Rapido has expanded beyond bike taxi services and entered the competitive food delivery space, intensifying pressure on established players like Swiggy and Zomato. With strong investor backing and a growing user base, industry watchers are keenly observing how this disruption could reshape the market dynamics.
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In a move that has stirred the Indian food delivery market, Rapido — traditionally known for its bike taxi and logistics services — has now ventured into the food delivery sector. The decision puts it in direct competition with giants like Swiggy and Zomato, creating ripples among investors and analysts who closely track this high-stakes industry.
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According to reports, Rapido has initiated food delivery operations in select cities and plans to scale aggressively by leveraging its existing rider network and hyperlocal logistics experience. This strategic shift comes at a time when Swiggy and Zomato are already battling thin margins, high operational costs, and growing customer demands for faster and more affordable services.
Rapido’s entry has raised questions among investors about the sustainability of market share for companies like Swiggy and relatively newer players like Eternal. While Swiggy continues to invest heavily in quick commerce and delivery infrastructure, Rapido could gain an edge through lower rider acquisition costs and flexible delivery models.
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Industry experts believe this could lead to a price war or service innovation race that benefits consumers in the short term but might strain resources for existing firms. Swiggy and Zomato have long enjoyed duopoly status, but the emergence of Rapido introduces a new dynamic — especially if it scales its operations swiftly and effectively.
While Rapido’s success in food delivery is far from guaranteed, its aggressive move signals that the market is far from saturated. It also underscores the increasing importance of diversification in app-based services. The coming quarters will determine whether Rapido becomes a formidable third force or fades out as a temporary disruption.
