Swiggy, Zomato and magicpin see strong festive-quarter growth
What's the story
India's leading food delivery companies, Swiggy, magicpin and Zomato have witnessed a strong resurgence in their business during the October-December period. The growth is primarily driven by high order volumes due to festive demand, affordability-focused offerings and an expanding user base. Industry executives are optimistic that this momentum will continue in the coming quarters with continued investments in marketing and product innovation.
Business performance
Magicpin's growth story
Anshoo Sharma, Founder and CEO of magicpin, told PTI that the last quarter was phenomenal for their business. He said they witnessed strong growth and sharper execution across markets with an over 60% improvement in unit economics at an order level. This reflects greater efficiency and improved monetization for the company.
Information
Average order value between ₹150-₹300
Magicpin has also seen a massive 40% jump in gross order value from cities like Bengaluru, Hyderabad, and Mumbai. Sharma attributed this growth to affordability-led consumption with an average order value between ₹150-₹300. He said this pricing strategy encourages users to place orders more frequently.
Swiggy's growth
Swiggy's gross order value hits ₹8,959 crore
In its Q3 FY26 shareholder letter, Swiggy said its gross order value (GOV) grew by a whopping 20.5% year-on-year (YoY) to ₹8,959 crore. This is the fastest growth rate in three years for the company. The acceleration was driven by better adoption of new propositions across speed, selection and affordability.
User growth
Swiggy's MTU base surges to 24.3 million
Swiggy also witnessed a massive 22% year-on-year growth in its average monthly transacting user (MTU) base to 24.3 million during the quarter from 17.8 million last year. The total number of orders also rose significantly to 294 million from 234 million during this period. This goes on to show how well the company's strategies are working in attracting and retaining customers.
Zomato's performance
Zomato also reports an uptick in growth trends
Zomato's food delivery business also witnessed an improvement in growth trends during the same period. The company reported a 16.6% year-on-year net order value (NOV) growth at ₹9,846 crore in the December quarter. This translates into a 21.3% jump in GOV, marking an acceleration from the previous quarter's 13.8% growth rate.