sell you iPhone and other big items where they can earn a margin. Because of which their store is profitable. But if we talk about ready-to-eat items, which can be bad as well. If they make a burger today, then maybe they won’t.
Be able to sell it the next day. So can’t there be losses due to wastage? Can’t it be difficult to make a profit? Is it not happening due to peer pressure? Because Zepto is moving ahead very fast. Zomato and Swiggy are doubling down so that they don’t lag behind in this race. There is another important thing about the National Restaurant Association.
They say that this industry which is emerging, quick commerce, food, delivery services, should be given a name. Because by giving a name, rules and regulations will be imposed on it. Who is stopping them? If they feel like opening their own outlets and start generating business from that outlet, because they know what happens in which place, then won’t it be a misuse of power? Because Zepto has said that they are opening offline.
Stores. So the restaurant owners should be scared. That’s why many people are protesting against this. Now if I give my opinion here, then Zomato, Swiggy and Zepto are working under a different brand name. No doubt, data is going to be used from this platform to that platform. But this new app is being made for the same reason. So that tomorrow, they can create their own brand and.
Launch it in different IPOs. So Zomato and Swiggy have launched their IPOs. But Zepto is not launching different IPOs by launching different apps. Now the CEO of Blinkit has said one more thing. He has said that the new audience will come because of the new app on our app which has never been used on the main app. They will come because the ticket price is low, there are.
Tea and coffee items. They will order, their experience will be good. And because of this, they will start using the main app. So this is their way of acquisition because of which the traffic on the main app seems to be increasing. But there can also be a reverse here. That no one has ordered till now, they ordered from here and their experience was bad. Now their entire online food delivery service can’t be.
Trusted. Rest, many stakeholders are not happy. If I talk about investors, then we can see the share prices of both Swiggy and Zomato increasing. If I talk about their partners, who are restaurant owners, they are also not happy. So what we have to see is whether this business will be profitable or not. Will it be able to bring disruption in the market which.
Quick commerce has been able to bring? In today’s time, apart from grocery stores, the demand of many e-commerce players is also decreasing because of quick commerce. So is this new category of business causing a loss to the restaurant owners? Or will it happen that a delivery partner will create a layer on ONDC and connect with the nearby restaurant owners to create a quick delivery platform?.
Although this is going to be very difficult because Swiggy, Zomato, and recently MagicPen have also created many partners. So it can be a little difficult to create so many partners for a new app. If there are no partners, the business will not be able to run. So what is your opinion about this whole business? Do tell us in the comment section. With this, today’s video ends.
I hope you enjoyed it. Like, share, and comment on how you liked the video. Bye, good night, good morning, good afternoon, whenever you are watching this video. Jai Hind. Vande Mataram. Keep me in your prayers.
