Can a market really quadruple in the next six years? Would you dare to believe it? Analysts have projected that India’s food delivery market is expected to explode up to US$140 billion by 2030. It is at a boiling 28% CAGR. The driving force behind:
- Lifestyle Demand: Longer commuting and increased busier days at work makes the “tap to eat”, once a convenience, has now become a necessity and comforting for many busy professionals.
- Smartphone Saturation: Currently, almost 63% of the population is using online food delivery applications to order food. The food delivery market may leap from $31.8 bn to $140 bn by 2030. Can Zomato, Swiggy & nimble startups reshape how India eats? Let’s reveal it in this article.
The Titans of Delivery: Zomato & Swiggy
Zomato and Swiggy are the two major brands that are dominating the online food delivery market. They have a stronger presence across various metro cities and smaller towns. Both the platforms have expanded into e-commerce like Blinkit and Instamart. However, these are not enough. Key challenges faced by Zomato and Swiggy:
- The two brands, Zomato and Swiggy along with the other bunch of startups are competing to attract the same group of customers.
- The profit margin is very minimal making the delivery cost, increased fuel prices and other discounts offered eats up the profit. This keeps the brand’s sustainability under question.
- Limited menus, poor packaging and delays during the peak hours make the customer retention harder causing customer fatigue.
“The post-COVID customer is more aware and more demanding. They expect not just service, but smart service,”— notes Ankita Deshpande, a food-tech strategist and startup advisor. As a result, the major food delivery giants have come up with a few features that are not just interesting but take the game to the next level.
Swiggy’s ‘Drops’
Swiggy’s “Drops” offers a premium food experience. This idea comes with limited-edition, chef-curated dishes. These eases the food experience across different ages of the customers who have different tastes and preferences.
What “Drops” Does?
- It just removed the same boring basic food menus for the customers.
- Keeps it interesting for the customers that increases the number of orders and gives a different level of satisfaction and experience.
- The availability of certain dishes in “short-time” and “in-selected locations” creates a sense of urgency and exclusivity.
Key Features
- Partnered with celebrity chefs and gourmet brands like Le15 and Bhawan
- Per-booking and countdown timers to drive quick orders and to build anticipation
- Limited-time, chef-curated dishes to offer a premium dining
Zomato’s Distance-Based Service Fee
Zomato has introduced a new concept called “long distance service fee” for deliveries that are beyond the distance of 4 km. This aims to optimize the logistics and improvise the deliveries more efficiently. This pricing model subtly encourages the users to opt for nearby restaurants. As a result, it could potentially reduce the delivery time with other operational costs.
Key Features:
- Additional charges are applicable for the orders that are beyond the 4km threshold.
- Promotes to choose local and nearby restaurants for quick delivery
Also read: These 7 Startups Made It Big in 2025 – Is Your Favorite on the List?
MagicPin’s MagicNow
MagicPin’s MagicNow is a redefined version that promises to deliver food within 15-minutes. The focus is to ensure the food is delivered in 15-minute on a tight 1.5-2 km radium delivery. This service has seen rapid growth and is ambitious to capture 20% of India’s food delivery market by the end of the Financial Year 2026. Key features include:
- 15-minute delivery for selected restaurants within the closest radius.
- Hyperlocal model is to ensure that the customers experience the food hot and fresh.
- Aimed for an aggressive expansion of 20% of market share
Emerging Unique StartUps
- DeliverGreen – A startup which is a community-based app in Bengaluru that is experimenting with eco-friendly packaging and short-mile bike deliveries. They promote sustainability with zero plastic and reduced carbon emissions.
- Regional Cuisine Platforms – There are certain food delivery related apps that are made for the migrant communities and food nostalgia like offering Bengali thalis in Bengaluru while Tamil Nadu-style meals in Mumbai.
- Health-First Delivery Model – Platforms like EatFit and CureFoods are targeting customers conscious of their health and those who want to cut down the calories.
Features include:
- Calorie tracking
- Macro- balanced meals
- Subscription based fitness meal plans
- Late-night and Office hour specialists – These are designed to provide for people working in different shit timings. They offer
- Midnight snacks (10PM – 4AM)
- Corporate lunch boxes with pre-fixed menus
- This bridges the gap of being cost benefits while also fixing the delivery gap.
Conclusion
The winning recipe of India’s future food industry lies in the blend of mastering convenience, customization and consciousness. Those who strike the perfect balance of these three factors are going to sustain the market, with no second guessing. Serving the plate is not just enough. Serving value more than the plate needs is what is going to double the chances of sustaining the market.
Written by Kavitha Sugumar
