| Pub. Date | : Mar, 2021 |
|---|---|
| Product Name | : The IUP Journal of Entrepreneurship Development |
| Product Type | : Article |
| Product Code | : IJED30321 |
| Author Name | : Shubhanjali Chakravarty and Sanjib Dutta |
| Availability | : YES |
| Subject/Domain | : Management Journals |
| Download Format | : PDF Format |
| No. of Pages | : 13 |
The case study "Swiggy's Delivery Model" discusses how online food delivery
company Swiggy used technology to power its delivery model. Swiggy was the
brainchild of two engineers who were staying away from home and were struggling
to get good food delivered at their doorstep. The duo worked on the idea of hasslefree
food delivery, giving rise to Swiggy in 2014. Swiggy initially started taking
online orders from customers in the Koramangala locality in Bengaluru which
housed some of the best restaurants in the city. It gradually expanded across
Bengaluru and other Indian cities like Delhi, Pune, Gurgaon, Hyderabad, and more.
It launched its mobile application in May 2015. The case describes how Swiggy
created a system that connected all the three partners in the delivery model - Delivery
Executives (DEs), customers, and restaurant partners - seamlessly. The case also
discusses the challenges Swiggy encountered when it began scaling up in 2016 and
the initiatives such as Just in Time (JIT) assignment, Next Order Assignment (NOA),
and batching that it took to overcome the challenges. The case concludes with
Swiggy's plans for the future such as diversifying into medicines and grocery and
the use of Artificial Intelligence (AI) technology for further scaling up and expansion.
Swiggy's goal is to revolutionize the food delivery market in India by providing a
cheap, fast and efficient alternative to taxing the already short-staffed restaurateurs.
There are several existing and even more upcoming food-ordering platforms in the
country. However, Swiggy sets itself apart from the competitors by having their own
delivery fleet, thereby minimizing the risks in delivering an order.1
- Sriharsha Majety (Majety), Co-Founder and CEO of Swiggy, in 2019
On December 20, 2018, India-based online food delivery company Swiggy raised $1bn in the largest-ever funding round by an Indian food tech startup. Post that round, Swiggy's valuation went up to $3.3 bn.2