Swiggy restructures Supr Daily to unlock its delivery potential

Swiggy restructures Supr Daily to unlock its delivery potential


Mumbai: Supr Daily, the subscription-based eseentials delivery service of Swiggy, will now operate as a separate business unit, founder Sriharsha Majety said on Tuesday, amid intensifying competition in the delivery space.

The development comes at a time when
Swiggy is in talks with US-based asset manager Invesco and others to raise $500-$600 million at a valuation of $10 billion, ET exclusively reported on Tuesday.

Phani Kishan,
the newly elevated cofounder, will take over the reins of the business unit as Supr Daily’s chief executive officer, Swiggy founder Sriharsha Majety wrote in an email to employees that was
shared as a blogpost on the company’s website. Kishan was elevated from the company’s vice president of strategy and investments to the position of cofounder in July this year.

Supr Daily’s cofounders Puneet Kumar, Shreyas Nagdawane and Rohit Jain are now exiting the company. Kishan, part of Supr Daily’s board since acquisition by Swiggy in 2018, was working with the team operationally for the last few months. In July 2019, Swiggy
invested $100-million in the delivery company.

“Over the last three years, the business has grown by leaps and bounds. Supr Daily currently serves ~500,000 customers on a monthly basis and delivers ~200,000 daily orders across six cities,” Majety wrote in the email. “The category has immense potential and we’ve been thinking through the several structures that best set it up for success in the long term.”

Supr Daily will mirror the structure of food delivery, Instamart and private brands business, “and work more closely to unlock its potential”, he said. “This will help Supr with the unfair advantages that Swiggy has access to and accelerate its journey.”

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In the daily essential category, Swiggy competes with the likes of BigBasket’s BB Daily, besides new entrants like Reliance JioMart which has been piloting the service in select cities like Bengaluru and Chennai.

Subscription-based hyperlocal grocery delivery platform Milkbasket
now part of Reliance group — is also a contender in the space. ET reported in August that two senior executives of RIL joined the company’s board, while cofounder Anant Goel resigned. The Mukesh Ambani-led company is yet to make any official statement on this.



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