Amazon Experimenting In Food Delivery Services In India

The e-commerce giant Amazon,  now a days is  to expand all of it's service in all the sectors by entering in the new sectors trying to build tough competition for the existing players of that sector. Now, the company has joined India’s online food delivery market, and now focusing on becoming the market leader in this sector by giving tough competition to the top local players i.e. Swiggy and Zomato. Let us see the complete report on the topic, Amazon experimenting in food delivery services in India.

Insights of Amazon Food

The American-based e-commerce giant Amazon, has invested a good amount in their new venture i.e. around $6.5 billion in India. The name given to their brand new food delivery service is Amazon Food. At the present moment, the Amazon food is working in selected pin-codes of Bangalore i.e.  560048, 560037, 560066 and 560103. From the past news from many sources, it was heard that the company was originally planning to launch their food delivery service in India last year, which they pushed to match. No clear reason was provided by the company in this regards but later on they had to push it further more due to the nationwide stay-at-home order (National lockdown) by the Indian government, which they issued in late March before the immediate starting of their services.

Also Read:  Steps Taken by Online Food Delivery Startups amid CoronaVirus Outbreak

E-commerce giant at present testing the food delivery service with the selected restaurant partners in Bangalore with some of the employees. They are going to expand this venture in the upcoming span of time.

Competition in food delivery services

The basic idea behind the Amazon’s entry into the food delivery market sector to try the new sector. Also, many of it's rival in their sectors are presently started working in this sector. Google is also working in this sector indirectly with the help of their funded company i.e. Danzo. At present, Danzo (Google backed startup) is working in all types of delivery services and now has started delivering the food services.

Also Read: The Unpredictable Acquisition of Online Food Delivery

Other startups like Zomato is itself working in this sector and has now acquired Uber Eats in the starting of the year. The biggest rival startup, Swiggy is also giving the tough competition in this sector, making this sector difficult for any type of future competition. After looking a great opportunity in this food and delivery sector, Amazon is also trying to experience this sector.

Amazon strategy behind Amazon food

Amazon is now promoting it's Amazon prime services to their customers to experience all the facility under a single roof. The company was waiting to integrate this facility with their prime services. According to the company, this brand new integration of this service can help them in increasing their revenue and can help in achieving their goal of converting their business model into profits. This will also help them in acquire more customers which can become their potential customer and so they will be able to experience all the facility within the same brand name in the single servicing platform.