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.

— Source publishedFri, 31 Jul, 2026, 21:02 IST·First seen Fri, 31 Jul, 2026, 21:15 IST·Source The Hindu BusinessLine

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.