Home / Business and Economy / Rapido & magicpin Unite Against Zomato, Swiggy
Rapido & magicpin Unite Against Zomato, Swiggy
23 Nov
Summary
- Rapido's Ownly partners with magicpin for restaurant access.
- The alliance aims to challenge Zomato and Swiggy's market dominance.
- Challenges include low margins and building consumer trust.
Rapido's nascent food delivery platform, Ownly, has joined forces with magicpin in a strategic move to challenge the entrenched dominance of Zomato and Swiggy. This partnership provides Ownly with immediate access to magicpin's extensive network of over 80,000 restaurants across India, enabling faster scaling beyond its initial base in Bengaluru. In return, magicpin aims to leverage Rapido's considerable delivery fleet for last-mile logistics in select urban centers.
The new alliance enters a fiercely competitive and complex market characterized by thin profit margins and the critical need to balance various operational costs. Both Rapido and magicpin must navigate the delicate relationships with restaurants already serving multiple platforms. Furthermore, they face the substantial task of cultivating consumer trust and loyalty, a domain where Zomato and Swiggy have a significant head start due to years of reliable and swift service.
Industry stakeholders express a mix of optimism and caution regarding this new venture. While some restaurant owners see the partnership as an opportunity to create a more level playing field and expand customer reach, the emphasis remains on maintaining high service standards. This move by Rapido, which already has a significant investment from Swiggy, signals a growing appetite for disruption in India's booming food delivery sector.
