Swiggy scales affordability formats to target India’s next 100 million food-delivery users
Swiggy is expanding Toing and 99 Store as lower-cost ordering options, with Toing now in 50 cities. The company says the format is bringing in new and reactivated users while reinforcing its marketplace model over micro-kitchens and zero-commission alternatives.
What happened
Swiggy is expanding affordability-led food delivery through Toing and 99 Store to acquire the next 100 million users. Toing now operates in 50 cities, while
Key facts
- Q1 FY27
- Toing expanded to 50 cities
- Two out of three Toing users are new or reactivated users
- Toing restaurants generate more than half the order volumes of the main Swiggy platform
- About one in 10 Indians has ever ordered food online
- Next 100 million users targeted
Why this matters
Swiggy is strengthening a differentiated low-cost marketplace position that may make partnerships or acquisitions in value dining, merchant enablement and hyperlocal logistics more strategically relevant.
What to watch
- Toing city count, active users, repeat rates and share of orders coming from new versus reactivated customers.
- Average order value, delivery distance, discount per order and contribution-margin trends for affordability formats versus the core marketplace.
- Evidence of cannibalization: migration of existing Swiggy users and restaurant orders into lower-priced formats.
- Restaurant participation levels, exclusive menu availability and merchant commission or promotional-funding concessions.
- Zomato's introduction or expansion of comparable fixed-price, low-fee or value-meal formats.
- Swiggy One attachment, Instamart cross-purchase rates and retention cohorts among Toing/99 Store-acquired users.
- Service-quality indicators in newer cities, including delivery times, cancellations, refund rates and rider availability.
- Expand Toing beyond 50 cities into high-density tier-2 and tier-3 catchments with limited branded-restaurant delivery penetration.
- Build curated fixed-price meal, snack and group-order menus with participating local chains and regional restaurant partners.
- Use 99 Store and Toing as acquisition funnels, then target users with Swiggy One, Instamart and occasion-based upsell offers.
- Tighten geographic serviceability and delivery-radius rules to protect unit economics on low-AOV orders.
- Negotiate platform-exclusive value combinations and co-funded promotions with restaurants rather than relying solely on Swiggy-funded discounting.
- Package affordability demand data into merchant tools for menu engineering, daypart pricing and demand forecasting.