Current Affairs-Topics

The Snacc app from swiggy

Beginning in Bengaluru, Swiggy has introduced "Snacc," a stand-alone app that provides meals, snacks, and drinks delivered in 15 minutes. This action exacerbates the competition in the quick-commerce market with Zomato's Blinkit and Zepto Cafe.

Launch and Features

Snacc, which opened in a few Bengaluru locations on January 7, 2025, provides a wide range of food, such as chocolate cookies, Indian breakfast, coffee, tea, eggs, rolls, sandwiches, meals, and cold drinks. The app works with third-party food suppliers as well as companies like Blue Tokai and The Whole Truth. In contrast to Swiggy's Bolt, which is a feature of the main app, SnapChat runs on its own and uses centralized locations with stocked products to guarantee reliable and quick service.

Industry Competition

There is more competition in the quick commerce space:

Zomato: Blinkit, its subsidiary, just introduced "Bistro," which offers 10-minute delivery services for snacks, meals, and drinks. Zomato has also launched a 15-minute meal delivery service in a few cities.

Zepto: Introduced "Zepto Cafe," with a 10-minute delivery window in mind.

Magicpin: Launched "magicNOW," a 15-minute meal delivery service that is being tested in several important Indian cities.

Issues and Regulatory Examination

These rapid delivery models have drawn criticism from the National Restaurant Association of India (NRAI). They claim that websites like Zomato and Swiggy may be discouraging restaurant partners by rerouting customers to their private-label products through their stand-alone apps, Bistro and Snacc. To address these concerns, NRAI is thinking of contacting the Competition Commission of India (CCI).

Effect on the Market

On January 10, 2025, both Swiggy and Zomato saw stock drops of up to 3.6% as a result of these events. According to reports, investors are worried about the ramifications of these quick delivery services as well as any possible legal issues they might encounter.

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