In the bustling streets of Bengaluru, where tech startups and delivery riders weave through traffic, a new contender is emerging to challenge the entrenched giants of India’s food delivery market. Rapido, the ride-hailing company known for its bike-taxi services, has quietly launched a beta version of its food delivery platform called Ownly, starting in select neighborhoods like Koramangala, HSR Layout, and BTM Layout. This move, reported by TechCrunch, positions Rapido to disrupt the dominance of Swiggy and Zomato, which together control over 90% of the $8 billion industry.

Ownly promises a zero-commission model for restaurants, a stark contrast to the 15-30% fees charged by incumbents, coupled with transparent flat delivery fees and no hidden charges. Industry insiders note that this could appeal to small eateries squeezed by high commissions, potentially shifting loyalties in a market where profit margins are razor-thin. Rapido’s existing fleet of four million riders gives it a logistical edge, allowing for rapid scaling without the need to build a delivery network from scratch.

Rapido’s Strategic Pivot and Market Timing

The launch comes amid intensifying competition in India’s on-demand services sector, where ride-hailing and food delivery are increasingly intertwined. According to a report in The Financial Express, Rapido’s entry is timed to capitalize on growing dissatisfaction among restaurants and consumers over surging platform fees and delivery times. Posts on X (formerly Twitter) reflect public excitement, with users highlighting Rapido’s lower commissions of 8-15% in initial pilots, compared to rivals’ higher rates, sparking discussions about a potential end to the Swiggy-Zomato duopoly.

This isn’t Rapido’s first flirtation with diversification; earlier in 2025, as detailed in Times of India, the company began onboarding restaurants with aggressive pricing to undercut competitors. The strategy echoes Rapido’s success in dethroning Ola and Uber in ride-hailing by focusing on affordability and rider density.

Swiggy’s Dilemma and Investor Ripples

Swiggy, which holds a 12% stake in Rapido from a 2022 investment, now faces a conflict of interest. Recent coverage in CNBC-TV18 reveals that Swiggy is actively re-evaluating this holding, especially as its own losses widened to Rs 1,197 crore in Q1 2025, per Times of India. The investment has appreciated, but Rapido’s foray into food delivery threatens Swiggy’s core business, prompting talks of a possible exit.

Zomato, meanwhile, has responded by slashing prices and enhancing quick-commerce features, as noted in NDTV. Analysts suggest this could ignite a price war, eroding margins across the board. Rapido’s model, emphasizing value without fake discounts, resonates with cost-conscious Indian consumers, where average order values hover around $10.

Challenges Ahead for New Entrants

Yet, replicating ride-hailing success in food delivery won’t be straightforward. Business Standard points out that previous attempts by ride-hailing firms have faltered due to high operational costs and thin margins. Rapido must navigate regulatory hurdles, including labor laws for gig workers, and build consumer trust in a space dominated by established apps.

Moreover, the broader quick-commerce push—evident in BigBasket’s expansions, as covered in IndMoney—adds layers of complexity. Rapido’s beta testing, limited to Bengaluru for now, will be a litmus test for nationwide ambitions, with plans for broader rollout hinted in X posts from tech observers.

Implications for India’s Gig Economy

For industry insiders, Rapido’s entry underscores a convergence of mobility and delivery services, potentially reshaping how millions of riders earn. With 3.5 million daily rides already under its belt, as buzzed on X, Rapido could leverage this to offer hybrid gigs, blending taxi rides with food pickups for efficiency.

However, sustainability remains key. The CapTable warns that dethroning Swiggy and Zomato requires more than low prices; it demands innovation in user experience and supply chain tech. As the beta unfolds, all eyes are on whether Ownly can turn disruption into dominance, or if it becomes another cautionary tale in India’s hyper-competitive delivery wars.