Flipkart, Paytm and Amazon soon to foray into the food delivery business

We are a country obsessed with food and everything starts and ends with food in our country. And so this very habits and tastes of ours have gave rise to various online food delivery companies and delivery marketplaces.

It is only obvious that the success is going to increase manifold and is only going to get bigger and better.

How do online food marketplaces actually work?

They are mainly based on the aggregator business model, wherein the entrepreneur earns the revenue through service based commission. It is like a centralized place where all the companies are listed in one place for the desired target market to order.

Why has there been a mushrooming of online food delivery companies?

People’s life and routine is getting busier and hectic day by day. To keep up the pace with the hectic schedules they need reliable deliverables and an anytime assistance for various tasks.

Food delivery companies do the job for you in such cases. Delivering fresh and quality food is the need of the day which is important for the consumers and is the need of the day.

And so this is the very reason that Food delivery companies are mushrooming and making huge foray in the marketplaces.

After online grocery, food delivery companies are becoming the next big thing and so for this very reason

E-commerce is the way-

India’s largest E-commerce companies are exploring this territory and actively looking for investments, acquisitions and other expansions in the food delivery business. And the companies which are in the forefront of it are Flip kart, Pay tm and Amazon.

We are a country obsessed with food and everything starts and ends with food in our country. And so this very habits and tastes of ours have gave rise to various online food delivery companies and delivery marketplaces.

It is only obvious that the success is going to increase manifold and is only going to get bigger and better.

How do online food marketplaces actually work?

They are mainly based on the aggregator business model, wherein the entrepreneur earns the revenue through service based commission. It is like a centralized place where all the companies are listed in one place for the desired target market to order.

Why has there been a mushrooming of online food delivery companies?

People’s life and routine is getting busier and hectic day by day. To keep up the pace with the hectic schedules they need reliable deliverables and an anytime assistance for various tasks.

Food delivery companies do the job for you in such cases. Delivering fresh and quality food is the need of the day which is important for the consumers and is the need of the day.

And so this is the very reason that Food delivery companies are mushrooming and making huge foray in the marketplaces.

After online grocery, food delivery companies are becoming the next big thing and so for this very reason

E-commerce is the way-

India’s largest E-commerce companies are exploring this territory and actively looking for investments, acquisitions and other expansions in the food delivery business. And the companies which are in the forefront of it are Flip kart, Pay tm and Amazon.

Talks are in place

The Internet giants have held separate talks with a number of food delivery segment players.

What are the different approaches held by these companies?

Amazon’s approach is more in terms of investments

While Flip kart’s and Pay tm’s approach is more in terms of striking the right deals. The E-commerce giant is all set to expand its meal-kit delivery business

A very rigorous approach is being adopted by all the companies rather than a well thought out strategy or a business approach.

Making their mark in the e-commerce space

The Indian online food industry handles around 12-13 million orders per month as compared to Zomato and Swiggy

So why is the rush to diversify?

India’s online retail is expected to grow a slower pace than forecast ed. The overall market scenario is such that it is going to be lower than expected.

However, it needs to be seen that all these discussions may not eventually culminate in a merger or any other kind of acquisitions. The multiple investment discussions are still going on and it may take a while before something strong finally culminates and a final decision is taken over.

What are the different approaches held by these companies?

Amazon’s approach is more in terms of investments

While Flip kart’s and Paytm’s approach is more in terms of striking the right deals. The E-commerce giant is all set to expand its meal-kit delivery business

A very rigorous approach is being adopted by all the companies rather than a well thought out strategy or a business approach.

Making their mark in the e-commerce space

The Indian online food industry handles around 12-13 million orders per month as compared to Zomato and Swiggy

So why is the rush to diversify?

India’s online retail is expected to grow a slower pace than forecasted. The overall market scenario is such that it is going to be lower than expected.

However, it needs to be seen that all these discussions may not eventually culminate in a merger or any other kind of acquisitions. The multiple investment discussions are still going on and it may take a while before something strong finally culminates and a final decision is taken over.

 

 

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