What the business is
Indian food delivery and quick-commerce platform Swiggy, which had built its own food brands as an in-house cloud-kitchen business.
The bet
Swiggy gains more by refocusing on core delivery and quick commerce, and letting an asset-light operator run its food brands.
How it started
Swiggy launched The Bowl Company in 2017 and grew it into its largest in-house food brand, alongside Homely, Soul Rasa and Istah, to fill gaps in restaurant supply and add variety.
What happened
Swiggy's VP Arpit Mathur said the brands filled whitespaces and inspired restaurant partners. Inc42 reported a source saying The Bowl Company had been down for five weeks in Bengaluru and had been temporarily delisted over operational issues.
How it ended up
Swiggy signed a strategic agreement giving Kouzina exclusive licences, with full ownership to transfer after pre-agreed conditions. Financial terms were not disclosed, and Inc42 said Swiggy appeared to be exiting private labels amid pressure from the NRAI.
What has to be true
Swiggy first introduced the brands to address gaps in restaurant supply, but demand for a brand like The Bowl Company appeared to have declined.
Restaurants objected to private labels, with NRAI set to take legal action against Swiggy and Zomato.
Swiggy was shifting toward core delivery and quick commerce, doubling down on Bolt as losses widened to INR 799 Cr in Q3 FY25.
What can be applied
A marketplace that runs its own brands competes with its restaurant partners; handing the brands to a third party lets Swiggy keep the supply side and drop the conflict.
Aftermath
As of 6 May 2025, Swiggy's food brands were being licensed to Kouzina, with ownership to transfer after conditions. Kouzina had recently acquired Vasudev Adiga's and invested in MOPP Foods.
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