Group ordering and order from multiple restaurants in one combined order.

Group Ordering.

Recently, zomato and swiggy introduced group ordering, where people can share a link or QR code with their friends to order from the same restaurant.

I believe some sort of group ordering happens by single-user ordering at all times without sharing links.

This will improve the UX of what and who is ordering.

Here let’s say that on average 3 people order in the group.

Zomato/Swiggy Benefits

1. the AOV will be increased by around 3x times which also benefits the zomato delivery fleet where they don’t have to do 3 separate orders.

2. It will help people who order on zomato to fill carts sooner rather than thinking about what to order from what restaurant. it will reduce ordering time.

3. Since these are large orders and the coupon applied is small they might save money they usually spend on coupons like giving 100 off is the same on 299 or 899. if these are single orders they are giving away 3 * 100 = 300 rupees. In this way, zomato saves its share of coupon money.

4. They can better use their delivery partners with group ordering which might help decrease delivery times during low supply and high demand times.

Zomato/Swiggy Loss

1. Normally Swiggy One can be logged in only on 2 devices, now 3 people are ordering from the same device so they may lose some subscription revenue.

2. Some resturants only do coupons on large AOVs like 1000 plus rupees, in this case, group orders are eligible for these coupons, so zomato might lose some money from their coupon.

3. Swiggy charges platform fees for each order, by group ordering they might lose some of it because 3 people ordering in the same order.

4. Zomato might lose delivery fees because if they are not using zomato gold, people are saving on delivery charges by group ordering by only paying for 1 delivery rather than 3 deliveries.

Resturants Benefits

1. Since these are large orders and the coupon applied is small they might save money they usually spend on coupons like giving 100 off is the same on 299 or 899. if these are single orders they are giving away 3 * 100 = 300 rupees. In this way, the restaurant saves its share of coupon money.

2. Some resturants might get more orders from people where they don’t have to think because in group ordering some people might be okay to order from a restaurant where more people in their group agree.

Resturants Loss

1. Some resturants only do coupons on large AOVs like 1000 plus rupees, in this case, group orders are eligible for these coupons, so resturants might lose some money from their coupon.

2. Normally resturants charge packing charges, if they are charging packing charges per item, they will lose packing charges money, but if they charge based on a single order they might lose packing charges money.

3. Some resturants might lose some single orders because of group ordering where less number of customers like them.

Delivery Person Benefits

1. If they get paid in terms of the number of people in the group order, like suppose there are 3 people in the group order, they paid 3 times the money they usually get paid for delivering the single normal order, this is very unlikely.

Delivery Person Loss

1. Now, the delivery person might carry more weight during his delivery, because previously he was carrying only 1 or 2 orders.

2. Usually, delivery persons are paid by the amount of km traveled to deliver the order, here they are traveling the same amount of KMs, so the price they get paid may not increase.

3. since there are more orders, the wait time at the restaurants might be inaccurate at the beginning, all the previous data zomato had is based on single orders, now in group orders, there are more items it takes some time from the swiggy side to calculate the right preparation time so the delivery person might have to wait a longer to pick up the order at the restaurant. so they spend less time delivering the orders, so less money they earn.

Customers Benefits

1. Customers might be saving money on swiggy one subscriptions.

2. Customers will be saving on delivery charges and packing charges by group ordering.

3. Customers can use some resturants coupons which are only available on large AOV orders and by using them they save some money.

Customers Loss

1. Customers might see an increase in delivery times.

2. customers might see less quality of food because of increased delivery times.

3. customers might lose coupon money because they can only use single 100-off coupon other a whole group order.

*I don’t know how the money math works in the group ordering, I am just writing based on my thinking.

Order from multiple resturants from a single order.

1. Here major issue comes on how swiggy should use their delivery people here. customers here only pay for a single delivery fee even though they are ordering from multiple resturants or they might pay a little extra delivery fee for multiple resturants.

2. Delivery people might have to wait more time to collect orders from all restaurants, where there is a chance orders from the first restaurant might get cold.

3. By waiting more time at the restaurant delivery people travel fewer km and therefore earn less money.

4. Ordering from multiple resturants is only good for consumers and bad for swiggy/zomato and delivery people.