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Swiggy Shuts Cloud Kitchen Brand 'The Bowl Company' In Delhi-NCR

The shutdown comes as the company faces mounting losses amid a battle to grab market share from listed peer Zomato.

<div class="paragraphs"><p>A Swiggy rider.&nbsp;(Source: Swiggy/<a href="https://www.youtube.com/watch?v=aWFXhsz3SVg">YouTube</a>)</p></div>
A Swiggy rider. (Source: Swiggy/YouTube)

Restaurant aggregator Swiggy shuttered its cloud kitchen brand 'The Bowl Company' in Delhi-NCR after a pilot, the company said.

"The expansion of The Bowl Company in Delhi-NCR was an experiment we ran to bring new food experiences to users. This experiment has led to its due learnings, even as we focus on operational excellence for the brand," a Swiggy spokesperson told BQ Prime.

Swiggy will "continue to invest and grow The Bowl Company in cities like Bangalore, Chennai, and Hyderabad where the brand is well-loved and growing", the company said. The brand was launched in 2017.

The shutdown comes as the company faces mounting losses amid a battle to grab market share from listed peer Zomato Ltd.

Earlier this month, global investor Prosus made public the loss it has faced on its shareholding from Swiggy's operations.

The Bengaluru-based Bundl Technologies Pvt., which owns and operates Swiggy, is also under pressure from Zomato despite offering deeper discounts, according to Jefferies.

The brokerage said Zomato's market share was at its highest level ever in the first half of 2022. "We see a strong case for Swiggy dropping its aggressive stance in food delivery in a bid to reduce its losses, and in the case that does not happen, Zomato may be induced to increase its aggression to drive growth," it had said in a note.