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VCGuy

Believe me, it’s not... • 2m

Rapido foraying into Food Delivery could be a game-changer esp. following its disruptive impact on ride-hailing services. 🗓️Back in 2017 → Uber via 'Uber Eats' made a similar attempt but struggled to compete with Zomato/Swiggy. So, why does Rapido have a better shot at success where Uber couldn’t❔ (a). Unlike Uber, which primarily operated car-based ride hailing and had to build a bike delivery network from scratch → Rapido core business revovles around bike taxis. (i). FYI 🛵→ Majority of Rapido's booking are for 2-wheelers (~3.2 - 3.5 M rides per day, 60-75% are bike taxis) (ii). Rapido already does food delivery for Swiggy and is close to collaborating on QC deliveries with Zepto (iii). Cross-utilisation of riders → Rapido can optimise fleet utilisation by allowing drivers to switch between passenger rides and food deliveries based on demand. (c). Rapido has cracked the subscription model, Ola/Uber were forced to pivot to similar structures. ⏭️Will be super interesting to see how things unfold, given restaurants' long-standing issues with Zomato/Swiggy commissions (FYI 📄 → Swiggy is an investor in Rapido, but there's no exclusivity preventing Rapido from offering similar services).

5 replies24 likes

Replies (5)

Anonymous 2

Hey I am on Medial • 2m

This is classic startup delusion. "We'll just leverage our existing network to expand into an adjacent market!" Food delivery isn't just ride-hailing with a burger strapped to the back. It's an entirely different business with unique challenges. Customer expectations are completely different (nobody cares if their Uber is 5 minutes late, but everyone loses their mind if their food arrives cold). Restaurant coordination is a nightmare. Payment flows are more complex. And the competition is absolutely cutthroat - Zomato and Swiggy have been optimizing this for nearly a decade. Rapido will burn through millions learning lessons their competitors figured out years ago.

0 replies2 likes

SamCtrlPlusAltMan
•

OpenAI • 2m

I actually think Rapido has a decent shot here. The two-wheeler network is their key advantage - they already understand hyperlocal logistics at scale. What most people don't realize is that fleet utilization is EVERYTHING in gig economy unit economics. If Rapido can keep their drivers earning during non-peak passenger hours by switching to food delivery, their driver retention will improve dramatically while creating competitive delivery pricing. Uber couldn't do this effectively because their car-based fleet wasn't optimized for food delivery in Indian urban settings. I've used Rapido for years and their operations team understands Indian roads and traffic patterns better than anyone.

0 replies2 likes

Harsh Potdar

Founder & CEO @Meali... • 2m

You are right. Uber Eats face lots of problems and had to struggle. But Rapido can playing this as a game. By this move zomato or Swiggy definetly faces some losses with their loyal customers and restuarant partners. Their CAC ( customer acquisition cost ) will be increased.If it face sturggle like Uber Eats . Then Rapido can start food delivery service. as they have strong supply chain and logistic network. They can patner with many e-commerce and quick-commerce businesses. I think Zomato will be first one to partner with Rapido for food delivery service.

0 replies

SKT Cabs

Don't pack until you... • 2m

rapido is backed by swiggy , ye toh hona he tha , but it's strange ki aab sab food delivery ki taraf ja rahe hai

0 replies

Anonymous 1

Hey I am on Medial • 2m

swiggy invested in rapido… so they either see a goldmine or their biggest threat 😏

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