Swiggy earmarks $100 mn investment for its subscription-based delivery biz

Food delivery firm Swiggy has earmarked an investment of $100 million for its subscription-based delivery business under Supr, which delivers milk, vegetables/fruits, and other daily essentials to consumers.

The development comes as Swiggy has forayed into hyper-local delivery business under Swiggy Stores and subscription-based home-cooked meal service with Swiggy Daily. The company is aiming to drive a higher frequency of orders, leverage its growing logistics network as well as the brand built on food delivery.

Swiggy had acquired Mumbai-based Supr last year in a cash plus stock deal. Claiming to be doing over 1 lakh deliveries per day, Supr is presently offering services in six cities including Bengaluru, Pune, Mumbai, Delhi-NCR, and Hyderabad.

Launched in 2015, the micro-delivery app continues to be run by its Founders Shreyas Nagdawane and Puneet Kumar post the acquisition. 

A person aware of the company’s plans said, “The segment Supr is working in is serving such a necessity that it can be scaled up beyond the top 10 cities. Swiggy has made in-roads in rural markets and Supr can be taken there too based on the convenience this model offers.”

Swiggy’s entry into the micro-delivery space has put it in direct competition with the likes of Google-backed Dunzo, BigBasket’s BB Daily, Milkbasket and DailyNinja.