Notably, Swiggy's alcohol delivery service will have a limit which will cap the order quantity and prevent customers from ordering over the limit prescribed by their state.
The entry of Amazon into food delivery in India expands its portfolio of services which ranges from the horizontal marketplace, digital payment, media, and now, food delivery. "We are adhering to the highest standards of safety to ensure our customers remain safe while having a delightful experience", the spokesperson added.
As of now, Amazon Food has been launched in Bengaluru and those living in select pin codes can access it from the main app.
Ranchi: Online food delivery platform Swiggy has started alcohol home delivery service in Jharkhand starting Thursday, even as the company revealed it is also in advanced stages of discussions with multiple state governments for providing similar service. Amazon Food has also partnered with restaurant chains such as California Burrito, Mojo Pizza, Faasos, Paradise Biryani, Keventers, and Mad Over Donuts. "This is particularly relevant in present times as they stay home safe", an Amazon spokesperson told TechCrunch.
However, during the ongoing lockdown phase, restaurants have been allowed to operate only delivery services as dine-in options are still prohibited in most cities.
Amazon's foray into the food delivery market could create new challenges for Prosus Ventures-backed Swiggy, and Zomato, an 11-year-old startup that acquired Uber Eats' business in India in January this year, and Google-backed Dunzo, which operates in Bangalore and counts food delivery as one of the biggest parts of its business.
"This is clearly negative for Zomato and Swiggy, which are already struggling with much reduced businesses and closure of restaurants", said Abneesh Roy, executive vice-president (research), Edelweiss Securities.
He said Amazon's move might not necessarily be negative for Jubilant FoodWorks, which operates the Domino's. It also said about 61 per cent were reluctant to spend on eating out.