Flipkart plans food delivery to break Zomato-Swiggy duopoly
What's the story
Walmart-owned e-commerce giant Flipkart is planning to enter the highly competitive online food delivery market. The company had entered the 10-minute grocery delivery segment in late 2024 and is now exploring further expansion. According to reports, a pilot program for this new venture could start in Bengaluru around May-June this year.
Market expansion
Flipkart's renewed focus on food delivery
Flipkart is said to be exploring the food delivery sector while trying to carve out a unique space for itself. Two years ago, the company had announced its intention to enter this space through the government-backed Open Network for Digital Commerce (ONDC). However, that plan never materialized. Now, with plans of a pilot program in Bengaluru, Flipkart could be looking at a full-scale launch by late 2026 or early 2027.
Strategic planning
Options for platform development being explored
As part of its strategy, Flipkart is considering launching either a standalone platform or a buyer-side application on the ONDC. Both options are currently being actively considered by the company. To support this new venture, Flipkart has already started building out a dedicated team. This move comes as competition in the food delivery space heats up with new players and formats emerging.
Market dynamics
Aggressive expansion in quick commerce vertical
Along with its food delivery plans, Flipkart is also investing heavily in its quick commerce vertical, Minutes. The company now runs over 800 dark stores and plans to aggressively expand this network in the coming months. Despite the intense competition from Blinkit, Zepto, and Swiggy's Instamart, Flipkart has ramped up discounting in quick commerce to take on these market leaders.
Financial growth
Flipkart's financials and market dynamics
Despite the challenges, Flipkart has managed to narrow losses across most of its entities in FY25 by cutting costs. The company's core marketplace business saw a 14% jump in revenue to ₹20,493 crore in FY25.