Swiggy rivals Zomato by introducing Toing, a fresh app offering economical food choices in Pune.
Swiggy, one of India's leading food delivery platforms, has entered the affordable food delivery segment with the launch of its new standalone app, Toing. The app is currently available on Google Play Store and Apple's App Store, and is live across select areas of Pune, including Kothrud, Hinjewadi, Wakad, Aundh, and Pimple Saudagar.
Toing is positioned as a destination for small but proper meals, sourced from local restaurants. The app's menu emphasizes affordability, offering items such as burgers, sandwiches, fries, rolls, shakes, coffee, mini meals, cakes, and desserts, largely priced between Rs 100 and Rs 150. Toing is aimed at budget-conscious diners, with free delivery offered for orders above Rs 99.
Swiggy has chosen Pune for the pilot of Toing, banking on the city's dense concentration of students and early-career professionals with limited disposable incomes. Chennai was selected as the pilot city for Toing due to its vibrant food culture and the opportunity to test new features in a diverse market.
In a move that could reshape competitive dynamics between the two firms, Swiggy is preparing to divest its stake in Rapido for as much as Rs 2,500 crore. Rapido entered the food-delivery space last month through the app Ownly, offering lower restaurant commissions. Unlike Snacc, Toing is not a canteen-style 10-minute service.
Swiggy's pilot of Toing in Pune indicates its focus on segmenting delivery businesses through standalone apps, similar to Instamart and Snacc. The app currently levies a platform fee of Rs 12, which is slightly lower than Swiggy's main service's platform fee. No immediate plans for Toing expansion beyond Pune have been outlined by the company.
In July, Swiggy introduced the "99 Store" within its main app, offering meals priced between Rs 49 and Rs 149 across more than 175 cities. Toing can be seen as an extension of this initiative, providing a dedicated platform for affordable meals.
As the competitive dynamics in the food-delivery industry continue to evolve, companies like Rapido and Swiggy are experimenting with lower-cost formats to cater to a wider audience and capture a larger market share. The potential sale of Swiggy's stake in Rapido could significantly impact this landscape.
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