Ride-hailing platform Rapido is preparing to enter India’s online food delivery scene, and it’s bringing a different game plan. The company is betting big on a low-commission model that could appeal to restaurants who’ve long been frustrated by high aggregator charges.
As per a report by The Economic Times, Rapido has teamed up with the National Restaurants Association of India (NRAI) and agreed on commercial terms with several eateries. While dominant players like Zomato and Swiggy typically charge between 16–30% in commissions, Rapido’s offer ranges from just 8–15%, depending on the order value. That’s a significant cut, especially for small businesses that often feel squeezed by platform fees.
Customers placing orders on the Rapido app will also face a simplified delivery fee—₹25 for orders under ₹400 and ₹50 for anything above that.
The first stop for Rapido’s new venture is Bengaluru, where a pilot rollout is expected by late June or early July. For now, it’s just a trial, but many in the industry are watching closely. One executive quoted in the report noted that the new model “will especially help small restaurants” who’ve been bearing the brunt of aggregator-led pricing.
Whether this will lead to mass adoption or just a temporary shake-up remains to be seen. The food delivery space in India has seen plenty of ambitious entries—and even more quiet exits.
This isn’t the first time a ride-hailing company has dabbled in biryani and burgers. Ola gave it a go with Ola Cafe in 2015 and then bought Foodpanda India in 2017. Both efforts eventually crumbled, and by 2019, Ola had completely bowed out.
But there’s a twist. Ola has now returned—through the government-backed Open Network for Digital Commerce (ONDC). It’s processing 15,000–20,000 orders a day and claims a significant chunk of ONDC's demand in cities like Delhi-NCR and Bengaluru. So maybe, second chances do exist.
Uber tried its luck too, launching Uber Eats in India in 2017. By 2020, it sold the business to Zomato for about $206 million in an all-stock deal. Uber picked up a 9.99% stake in Zomato and walked out. Since then, it hasn’t stepped back into the food fight.
The Indian food delivery market is still largely a two-horse race. Zomato—now rebranded as Eternal—leads with a market capitalisation of ₹1.95 trillion. A major part of this comes from its growing quick commerce arm, Blinkit. Swiggy trails with a valuation of ₹933.75 billion but has expanded into new verticals, including events and ticketing with its ‘Scenes’ platform.
Despite the noise, Zomato and Swiggy have managed to maintain a tight grip on the sector. Rapido’s entry, if it takes off, could give restaurants more options and perhaps shift some of the power away from aggregators. Or it could go the way of Ola Cafe. At this point, it’s hard to tell.
The biggest difference this time might be Rapido’s roots. With an existing fleet of riders and a presence in the mobility space, the company isn’t starting from scratch. But whether that’s enough to crack a market known for razor-thin margins and high customer churn? That’s the million-rupee question.
If restaurants and customers warm up to the new pricing model, Rapido could just change the food delivery playbook. Or it might just be another flash in the pan.
