Flipkart to Launch Online Food Delivery Service, Expanding Beyond Quick Commerce

​Flipkart will soon enter India's online food delivery market, intensifying competition with Zomato, Swiggy, and new entrants. Flipkart Group CEO Kalyan Krishnamurthy confirmed the launch in an interview with Moneycontrol. The Walmart-owned company plans to roll out the service within the next few weeks.

Key Highlights

• Flipkart will launch its food delivery service in India within the next few weeks.
• The service will be accessible through a dedicated app and the main Flipkart app.
• Integration with ONDC will connect Flipkart to a wider network of restaurants and delivery partners.
• Flipkart's quick commerce platform now operates over 1,000 micro fulfilment centres in 130 cities.
• New competitors like Rapido's Ownly and Swiggy's Toing are increasing market competition.

Flipkart's Food Delivery Plans

Flipkart will start with a limited rollout, gathering customer feedback before expanding to more cities. The company has not yet announced the name of the new service. Customers will access the service through a dedicated app and also within the Flipkart app.

The upcoming service will integrate with the Open Network for Digital Commerce (ONDC). This integration will allow Flipkart to connect with a wider network of restaurants and delivery partners across India.

Market Context and Competition

India's online food delivery sector is growing more competitive. Zomato and Swiggy have long dominated the space, but new players are emerging. Ride-hailing platform Rapido recently launched its Ownly food delivery service. Ownly promises lower costs by charging zero commissions from restaurants and keeping menu prices close to offline rates.

Swiggy has introduced Toing, a value-focused offering for price-sensitive users. Zomato's parent company, Eternal, has commented on the rise of new competitors. Founder Deepinder Goyal stated that many new entrants rely on discounts rather than innovation. He believes future growth will come from supply-side improvements, such as Zomato's in-house quick food delivery business, Bistro.

Flipkart's Recent Growth in Quick Commerce

Flipkart has already made significant progress in quick commerce. The company recently announced its quick commerce platform now operates over 1,000 micro fulfilment centres in 130 cities. In less than two years, demand from Tier 2 and Tier 3 cities has increased 42 times compared to the previous year. Gen Z customers now represent over 40 percent of the platform's user base.

Flipkart has not disclosed its strategy to compete with established players. Krishnamurthy stated that Flipkart only enters new categories if it can offer something unique to customers.

Integration with ONDC

By joining the government-backed ONDC, Flipkart aims to expand its reach and improve delivery options. ONDC allows e-commerce platforms to connect with a broad network of restaurants and delivery partners. This move could help Flipkart scale its food delivery service faster and compete more effectively.

Flipkart's entry into food delivery reflects the company's broader ambitions in India's digital commerce sector. The company will focus on refining its service based on customer feedback before expanding nationwide.