RBI Tokenization Rules Force Swiggy Instamart Users to Re-Save Cards Separately
Nearly ten months after Swiggy spun Instamart into a standalone app, RBI's card tokenization mandate—active since 2021—means saved cards don't carry over between Swiggy and Instamart, adding checkout friction as Eternal's Zomato/Blinkit and rivals Zepto vie for quick-commerce share.
What happened
Swiggy Instamart · RBI's card tokenization rules force Swiggy to separate saved-card storage for Instamart after its 2024 spin-off, adding checkout friction for
Key facts
- since 2021
- January 2025 standalone app launch
- nearly ten months
Why this matters
The re-tokenization burden highlights switching costs inherent in spinning off apps from a shared ecosystem, a diligence flag for any quick-commerce carve-out or M&A integration involving separate payment stacks.
What to watch
- Instamart app update adding UPI-first or one-tap alternative checkout
- Public complaints/social chatter on cart abandonment spikes
- Swiggy quarterly earnings commentary on Instamart conversion rates
- Competitor (Zepto/Blinkit) marketing referencing checkout speed advantage
- RBI clarification on token portability across affiliated apps
- Track Instamart checkout conversion/AOV metrics vs Blinkit/Zepto over next 4-6 weeks
- Monitor Swiggy's push toward UPI autopay or wallet defaults in Instamart app updates
- Watch for RBI/NPCI guidance on cross-app token portability for spun-off apps
- Check if Zomato/Blinkit faces same tokenization split issue post any future spinoff
Also reported by
- Mint · Companies — Same time