Food, QComm…: What’s next for Swiggy, Zomato? – Times of India

In the dynamic landscape of India’s food delivery market, titans Swiggy and Zomato are navigating new paths, venturing beyond the familiar rhythms of takeout and grocery drops. Their experiments in diversification come at a time when competition isn’t just fierce—it’s relentless.
According to an Economic Times report, Swiggy is poised to unveil a services marketplace called ‘Yello’, a platform where users can connect with professionals ranging from lawyers and therapists to fitness trainers and astrologers. The Bengaluru-based company is contemplating whether this feature will exist as a standalone app or become a part of its main interface, the ET report said.
On the potential of Swiggy’s ‘Yello’, one insider noted, “There are no dedicated platforms to find service professionals online where the information is vetted, and it is easy to interact with them in one place. Google does this well to a certain extent for offline and geotagged services, but beyond that, there is no one go-to option for online services.”
This leap forward comes as Swiggy prepares for a pivotal moment: its public listing, set for November 13. The company is also test-driving ‘Rare’, an exclusive membership aimed at affluent customers, offering perks such as access to Formula 1 races, music festivals, and VIP experiences at upscale restaurants. For Swiggy, these moves represent an ambitious pivot, broadening its identity beyond the comfort zone of food and quick commerce.
Divergent strategies for expansion
The rivalry between Swiggy and Zomato, which has unfolded over a decade of competition, now stretches into new territory. Zomato, too, is testing the waters with an innovative service: allowing users to place food orders through WhatsApp. Unlike the conventional chatbot interactions, this new concierge-style offering will feature real customer agents, adding a layer of human touch. An insider confirmed, “The company is also hiring specifically for these roles.” Zomato, which declined to comment on the details, appears keen on enhancing its direct relationship with users.
Meanwhile, Zomato-owned Blinkit is rolling out its own version of this concept, positioning itself as a platform for handyman services—think plumbers, electricians, and carpenters. This new direction is likely to set up a clash with Urban Company, an established leader in this space. Last March, Zomato’s CEO Deepinder Goyal stepped down from Urban Company’s board to avoid conflicts of interest, a move that signaled just how serious Zomato is about entering this competitive field.
There’s a philosophical split in strategy between the two companies: Swiggy’s all-in-one superapp versus Zomato’s approach of fostering distinct brands for various services. Swiggy’s main app is already a one-stop shop, hosting food delivery, its quick-commerce vertical Instamart, Dineout reservations, and hyperlocal parcel services like Swiggy Genie, the ET report said.
Analysts recognize the need for these tech giants to keep moving forward. “They have shown the market that their core businesses work, but these businesses will eventually scale up to a level where growth is not as fast, we have seen that happen with food delivery. Quick commerce will also one day reach that point maybe in a few years,” said a Mumbai-based analyst with a global brokerage firm.