swiggy revenue: Swiggy’s food delivery revenue increased 56% from April to September, according to Prosus
“This is due to higher demand during the second wave of Covid-19 in India and the expansion of Supr Daily and Instamart into the grocery business,” Prosus said in the filing.
Prosus, the listed arm of Naspers, said in a blog post that the performance of its global food businesses, which includes Bengaluru-based Swiggy, has remained strong thanks to add-on offerings such as convenience and grocery delivery. .
According to the file, Swiggy’s focus on recovery “by reactivating users, increasing monthly frequency and bringing user conversion back to pre-Covid-19 levels,” spurred growth.
He said Swiggy makes 1.59 million orders per day and the gross value of its merchandise (value of food and non-food orders) during the period increased 69% year-on-year to 984 million. dollars due to a higher average order value than before. -pandemic levels and higher revenues from shipping costs and advertising sales.
ROCKSTARS STARTUP IN 2021
Log in to see our list of the most promising startups of 2021
âWe believe Swiggy is well funded to capitalize on the recent and well-positioned momentum to improve the competitiveness of its platform by investing in products and technology and by strengthening its artificial intelligence capabilities,â said Prosus.
Swiggy had 128,000 restaurants on its platform, while rival Zomato had 173,000 active partner restaurants as of September.
Although segmental reports on rival Zomato are not available, the company said in July that it derives 75% of its revenue from food delivery.
Zomato’s adjusted revenue – a combination of operating revenue and delivery charges to customers – between April and September was Rs 2,580 crore, a year-over-year growth of 178.2%, according to its report on second quarter results filed earlier this month.
Its operating income in April-September was Rs 1,868 crore.
Zomato’s gross order value – the total dollar value of orders, including taxes, customer delivery charges, and the gross of all discounts for food delivery – stood at $ 721 million in July-September. of this year.
In March 2020, revenues from the operations of the restaurant aggregation platform stood at Rs 2,604 crore – the highest on record – before the company was affected by the nationwide lockdowns following the pandemic and concerns about safe delivery practices.
Bob van Dijk, CEO of Prosus and Naspers Group, wrote in the blog post: âIn the first half of the year our Internet business recorded solid growth on top of a strong performance for the same period of the year last. Our progress is reflected in the growing value placed on our e-commerce portfolio and, to seize the important opportunity ahead, we have stepped up our investments in our key segments of food delivery, electronic technology, payments and financial technology; and classifieds.
Prosus has supported some of the world’s largest consumer internet companies. In India, his bets include PayU (which acquired BillDesk earlier this year), Meesho and Flipkart.
Its stake in Swiggy rose to 36% after injecting an additional $ 274 million in April this year.
In an interview with ET in July, Swiggy co-founder and CEO Sriharsha Majety said that up to 25% of the company’s revenue comes from non-food delivery companies and that it plans to invest heavily in vertical non-food sectors.
For Swiggy and Zomato, offering discounts has been a key customer acquisition route.
In an effort to expand the number of users for its non-food delivery offerings, Swiggy said Monday that it plans to launch a new “Swiggy One” umbrella membership program in 500 cities over the next two weeks.
The program offers perks like unlimited free deliveries from restaurants and its Instamart grocery delivery service. Over the next few months, membership will extend additional discounts and perks to Swiggy’s other offerings, including Swiggy’s pickup and drop-off service at Genie and Meat stores.
ET reported on September 28 that Swiggy was in talks to close another round of funding at a valuation of $ 10 billion, double its previous round, led by U.S. asset manager Invesco, in what is likely a Re-rating exercise fueled by the market rise of Zomato capitalization after its market debut.
Sumer Juneja, managing partner, SoftBank Vision Fund, told ET in July that Swiggy Instamart’s express grocery delivery service was the biggest category after delivering food to active cities for more than six to nine months. He also said Instamart had better unit economics than Swiggy’s food delivery business.
ET reported last week that Zomato is planning to double its bet on Grofers online grocery store and may invest an additional $ 500 million there to push its fast-paced trading game, a direct competitor of Instamart.
Dijk told ET in an interview in September that the companies âthat we have supported have a huge advantage even where we invest. BillDesk is a prime example. The same goes for companies like Meesho, Swiggy, Urban Company, Elastic Run, PharmEasy and others. There is a lot of money being paid, but the benefit is huge, in our opinion. ”
PayU, a Prosus-backed fintech company that serves online and offline merchants, acquired BillDesk for $ 4.7 billion in August. The company said that PayU’s total payment volume (TPV) during the period under review grew 48% to $ 35.3 billion and its revenue increased 44% to $ 359 million. , “in large part due to a strong payments performance in our India business and the recovery in credit activity.”