Eyeing a greater opportunity in the tech-based food-ordering and delivery business, Bengaluru-based Swiggy announced commencement of its services in Ahmedabad.

The company which had raised total of $155.5 million in five rounds of funding from variety of investors, including Accel Partners, SAIF Partners, Norwest Partners, Harmony VP, RB Investments, Bessemer Venture Partners, Naspers and Apoletto, has partnered with over 300 restaurants in Ahmedabad to offer a wide range of cuisines and snacks.

Fast growth

“We have seen encouraging response from Metros as we have registered four-times growth in order volumes and six-times growth in revenues in the past financial year. Through IT systems and algorithms in place, we have been able to reduce the costs of delivery by 35 per cent and maintained our efficiency,” said Srivats TS, Vice-President, Swiggy, adding that consumers can not only order from these restaurants without any restrictions on the minimum order value, but can also track their orders live on the Swiggy app.

Swiggy, which has developed an app-based food ordering and delivery business model, has revenues coming from charges to restaurants, advertisements on the platform and delivery charges on applicable order.

Founded by four partners, Nandan Reddy, Sriharsha Majety and Rahul Jaimini in August 2014, Swiggy currently employs 1,500 people directly, while has about 20,000 delivery executives across the eight cities.

Core strength

“We will cater to the smallest of the order such as one coffee or a vada pau from a wider radius of 6 km. This is going to be our core strength. Also, some unconventional offering on app-based delivery modes such as khaman, samosa and tea will make us different from others,” said Rutvij Oza, City Business head for Ahmedabad.

Nationally, Swiggy has more than 20,000 restaurants partners across eight cities in the country.

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