Food delivery and restaurant discovery startup Zomato claimed that it has achieved a 28 million monthly order run rate as of December 2018, a significant bump up from previously disclosed 21 million monthly run rate in October. It also claimed that the number of Zomato Gold subscribers has reached to 7,00,000 mark.
Order run rate is not the absolute order volume for the startup. Order run rate helps project future order volume for the month and is calculated based on one week’s volume.
On the other hand, rival Swiggy hasn’t revealed its monthly order run rate from several months. However, sources state that Swiggy is little ahead of the rival as it processes 27-28 million orders every month.
In the last couple of months, Zomato has expanded its food ordering service to 100 cities, whereas Swiggy is present in about 60 cities. Together they are burning about $80 million every month. If we include foodpanda and UberEats, the burn rate of four players go up to $100 million.
With massive funding rounds, competition in foodtech is going to intensify this year. Swiggy had recently scooped up $1 billion round while Zomato is negotiating a mega round from Alibaba. After e-commerce and digital payments, foodtech has turned out to be a super competitive niche. In 2019, it would be interesting to see how things shape up in foodtech segment.