Amazon enters Indian food delivery market at an opportune timetime
A news that may not go down well with native food delivery apps and services which have been severely hit by Covid-19, e commerce giant Amazon has made a foray into the food delivery market in India, as it launched Amazon Food in Bengaluru. At present it has been launched only at a few selected pin codes in the city where restaurants and cloud kitchens that pass its "high hygiene certification bar," have been allowed to deliver.
It was the need of the hour
A huge investment already underway
Food delivery business is the next big thing
As per Prabhu Ram, Head-Industry Intelligence Group (IIG), CMR, the food delivery business is no longer a two-horse race and is increasingly witnessing cut-throat competition. "With the entry of new players, including the likes of Amazon and Uber Eats, a potential merger of Zomato and Swiggy would make sense," Ram told a news agency In the next three years, the food tech industry in India is going to grow from $4 billion to $15 billion. Uber started its food delivery service in India around mid-2017, but was not able to scale up in the face of big players like Zomato and Swiggy.