Swiggy is reportedly stepping into the online pharmacy space by delivering medicines within 10 minutes. To achieve this, the food and grocery delivery giant has collaborated with online medical delivery platform PharmEasy. This partnership will enable Swiggy to offer rapid deliveries of both over-the-counter and prescription drugs through its Instamart service, using PharmEasy’s infrastructure and regulatory framework.
While Swiggy’s Instamart already provided access to basic over-the-counter medications, this new alliance could potentially expand its reach by allowing it to deliver a wider range of medical products to customers. According to a report by Moneycontrol, the pilot program for the initiative is currently underway in Bengaluru, with Swiggy considering expansion into other cities based on its initial success. This new service aims to directly compete with online pharmacy platforms such as Tata’s 1mg and Apollo Pharmacy.
How Swiggy Instamart’s Medicine Delivery Works
Through this new feature, Swiggy plans to deliver prescription medications to customers’ doorsteps within 10 minutes, utilizing its Instamart service. PharmEasy has reportedly set up stores within Swiggy’s dark stores to streamline this process. Customers will be able to order various medications, including pain relievers, fever medicines, and prescription drugs.
“The prescription can either be uploaded by the customer or generated by a doctor during a consultation on PharmEasy,” a source familiar with the program mentioned.
This unique “shop-in-shop” model within Swiggy’s dark stores allows the company to deliver prescription drugs—a first for the quick commerce sector. The move is seen as part of Swiggy’s strategy to increase its average order values and address widening financial losses, despite growth in revenue.
Swiggy’s Financial Performance and Strategic Shifts
Swiggy’s venture into the online pharmacy sector comes amid rising operational costs and an effort to enhance profitability. In the first quarter of FY24, Swiggy reported an 8% increase in losses, reaching Rs 611 crore from Rs 564 crore a year earlier. The company’s total spending rose by 27%, amounting to Rs 3,908 crore compared to Rs 3,073 crore in the same period last year, as detailed in its updated draft red herring prospectus (DRHP). Nevertheless, Swiggy’s revenue from operations saw a notable increase of 35%, growing from Rs 2,389.8 crore in Q1 FY24 to Rs 3,222.2 crore in Q1 FY25.