Introduction
Swiggy is one of the leading food delivery companies in India, headquartered in Bengaluru. The company has the vision of becoming the most convenient and reliable platform for ordering food. It has been providing its services for the past six years and has grown impressively since its inception.
History
Swiggy was founded in August 2014 by Sriharsha Majety, Nandan Reddy, and Rahul Jaimini. The trio came up with the idea of Swiggy when they realized the struggle of people in finding good restaurants that deliver food. Swiggy started with a few restaurants in its network and gradually grew its presence to more than 500 cities in India
Funding
Swiggy has raised $1,600 million in Series I funding from prominent investors like Prosus, Tencent, Korea Investment Partners, and others. The funding helped Swiggy expand its presence and improve its services to cater to more customers and restaurants
Performance
Swiggy has been performing well in the food delivery market, owing to its efficient services, easy-to-use app, and a wide range of restaurants in its network. It has a significant market share and competes with other food delivery giants like Zomato and UberEats.
Layoffs
On July 27, 2020, Swiggy announced laying off 350 employees or 1.5% of its total workforce. The company cited the ongoing pandemic as the reason for the layoffs. The layoff affected mostly employees in its cloud kitchen business that saw a dip in orders due to the closure of many restaurants during the lockdown.
Statement from Stakeholders:
Swiggy’s CEO, Sriharsha Majety, issued a statement regarding the layoffs, saying, “We, unfortunately, had to go through some painful downsizing as well.” He added, “The primary reason for this is that the core food delivery business has significantly recovered since the beginning of Covid-19. However, some of the businesses within food delivery, such as the cloud kitchens, continue to be deeply impacted and are yet to recover completely.”
Conclusion
To conclude, Swiggy has been one of the most significant players in the food delivery industry. The recent layoffs were unfortunate but necessary to ensure the company’s sustainability. Swiggy has been able to bounce back from the pandemic’s effects and is confident about its growth in the future
