Food delivery platform Swiggy, in a bid to cut down mounting losses, has nearly doubled the prices of its membership programme, ‘Swiggy Super’.
The monthly subscription charges for Super membership has gone up from Rs 79 to Rs 149, while the three-month plan that was earlier priced at Rs179, would now be available at Rs 349. Super membership provides free delivery of food. Consumers who are not members generally pay Rs 25 delivery charges per order.
The new plans will be effective starting from January 8, and the membership prices would be applicable to the existing Swiggy Super members upon renewal. In a bid to bring new users to the platform, the company said first-time members shall pay the older rates for membership. Further, Swiggy said it would roll out new offers and discounts for subscribers of the membership programme.
Bundl Technologies, which runs Swiggy, had clocked operating revenue of Rs 1,128 crore in the financial year ending March 2019 (FY19), against Rs 442 crore posted in FY18. However, its net loss ballooned to Rs 2,367 crore in FY19, as against Rs 397 crore loss posted in FY18, on account of sharp increase in expenses.
The Naspers-backed start-up continues to face strong competition from Zomato in the food delivery segment. Zomato witnessed an erosion of Rs 1,001 crore in revenue, which stood at Rs 1,397 crore in FY19.
The two start-ups, along with other food-tech players and representatives of the National Restaurant Association of India (NRAI) on Tuesday met the Department for Promotion of Industry and Internal Trade (DPIIT) to discuss issues such as cloud kitchens and exclusive tie-ups.
“Discussions were held on the agenda points as directed by DPIIT, related to cloud kitchens, exclusivity on aggregator platforms, and issues related to the algorithms used by these aggregators. Both sides put up their points for consideration of the department. Further outcomes will be communicated by DPIIT after due deliberations,” NRAI said in a statement.
Cloud kitchens, special tie-ups roil food-tech players
Swiggy and Zomato, along with other food-tech players and National Restaurant Association of India (NHAI) representatives, on Tuesday met officials from Department for Promotion of Industry and Internal Trade to discuss issues including cloud kitchens and exclusive tie-ups.