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Betting on Swiggy and Zomato: Can India’s food delivery titans deliver?

Livemint · 2d

The Indian food delivery market is currently dominated by Swiggy and Zomato, with the two companies controlling nearly the entire sector. Swiggy recently had its much-anticipated IPO, but its stock performance has been lackluster compared to Zomato. Both companies are grappling with questions around growth, revenue potential, and profitability. The Indian food delivery market is on a strong growth trajectory, but achieving sustained profitability remains a challenge due to thin margins and high costs. Additionally, the emergence of quick commerce (Q-commerce) has become a hot topic, offering new opportunities and challenges in grocery delivery. Investors should closely monitor the performance of Swiggy and Zomato, considering the potential for long-term growth but also assessing the risks involved.