Rapido and magicpin have entered a partnership aimed at competing with Zomato and Swiggy. People familiar with the development told a common publication that magicpin will now offer its nationwide restaurant network to Ownly, Rapido’s food delivery platform.
Rapido launched Ownly in August. Through this partnership, the platform will gain access to more than eighty thousand restaurants across India, helping it grow beyond Bengaluru. In return, magicpin will use Rapido’s delivery fleet in selected locations.
A Rapido spokesperson said in an emailed response that “Rapido primarily on boards restaurants directly through our merchant team, with only a very small share coming via partners like magicpin. We also work with magicpin and others in select cities as a logistics provider, where our captain fleet supports last mile deliveries…Our focus remains on building reliable, affordable, full stack discovery and delivery solutions for merchants, while ensuring a seamless experience for customers and captains.”
magicpin did not respond to an email seeking comment.
The partnership brings promise but also significant challenges. Food delivery is a low margin and complex business. Managing rider payouts, delivery costs, and customer incentives remains crucial. The partners will also need to build stronger relationships with restaurants that already work with multiple platforms.
Winning customer trust is another major hurdle. Zomato and Swiggy have created loyal user bases through consistent service and speed. Rapido and magicpin will need to match these standards to stay competitive.
Restaurant chain owners on magicpin’s platform shared mixed yet positive views on the development.
Shakir Haq, Chief Executive Officer of NKP Empire Ventures, which runs Empire Hotels and Restaurants, said India’s food delivery sector is evolving to offer a more balanced environment for restaurants. “magicpin being there for a long time, being successful, and Rapido also coming along, it should be a great advantage for restaurants,” he said. He added that the partnership creates new ways to reach customers.
Avinash Bajaj, Managing Director at Truffles Hospitality, also called the move positive for the market but stressed the need for strong service quality. “magicpin is there then we will automatically be there because they (Rapido’s Ownly) will just use magicpin as their partner,” he said. He noted that the partnership may provide more choice and better returns for customers and restaurant owners.
Zomato currently holds about fifteen per cent stake in magicpin.
In a separate development, Swiggy’s board approved the sale of its stake in Roppen Transportation Services, the operator of Rapido, for nearly two thousand four hundred crore rupees. On July thirty one, Swiggy said it was “actively re evaluating” its investment in Rapido after the latter’s decision to enter the food delivery market, citing a possible conflict of interest.
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