The food delivery market in India has always been competitive. Swiggy and Zomato are two head-to-head contenders vying for customers, restaurants, and market share. Now, it also seems that Swiggy is taking a different approach, the company has launched another mobile application called Toing exclusively for affordable meals, beginning with Pune.

This isnt a food delivery app but a strategic bet to attract students, new working professionals, and wallet-friendly customers looking for quick and filling meals at a low cost.

Why Pune? A Smart Move by Swiggy

One might question: why did Swiggy pick Pune for Toings pilot instead of in their own backyard, Bengaluru?

Because Pune has one of the biggest student populations in India and an expanding tech workforce in areas like Hinjewadi and Wakad.

These consumers usually order food regularly but dont want to break the bank for each order. By zeroing in on Pune, Swiggy is pursuing a high-frequency, low-ASP consumer that, if managed properly, can drive phenomenal volume. 

It makes total sense; the primary Swiggy app is aimed at a much larger audience, but Toing is targeting a small sliver of an underserved market.

Whats On the Toing Menu?

Toing keeps things simple and budget-friendly:

• Think burgers, sandwiches, fries, rolls, shakes, coffee, mini meals, cakes, and desserts.
  
  

• Most items fall between Rs 100 and Rs 150easy on the pocket.
  
  

• Free delivery for orders above Rs 99.
  
  

• A small platform fee of Rs 12 per order, which is even lower than what Swiggy charges on its flagship app.

Toing is differentiated from Swiggy's Snacc, which has invested chiefly in ultra-fast, snack-sized bites, by positioning itself to offer small but complete meals. The big distinction, and the reason for not investing in cloud kitchens, is that it is working with homegrown restaurants. This type of partnership keeps overhead low and is more authentic.

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How Does Toing Fit in the Market?

The timing of Toings launch is strategic.
Zomato remains Swiggys biggest rival in India, but the competition is heating up in other corners too:

• Rapido Ownly jumped into the food delivery game just last month, offering lower restaurant commissions and aggressively targeting price-sensitive consumers.
  
  

• Swiggy itself launched the 99 Store earlier this year, offering meals priced between Rs 49 and Rs 149 in more than 175 cities.
  
  

Toing's offering goes beyond, however. Rather than simply a feature within Swiggy's app, it's a standalone, low-cost food delivery platform. It offers a simplified sell to a very specific audience that doesn't get confused with multiple offerings.

The Bigger Picture: Whats Swiggys Strategy Here?

Rumors in the industry suggest that Swiggy is looking to exit by selling its stake in Rapido for a valuation of up to Rs 2,500 crore. This is quite significant as it indicates that Swiggy desires to focus on the business it knows best - food delivery and instant grocery - while pruning away the less relevant businesses. 

Toing fits perfectly within this strategy. Rather than overloading the main Swiggy app with everything, Swiggy is looking to make these specialized and lightweight offerings. Just as it does with Instamart (for groceries) and Snacc (for snack foods), Toing allows Swiggy to create essential coverage of a unique segment of the market without problematizing the main app.

What Happens Next?

Currently, Toing is available only in Pune, but if this pilot works out, expect Swiggy to expand into other cities with high populations of students and tech workers next. The aim is to create a habit of repeat purchase by contracting reliable, affordable meals.

Heres why this could work:

• More orders per customer.
  
  

• Lower customer acquisition cost, thanks to clear positioning.
  
  

• Stronger relationships with local restaurants that benefit from consistent orders.
  
  

Of course, there are challenges too.
Can Toing maintain food quality while keeping costs low?
Will restaurants play ball?
And how thin will the margins be before it becomes unsustainable?

The Takeaway

Swiggys Toing isnt just a side project.
Its a strategic bet on affordability in a tough market, driven by data, consumer behavior, and fierce competition. As Indias middle class grows but feels the pinch of rising expenses, services like Toing could be game-changers.

If the pilot goes well, Toing may soon be the go-to for students, young professionals, and everyone looking for simple, tasty meals at the right price.

The next few months will be crucial to see whether Toing becomes another experimental app or the next major play in Indias food delivery war.

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