Launch · Mobility & Logistics

Rapido explores food delivery to challenge Zomato and Swiggy

By Startup Enthusiast · 12 March 2025

What they do

Rapido started in 2015 as a bike-taxi platform and grew into India's second-largest ride-hailing app

The company is holding early discussions with restaurant owners to launch a food delivery service with lower commissions

Restaurant owners have expressed frustration with the high commission fees charged by market leaders Zomato and Swiggy

Ride-hailing firm Rapido is holding early discussions with restaurant owners to enter the food delivery sector.
Senior executives are designing a business model that will compete directly with the existing commission structures of Zomato and Swiggy.
The company already operates a delivery service for individual restaurants and handles orders on behalf of Swiggy.
Swiggy is an investor in Rapido, but its shareholding agreement does not include any exclusivity clauses.
Rapido has surpassed $1 billion in annualised gross merchandise value from its core ride-hailing operations.
The startup currently records between 3.2 million and 3.5 million rides each day across more than 100 cities.
Rapido plans to expand its operational footprint to 500 cities across India throughout the year.

The food delivery market in India is currently dominated by a duopoly holding the vast majority of market share.
Restaurants have increasingly complained about high commission fees and slowing growth within the food delivery sector.
Industry groups like the National Restaurants Association of India have actively pushed for a third player to enter the market.

Rapido operates a transport network offering bike taxis, auto-rickshaws, and four-wheeler cab services.
Drivers and gig workers access the network through fixed periodic fees rather than paying percentage deductions on individual trips.
The platform operates in more than 100 cities across India with plans to reach 500 cities.
Total transactions exceeded $1 billion on an annualised basis while quarterly net losses shrunk to Rs 17 crore during the latter half of the financial year.
Operating revenue for fiscal 2024 increased by 46% year-on-year to Rs 648 crore.

Product: A ride-hailing app focused on bike taxis, with expanding mobility and delivery offerings.
Customers: Commuters and riders seeking low-cost transport, plus drivers earning through the platform.
How it makes money: Charges commissions or service fees on rides and related marketplace transactions.
What sets it apart: Uses two-wheelers to provide low-cost, flexible urban transport and matching.
Operations: Operates in multiple Indian cities and is building a broader super-app model.