Swiggy Unveils 99 Store With Affordable Meals in Over 175 Cities

Swiggy has rolled out a new feature on its app called the 99 Store, offering single-serve meals at a flat price of ₹99. According to reports, free delivery is available through Eco Saver mode, which consolidates multiple deliveries to minimize costs.

Swiggy Launches 99 Store for Low-Cost Meal Delivery

Now Available in 175+ Cities Across India

The 99 Store is currently operational in over 175 cities, including Delhi, Bengaluru, Hyderabad, Pune, Kolkata, Chennai, and Bhopal. It also covers emerging cities such as Tirupati, Patna, and Dehradun.

Target Audience: Budget-Focused Diners

This new category is designed for users seeking affordable and small-sized meals, such as:

• Students

• Gen Z consumers

• Frequent users who typically avoid high delivery charges or minimum order restrictions

“The dishes include multiple varieties, and all items are priced at ₹99, sourced from Swiggy’s partner restaurants.”

These meals are ideal for quick service and daily consumption.

Delivery Terms and Pricing Details

“Delivery remains free only when the Eco Saver mode is selected and the item is priced at ₹99.”

If the order:

• Is below ₹99, or

• Does not use Eco Saver,
  Then standard delivery charges apply.

Additionally, taxes are still applicable and vary depending on the specific order and location.

Competition Heats Up in Budget Delivery Market

This move comes at a time of rising competition in the low-cost food delivery segment. As per reports, Rapido is preparing to enter the market with its Ownly platform, which focuses on meals under ₹150 and features zero commission for partner restaurants.

History of Swiggy

Swiggy has rapidly transformed from a niche food delivery service into a leading on-demand convenience platform in India, becoming a household name synonymous with quick delivery. Its journey is a testament to the power of understanding market needs, agile adaptation, and aggressive expansion.

The Genesis (2013-2014)

Swiggy's origins can be traced back to 2013 when Sriharsha Majety and Nandan Reddy initially founded Bundl Technologies. This venture was a business-to-business (B2B) logistics aggregator, aiming to connect courier companies across India.

However, Bundl struggled due to a lack of a strong technology team and the decision by major e-commerce players like Flipkart and eBay to manage their own shipping. Recognizing the limited market opportunity and learning from their experience, Majety and Reddy decided to pivot.

In August 2014, armed with insights into the inefficiencies of urban logistics and a desire to leverage technology for consumer convenience, Sriharsha Majety and Nandan Reddy, joined by Rahul Jaimini (a former Myntra software engineer), founded Swiggy.

They identified a significant gap in the food delivery market: while other players existed (like Zomato and Foodpanda), they often lacked their own logistics networks, leading to inconsistent delivery times, minimum order values, and poor packaging. Swiggy aimed to solve these pain points by building a comprehensive, in-house delivery fleet.

Swiggy started its operations modestly, with just six delivery executives and 25 restaurants in the Koramangala area of Bengaluru. Their bold promise was to deliver food within 40 minutes, a commitment that became a key differentiator.

Early Growth and Funding (2015-2017)

Swiggy's commitment to a strong logistics network quickly set it apart from competitors.

• April 2015: Swiggy received its first significant funding of $2 million in a Series A round from prominent investors like Accel and SAIF Partners (now Elevation Capital). This capital fueled their initial expansion.

• June 2015: They raised $16.5 million in Series B funding led by Norwest Venture Partners, further accelerating their growth. By the end of 2015, Swiggy had partnered with over 100 restaurants and was delivering more than 70,000 orders per month.

• 2016-2017: Swiggy continued to attract substantial investments, including a $15 million Series D round in September 2016 and a $80 million Series E round in May 2017 led by Naspers (now Prosus), solidifying its position as a major player in the Indian food tech space. This period saw aggressive expansion into new cities and an increase in their restaurant network.

Diversification and Hyperlocal Expansion (2017-2020)

Recognizing the potential of its robust logistics network beyond just food, Swiggy began to diversify:

• December 2017: Acquired 48East, an Asian food startup, to strengthen its restaurant network.

• August 2018: Acquired Scootsy Logistics, a Mumbai-based food and fashion delivery firm, further expanding its premium delivery capabilities. Scootsy's operations were later integrated into Swiggy's platform.

• September 2018: Acquired Supr Daily, a milk and daily essentials delivery startup, marking its entry into the hyperlocal grocery delivery segment. This move was crucial for expanding its "on-demand convenience" vision.

• February 2019: Acquired Kint.io, an AI platform, to enhance its technology and improve customer search and discovery experiences.

• 2019: Launched Swiggy Stores for general product delivery and Swiggy Go, a pick-up and drop-off service that later evolved into Swiggy Genie.

• 2020 (Pandemic Era): The COVID-19 pandemic significantly boosted online food and grocery delivery. Swiggy leveraged this opportunity, launching Instamart (quick commerce grocery delivery) and even piloting alcohol delivery in some states. Instamart quickly became a critical focus area, utilizing a network of "dark stores" for rapid delivery.

Unicorn Status and Continued Growth (2021-Present)

Swiggy's aggressive expansion and market leadership led to significant valuation milestones:

• April 2021: Raised $1.25 billion in a funding round, pushing its valuation to $5.5 billion, officially achieving decacorn status (valuation over $10 billion) in January 2022 after raising $700 million led by Invesco, reaching a $10.7 billion valuation.

• May 2022: Acquired Dineout, a leading dining out and restaurant tech platform from Times Internet, further solidifying its presence in the broader food services ecosystem, including table reservations and restaurant tech.

• July 2023: Acquired LYNK Logistics, a leading FMCG retail distribution company, to strengthen its quick commerce supply chain and expand its reach to over 100,000 retail stores across India.

• November 2024: Swiggy completed a $660 million funding round and launched its Initial Public Offering (IPO) on November 6, 2024, with a reported issue size of ₹11,327.43 crore. It was listed on BSE and NSE on November 13, 2024. Its valuation at IPO was reported at $12.0 billion.

Conclusion

Swiggy’s introduction of the 99 Store marks a strategic expansion into India’s growing budget food delivery market. With fixed-price meals at ₹99, free delivery through the Eco Saver mode, and wide availability in over 175 cities, the offering is designed to attract price-sensitive consumers such as students, Gen Z users, and frequent solo diners.

The move reflects Swiggy’s effort to democratize access to convenient, affordable meals while addressing concerns around rising delivery fees. It also puts the company in direct competition with emerging platforms like Rapido’s Ownly, which is reportedly entering the market with sub-₹150 meals and a no-commission model for restaurants.

As Swiggy strengthens its foothold in this segment, the 99 Store could redefine low-cost food delivery by making daily dining more accessible. However, long-term success will depend on consistent quality, efficient logistics, and sustained affordability. The battle for India's budget-conscious consumers has officially begun.