Six months after it got Series E funding, swiggy today announced the launch of Swiggy Access, a central base or warehouse facility housing five restaurants – Leon Grill, Keventers, Punjabi Rasoi, and two of Swiggy’s private labels, The Bowl Company and House of Dabbas – at Marathahalli.
The Bowl Company was launched in Koramangala early this year, and the House of Dabbas came a few months later.
Now, standing inside Leon Grill’s kitchenette, Swiggy Co-founder and CEO Sriharsha Majety, who is popularly known as Harsha, said the idea of Swiggy Access came with an understanding of the consumers’ needs and requirements.
A plug and play access
Spread across 3,200 sq ft, Swiggy Access comes fully-equipped with kitchen spaces and gives restaurant partners access to the Bengaluru-based food delivery startup’s delivery fleet. Addressing the Press, Harsha said the launch of Swiggy Access works as a strategic initiative for the company.
“Each restaurant has its own different personality. Hence, the kitchen space works according to the different needs and requirements of the restaurants,” said Harsha. Choosing a restaurant to be part of Swiggy Access depends on several parameters.
The kitchens work on a plug-and-play model where restaurants bring in their own equipment and need to simply start rolling out operations. While the Swiggy team refused to share the exact commission sharing, Harsha said the commissions were higher than in the marketplace model.
This is also because of the fact that restaurants do not pay rental and will get free access to advertising on the Swiggy platform. The restaurant partners will also be able to leverage Swiggy’s data insights and consumer feedback.
The Swiggy team added it will also help restaurants optimise the kitchen space at Swiggy Access with details like stock planning, demand forecasting, preparation time, and order edits.
Looking at high traffic and low access points
“We are looking at hungry entrepreneurs who aren’t content with opening one or two kitchens, but grow with possibly the next five,” said Harsha.
He added the company had considered areas with high consumer traffic and based on certain data science algorithms, the team worked on the cuisine mix that would work for the consumer base. Based on that, the team goes after areas where there is demand but supply is low.
“The other ways that we decipher this is when consumers search for a certain brand on the platform and it brings a null or a zero search. In that way, Leon Grill in Marathahalli comes with the top null-search result,” added Harsha.
Over the next few weeks, the team plans to launch the next Swiggy Access at Bellandur. There are three to four other areas that the team is looking at. In the next six months, Swiggy is looking to tie up with 40 restaurants across three metro cities. Bengaluru being the first, the team is yet to decide on the other two cities.