Why Amazon still lags behind Zomato and Swiggy in food delivery

Ecommerce marketplace Amazon India, which launched its food delivery app – Amazon Food — from Bengaluru in 2020, remains a fringe player, way behind industry leaders Swiggy and Zomato NSE 2.34 %, despite a steady recovery in the online food ordering market a year into the Covid-19 pandemic.

Though Amazon Food is present in more than 70 pin codes in the city, restaurant partners think of it as a “side bet” for the Big Tech player, as it has barely made a dent in the market even after launching its pilot offering last year.

For many restaurant partners, volumes on Amazon Food have been less than 1% and the company’s seeming lack of aggressiveness in scaling up the food delivery business – whose entry was expected to break the market duopoly of Swiggy and Zomato – has surprised industry players.